Choosing the right payment method is crucial for freelancers to ensure they receive their hard-earned money quickly, securely, and at the best possible rates. This blog will guide you through the top five RBI and FCA (Financial Conduct Authority)-approved payment gateways that can help you seamlessly manage your international transactions according to your priorities. We have analysed the pros and cons of each payment method based on Quora insights, Google reviews and experiences shared by our overseas money transfer customers in India.  

Have a look at our recommended payment gateways and continue reading to explore their features, customer ratings, fees, and pros and cons.

Payment Gateway Comparison

Payment Gateway	Rating	Charges	Forex Mark-up	Processing Time	Best for
PayPal	4.5	Currency conversion fee, transaction fee, fixed fee	3%	few minutes or less than 3 days	acceptance among clients
Wise	4.7	Account registration fee, money transfer fee, monthly ATM withdrawal fee per account (above 200 EUR)	0%	less than 3 days	affordability
Payoneer	4.2	Credit card payment charges,eCheck payments,ATM withdrawal using Payoneer Mastercard	2%	Instantly or less than 3 days	fast transfers
Instarem	4.6	Money transfer fee	0.5%	Less than 2 days	user-friendliness
Skrill	4.2	Foreign exchange fee, Withdrawal fee	4.99%	Instantly or less than 3 days	convenience

Best Payment Gateways for Freelancers

1. PayPal

PayPal is the most widely accepted payment method by freelancers and clients worldwide. Transactions are available on both website and app formats. You shall receive your payment within a few minutes or a maximum of 1-3 days. PayPal supports 25 currencies and serves 200 countries for freelancers with PayPal business accounts. PayPal also provides easy integration of invoicing tools. The maximum limit for international inward remittance is $10,000 per transaction.

Ratings

4.5/5 (Google Play) 

Charges¹

Currency conversion fee: 3% – 4%

Transaction fee: 4.40%

Fixed fee: depends on currency

Forex Mark-up: 3%

Pros

• Send payment requests to customers using their e-mail address 
• Swift transactions
• Payments automatically get credited to your bank account
• Add more than one bank account to your PayPal account
• Transaction tracking is available

Cons

• High service and currency conversion charges
• Low exchange rates
• Cumbersome account opening procedure
• Fund transfers to debit or credit cards are not allowed

2. Wise

Wise is popularly known as a cost-effective payment option for its competitive exchange rate and transparent fee structure. Wise business account offers a multi-currency account of 8 foreign currencies. So your international clients can pay you in these currencies. Moreover, it supports direct transfers to Indian bank accounts. Through Wise, you can receive up to $10,000 per transaction. Payments are usually credited in less than 2 or 3 days.

Ratings

4.7/5 (Google Play)

Charges²

Account registration fee: 50 EUR

USD money transfer fee: 6.11 USD

CAD money transfer fee: 10 CAD

Money transfer fee rest currencies: Free

Monthly ATM withdrawal fee per account (above 200 EUR): 1.75%+ 0.50 EUR per withdrawal

Pros

• eFIRC (Foreign Inward Remittance Certificate) shall be sent automatically to your email address. 
• Withdrawal of 200 EUR per month per account is free for 2 or less withdrawals.

Cons

• Services are only available in 8 foreign currencies
• Poor customer assistance

3. Payoneer 

If you want to receive payments easily from international clients, Payoneer is a good option for you. Payments shall be credited within 0-3 business days depending upon the mode of payment (bank-to-bank, payoneer-to-payoneer)and selected currency. It supports over 150 currencies and over 200 nations and allows for direct transfer to Indian bank accounts. Additionally, there is a debit card option for instant withdrawals. You can also create professional-looking invoices using Payoneer invoice generator software. Payoneer is a recognised payment method among freelancers on Fiverr and Upwork.

Ratings

4.2/5 (Google Play) 

Charges³

Forex Mark-up: 2%

Credit card payments: 3%

eCheck payments: 1%

ATM withdrawal using Payoneer Mastercard: $3

Pros

• Pay from your Payoneer balance to other Payoneer users for free
• The minimum transaction amount is $50
• Various payment methods are available
• Withdrawal of Payoneer balance to bank account draws no charges

Cons

• High service charges and fees
• 24/7 customer service is unavailable

4. Instarem

Instarem is one of the best payment methods for freelancers that offers real-time exchange rates and fast transfers, and the service supports direct transfers to Indian bank accounts. Additionally, there is a rewards program for frequent users. Receive money in various currencies such as SGD, AUD, HKD, JPY, NZD, EUR, and GBP. Payments received into your Instarem account shall be credited into your bank account on the same day.

Ratings

4.6/5 (Google Play)

Charges⁴

Money transfer fee: 0.30%

Forex mark-up: 0.5%

Pros

• Transaction tracking available
• No setup and subscription fee is applicable
• Dedicated customer service

Cons

• Transactions are completed within 2 days
• Less known among client due to limited global presence

5. Skrill

Skrill is a convenient option to receive funds directly into your bank account, mobile wallet, or Skrill wallet. Therefore, users only need a bank account, mobile number, or email address to open a Skrill account. 40+ currencies of more than 100 countries are accessible on Skrill. Money sent from a Skrill account is received instantly into your account. However, bank transfers are completed in 3 days.

Ratings

4.2/5 (Google Play) 

Charges⁵

Forex mark-up fee: 4.99%

Foreign exchange fee: 4.49%

Withdrawal fee: up to 7.50%

Pros

• No account registration fee is charged
• Easy installation process
• No service charge is applied if a user logs in and transacts at least once in 6 months

Cons

• Not a widely used payment platform
• Weak customer service

How to Choose the Best Payment Gateway in India?

1. Exchange Rates and Service Charges

The mark-up rate is the profit fixed by payment gateways which is usually slightly higher than the mid-market rate also known as the real rate. In addition to this, most payment platforms charge various fees for currency conversion, money transfer, account registration and maintenance, and ATM withdrawal. Be aware of the hidden charges and opt for the payment method to maximise your earnings.

2. Speed

Depending on your urgency, choose a payment gateway with fast processing times. Some gateways can process payments within minutes, while others may take several days. Ensure it has a reliable settlement process with your Indian bank to avoid delays in receiving funds.

3. Volume and Frequency of Transactions

When dealing with a lot of transactions, opt for a gateway with lower fees and support clients’ preferred currencies and payment methods. For regular payments, consider gateways offering recurring billing options or subscriptions.

4. Safety and Security

Opt for a gateway with robust fraud detection and prevention mechanisms. Ensure the gateway complies with the latest security standards, including SSL encryption, to protect sensitive information. Choose a gateway that adheres to RBI regulations and other relevant legal requirements in India.

5. Customer Support

A gateway with 24/7 customer support can be a lifesaver for issues outside of regular business hours. When considering gateways, look for ones that offer multiple support channels, including live chat, email, and phone support. Test their customer support by reaching out with queries before committing. This will give you an idea of their responsiveness and helpfulness.

6. Global Reach

Ensure the gateway supports multiple currencies if you deal with clients from various countries. Opt for a gateway that’s widely accepted by international clients, as this will make the payment process smoother.

If you are a freelancer looking forward for international money transfer from India for global collaborations, visit ExTravelMoney for quick, easy and affordable money transfers.

Also Read: Tax Implications On Money Transferred From Abroad To India

Sources for Article:

1. PayPal Charges ↩︎
2. Wise Charges ↩︎
3. Payoneer Charges ↩︎
4. Instarem Charges ↩︎
5. Skrill Charges ↩︎

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