Global Collections by Cashfree Payments partners with YES BANK to enable Indian exporters to receive payments from customers across the globe and get settlements in INR. This solution streamlines cross-border payments by allowing foreign customers to pay via their local payment modes while avoiding costly channels like SWIFT.
Global Collections is a technology payments platform built for exporters who want to receive international payments. This solution is recommended for exporters dealing in goods or services with invoice values up to USD 10,000.
Traditionally, exporters in India have been receiving payments via SWIFT. With Global Collections, exporters can get 5 dedicated local accounts in 4 currencies (USD, GBP, EUR, and CAD) plus a Global SWIFT Account to accept payments in 30+ currencies.
Payers/importers can make cross-border payments as easily as domestic payments by using local rails like ACH, SEPA, EFT, and Faster payments. The amount is credited to the respective local collection account. Exporters can receive these payments in the importer's or payer's home currency without having to open a bank account in foreign countries, saving time, effort, and money.
| Account Type | Currency | Description |
|---|---|---|
| Local Collection Account | USD | Dedicated account for US Dollar payments |
| Local Collection Account | GBP | Dedicated account for British Pound payments |
| Local Collection Account | EUR | Dedicated account for Euro payments |
| Local Collection Account | CAD | Dedicated account for Canadian Dollar payments |
| Global SWIFT Account | 30+ currencies | Accept payments in multiple currencies |
YES BANK customers can get started with the solution immediately with a minimum digital KYC process. This saves approximately 70% of the time otherwise spent on complete manual KYC process.
Required Documents:
With the YES BANK integration, you can auto-generate invoices for international payments received from customers and provide acknowledgement quickly. This helps reconcile invoices with corresponding statements before filing tax returns.
Get a dedicated account manager for your YES BANK and Cashfree Payments accounts to help you smoothly onboard and start transacting efficiently.
Just as India has NEFT, different regions have their own local payment systems:
Using Global Collections, exporters get a dedicated collection account in each of these currencies plus a SWIFT account to receive payments in other currencies. This allows exporters to get paid via the payer's local rails instead of SWIFT.
Example: A payer residing in the US can initiate an ACH transfer into the receiver's (Indian exporter's) local receiving USD account.
This first-of-its-kind partnership between a Fintech and a bank offers several advantages over traditional inward remittance collection methods:
Global Collection accounts can be used if you are selling goods or services outside of India with invoice values up to USD 10,000. The payer can be an individual or a business, as long as payment is for the sale of goods or rendering of services.
Global Collections solution can be used for all types of businesses except:
Global Collections by YES BANK & Cashfree Payments is fully FEMA compliant according to OPGSP guidelines.
Key Compliance Requirements:
Transaction Limits: The facility is only available for export of goods and services (as permitted in the prevalent Foreign Trade Policy) of value not exceeding USD 10,000 per transaction. There is no daily or monthly limit on the number of transactions, but the value of a single transaction should not exceed USD 10,000.
Account Sweep Requirements: Where exporters are provided notional accounts (Global Collection Accounts) with the OPGSP, no funds are allowed to be retained in such accounts. All receipts are automatically swept and pooled into the NOSTRO collection account opened by the AD Category-I bank (held by YES BANK).
Repatriation Timeline: Balances held in the NOSTRO collection account shall be repatriated to the Export Collection account in India (held by YES BANK) and then credited to the respective exporter's account with a bank in India immediately on receipt of confirmation from the importer, and in no case later than seven days from the date of credit to the NOSTRO collection account.
As per OPGSP guidelines, all international inward remittance payments must be settled in INR to the exporter's bank account by the AD-1 partner bank. Payments received in currency accounts will be settled to your YES BANK account in India. You cannot get payments settled in other currencies or in your Forex account.
Specific purpose codes must be followed for OPGSP transactions. View the complete list of purpose codes.
Cashfree Payments' AD-1 partner (YES BANK) will issue eFIRS on a T+1 basis, where T is the day on which the beneficiary receives the payment in their bank account in India. The eFIRS will be sent via email to your registered email address.
Reach out to your YES BANK Relationship Manager who can help you get started with the solution.
Cashfree Payments enables 1 Million+ growing businesses in India and across the globe to collect payments, make payouts, manage international payments, and more. Cashfree Payments is backed by SBI, Y Combinator, Krafton, and Apis partners and was incubated by PayPal.
RBI Authorised Payment Aggregator License
RBI Authorised Prepaid Payment Instrument (PPI) Provider
Global Collections is a technology payments platform that is built for exporters who want to receive international payments. This solution is recommended for exporters who are dealing in goods or services having invoice value of up to USD 10,000.
Traditionally exporters in India have been receiving payments via SWIFT. With Global Collections solutions, the exporters can get 5 dedicated local accounts - in 4 currencies namely USD, GBP, EUR and CAD and a Global SWIFT Account to accept payments in 30+ currencies.
Payers/importers can make cross border payments as easy as domestic payments by using local rails like ACH, SEPA, EFT and Faster payments and the amount is credited to the respective local collection account.
Exporters can receive these payments in importer's or payer's home currency without the exporter having to open a bank account in foreign countries saving his/her time, effort and money.
This is a first of its kind partnership between a Fintech and a bank. The advantages for an exporter, over traditional inward remittance collection methods include:
You can visit www.cashfree.com/international-payments/international-wire-transfer/ and click on Contact Sales. Please fill in the basic details about your company and Cashfree Payments sales representatives will reach out to you with 24 working hours to help you get started.
If you are an existing YES BANK customer, you can also reach out to your YES BANK Relationship manager. They'll be able to help you.
Just like there is NEFT in India, there is ACH in the US, SEPA in Europe region, EFT in Canada and Faster payments in UK.
Using the Global Collections solution, exporters get a dedicated collection account each in USD, GBP, EUR and CAD and a SWIFT account to receive payments in other currencies. This way an exporter can get paid via payer's local rails instead of SWIFT.
Example: A payer residing in the US can initiate an ACH transfer into the receiver's (Indian exporter's) local receiving USD account.
If you are selling goods or services outside of India having invoice value up to USD 10,000 you can use global collection accounts. The payer can be an individual or a business as the case may be, as long as payment is for sale of goods or rendering of service(s).
Global Collections solution can be used for all types of businesses except:
No, as per the OPGSP guidelines, all international inward remittance payments must be settled in INR to exporter's bank account by the AD-1 partner bank. In case of Global Collections, the payments received in currency accounts will be settled to your YES BANK account in India.
Yes. Cashfree Payments' AD 1 partner i.e YES BANK will issue eFIRS on T+1 basis. T being the day on which the beneficiary receives the payment in his/her bank account in India. The eFIRS will be sent via email to your registered email address.
Yes. Here is the OPGSP guideline for your reference.
Here's the list of purpose codes to be followed for OPGSP transactions.
For more questions, visit the Cashfree Payments support page.