Thanks
@IDontThinkSo
Today I realised that the best Bank to offer Forex rates keep changing all the time.
For today, the TT BUY rates on SBI is best and everyone's favourite IOB is worst.
SBI>BOB>IOB
Its not that straight forward and depends on many factors.
What you shared is picking a date and comparing that, which I think would not be a fair comparison.
Average out the best TTBUY by Indian banks and you would find that IOB is quite better in most cases if not all.
Basically, if you have an account in any of the above bank just use it. No need to open a new account for the sake of Forex rates.
Good point about not opening new account.
I too have advised against opening new accounts for single or couple transaction as it is not worth the trouble and does not save much.
However, if the transactions are recurring, that would change this.
It's all about the real-time exchange rate that the banks pick. Even though IOB rates is somehow better but they charge intermediary bank fee by CITI (8$) or other foreign banks, in SBI and BOB they have their own foreign branches that can be used as intermediary.
Google Rate at 02:43 PM IST = 85.97
View attachment 98092
Google Rate at 01:00 PM IST = 85.92
View attachment 98093
Check real-time forex rates at IOB. Get the best exchange rates for foreign currency transactions with our trusted banking services.
www.iob.in
Google Rate at 10:45 AM IST = 85.68
View attachment 98097
Banks usually pick rate at a certain threshold time and then set their margin against it.
I have found IOB margins to be around 20p, fluctuating.
Thats also a reason banks can negotiate for the rate, usually private banks for their margin, which usually go around 1Rs less than forex (fluctuating)
Bank will surely charge SWIFT charges which can be lower depending on the intermediary entity.
So all in all, good point about not opening new account unless recurring payments.
