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9 Payment Options To Receive Payments for Freelancers in India

The awesome part of being a freelancer is you don’t need to wait for the month end to get a credit into your bank account but what options are available for freelancers in India to receive money, here are the 9 of them I use to receive payments.

Freelancer Payment Options in India

1. PayPal

Everyone knows this.

PayPal is the most popular payment options among Indian freelancers to receive payments as well as among clients to send payment and anybody with an email address can receive payments.

Setting up an Indian PayPal account requires PAN Card as well as verified bank account but it does not take more than a week to get everything up and running including bank verification.

PayPal charges a fee of close to 5% but has good buyer and seller protection to prevent any fraudulent or suspicious transactions.

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2. Skrill

Skrill (formerly moneybookers) is the second most widely accepted payment solution.

Skrill has an advantage where an Indian account can send money to other Indian Skrill account which is a limitations in PayPal. The limitation is through RBI and not sure why it is not a limitation in Skrill and could be because they do not process the payment in Indian rupees.

3. TransferWise

TransferWise is one of my favorite and preferred method of getting paid and it is because it has very low or no fees, very good forex rate and processing very fast.

A client of mine used to pay me using TransferWise at around 2 PM Indian time and many times I saw the funds hitting my bank account at 5 PM the same day and if not latest by next morning.

The charges are so low and forex conversion rate is so good that you can offer a good discount to your clients. A win-win situation for all.

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4. Xoom

Back then Xoom was similar to TransferWise but with an exception that US clients could fund the transaction with their PayPal account.

It has now been part of PayPal family but haven’t used it for a very long time.

5. Instamojo

I use instamojo for selling digital products as their fees are very low compared to ClickBank.

The best part of Instamojo is you can create a payment link which you can share with your clients and they can pay any amount they want. As an example I share imojo.in/@shabbirbhimani and clients can make the payment to me.

I have few Indian clients who cannot pay me in PayPal due to restrictions of India to India PayPal payment and they can use Instamojo if they prefer paying using credit card.

It’s a payment solution for digital products as well as client services.

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6. Upwork

Upwork has a direct bank payment option to transfer the available account balance directly to the bank account. It is always preferred to use the bank as payment method instead of using PayPal or Skrill or Payoneer to avoid double fees being charged, once by Upwork and then by PayPal.

7. Freelancer.com

Though I personally have never used freelancer.com but my company has received payments from Freelancer.com. As with Upwork, it is always preferred to use bank transfer option as to save on the double transaction fees.

Freelancer offers weekly transfer of payment to the bank account and you can request your payout latest by Sunday and it is processed every Monday.

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8. Payoneer

I did use Payoneer long time back and it now works in India such that your account is linked to your bank account and any funds received in your Payoneer account gets deposited into your bank account.

Individuals cannot send you Payoneer payments and only sites like Upwork, PeoplePerHour or Freelancer.com can provide Payoneer payout option. Instead of getting paid through Payoneer, you have better alternatives of direct payment into the bank account and PayPal.

9. Payza

Similar to Paypal but not as widely accepted and not as popular as PayPal but fees are low when compared to PayPal and support Bitcoin to add funds.

The only issue with Payza is, cannot send an invoice from personal Payza account and I don’t see why they have imposed such restrictions.

See also:

10. Western Union

WU is not a bonus payment option because WU is not a payment option for Indian freelancers. It only allows personal payments to India and that too only 12 payments in a calendar year.

It is for payments from abroad to friends and family and so the title of my article is 9 payment options and not 10.

What payment options do you use as a freelancer?

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  • Sachin Shinde

    Hey, is it required to have FIRC document for every transaction made from foreign country to India? Or is it just required for larger transactions?

    • Most of the payment processor makes payment in INR to your bank account and so you don’t need to be doing those FIRC documents but some check that I get in USD https://imtips.co/usd-check-indian-bank.html I need to sign some docs

      • Sachin Shinde

        Hey, thanks for the info. Let’s say it is transferred via Transferwise directly into the local bank account ( from USD to INR). Do I need to sign anything then? Thanks for the help again 🙂

        • Ideally you don’t need to because you are getting an NEFT payment. Still FIRC document helps in identifying your income as foreign income.

          • Sachin Shinde

            Thank you sir. That helped me a lot. One last question. So, will this income be considered for taxation (income tax)? Thanks again for the info.

            • Yes it should unless the operations for this income is from any of the SEZ’s.

              • Sachin Shinde

                Thanks sir !!! I like your blog for newbie freelancers, it is very inspiring. I might require help in future. So, thank you again 🙂

                • Any time Sachin and if you like the blog, do share it with your friends over social media.

                  • Sachin Shinde

                    Yeah sure, I would love to 🙂

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