How to Send Money to UPI in India from the USA

Digitization in emerging economies like India has gained a remarkable pace in the last decade. In particular, digital payment systems like the UPI have connected every nook and cranny of the diverse country. The Unified Payments Interface or UPI came into existence in 2016 and six years later, it accounted for 52% of the total digital payments. Instead of using your recipient's bank account information to send a transfer, you'll use their Virtual Payment Address.

As we'll see in this short guide, sending money to UPI is quick and easy, even from abroad. Read on to learn about UPI and how it differs from ordinary bank transfers, how it works for transfers from the USA, and which are the cheapest providers to get the job done. If you'd like to skip ahead and find the best deal for sending money to someone's Virtual Payment Address in real time, just compare providers on Monito's comparison engine now 👇

What is UPI?

The appeal lies in the fact that the UPI brings multiple bank accounts into a single mobile application by combining features like fund routing, merchant payments, and peer-to-peer payments.

This might sound intimidating, but UPI transfer is the quickest and most seamless method to send money to India. And the best part is that no fees or charges are involved in the UPI platform, as it was launched to promote digital transactions. Moreover, the applications supporting UPI are highly encrypted, making money transfers via UPI secure.

Instead of going through the hassle of using the recipient’s bank account information to make a transfer, which involves adding the beneficiary details and, in a few cases, waiting for a certain period of time to be able to make the transfer, you just need the UPI ID of the recipient.

The UPI ID looks similar to an email ID and is a combination of the holder’s name and the name of the bank he or she has an account. Currently, almost all Indian banks support UPI. The total number of banks supporting UPI grew from 21 in April 2016 to 304 in February 2022.

Furthermore, there are 29 UPI-based apps as of July 2022. Some of the most popular ones are:

1. PhonePe,
2. Paytm,
3. BHIM app,
4. MobiKwik,
5. Google Pay.

Can I Send Money via UPI to India from the USA?

Yes, fortunately for you, you can send money via UPI to India from the US. Currently, the National Payments Corporation of India (NPCI) allows international UPI transfers to India from the following countries:

1.  United States
2. Singapore
3. Australia
4. Canada
5. Hong Kong
6. Oman
7. Qatar
8. Saudi Arabia
9. United Arab Emirates
10. United Kingdom

To that end, several payment systems have emerged, enabling international UPI money transfers in India. All you need is the UPI ID of the receiver, and you are all set to make the transaction via platforms such as Remitly, Wise, and Panda Remit, all of which are listed on Monito.

What's the Cheapest Way to Send Money via UPI to India from the US?

Charges and fees vary from service to service.

Panda Remit has the cheapest transaction, offering just 0.08% over the mid-market currency exchange rate. Monito’s comparison engine also found that in terms of the best-rated payment platform, Wise is the most popular. While paying to a UPI ID via Wise, the payer only has to shell out a transfer fee, while on the other hand, a Western Union transfer to a UPI involves a transaction fee as well as an exchange rate fee.

Below, you'll find the cheapest providers to send money to India from the USA according to the last three months of search data from hundreds of thousands of comparisons on our real time comparison engine:

References

1. Wise: Your full guide to UPI international transfers
2. MoneyControl News: Economic Survey 2023: UPI accounted for 52% of India's total digital transactions in FY22
3. NPCI: UPI 3rd Party Apps
4. Livemint.com: UPI for NRIs: A game-changing proposition for international remittances
5. TimesNow: UPI International money transfer
6. BankBazaar: UPI Payment App
7. SEBI: List of mobile applications for using UPI in Public Issues