The Reserve Bank of India (RBI) through its Statement on Developmental and Regulatory Policies dated June 06, 2019, and its circular dated June 20, 2019 (“RBI Circular”) announced the introduction of an electronic trading platform developed by Clearing Corporation of India Limited (CCIL) for buying/selling foreign exchange by customers of banks. This platform, titled FX-Retail, was rolled out by CCIL on August 05, 2019.
The objective of the platform is to empower customers to get access to the best rates for the FX conversions.
Key Benefits
- The platform provides for transparent pricing through direct access to the Inter-bank Market. Customers can currently place orders for USD/INR currency pairs only.
- There is no cap on the number of transactions a customer can carry out during a day (subject to the overall amount limit placed by SBM Bank). Further, the transaction charges levied by CCIL are waived off for transactions up to USD 50,000 per day.
Registration Process
To register for FX-Retail, simply follow these steps:
- Visit the FX-Retail portal at www.fxretail.co.in
- Click on ‘Register Here’ button and complete the registration process by providing the required information including your SBM Bank account details
- Bank receives and approves the registration request after scrutinizing your relevant details. Please note that the details provided by you on FX-Retail platform need to match with those on record with the Bank for the registration request to be approved by the Bank.
- Once the registration request is approved, the access credentials for the platform shall be sent to you on registered email address.
- Post successful registration, you can login to the FX-Retail portal from the next forex working day.
Transaction Process - FX-Retail
Prior to buying or selling foreign exchange on FX-Retail, the Bank needs to set limits and mark-up for you on the platform.
- Submit the completed transaction-related forms (for e.g. Application cum Form - A2 for outward remittance) along with the FX-Retail Limit Request form.
- The bank sets the requested limit and the Bank’s mark-up on the platform.
- You can then proceed to place an order on the FX platform up to the limit defined by the Bank within the limit validity period.
- FX-Retail shall email you the order confirmation on the registered email address upon successful completion of the order.
- You are required to contact the branch immediately with this order confirmation along with any other documents required for execution of the transaction.
The new pricing structure for FX-Retail Platform effective from April 01, 2023
| Registration Charges |
| Individual |
Nil |
| Non-Individuals |
Rs. 1,000* |
* GST is applicable on the above charges
Note: Individual category customers include (Individual Resident, Non Resident Individual, Hindu Undivided family and Sole Proprietorship)
Transaction Charges
No transaction charges are levied for the first 12 months of joining the platform for all categories of customers.*
|
| Up to USD 50,000 in a day |
No Charges |
| Above USD 50,000 in a day |
0.0004% on the entire transaction value in INR* |
| Transaction charges based on monthly turnover |
Charges in % (applicable on the total INR value) |
| Turnover < USD 200 million |
0.0004% |
| Turnover >= USD 200 million &< USD 350 million |
0.0003% |
| Turnover >= USD 350 million &< USD 500 million |
0.0002% |
| Turnover >= USD 500 million |
NIL |
*GST is applicable on the above charges
#The date of approval by first relationship bank would be considered as the joining date for the above purpose. The existing customers who have not completed 12 months after joining the platform as on the effective date (mentioned below) shall also be covered for the remaining period. For example, a customer who joined the platform on 01st January 2023, will not be levied transaction charges from 01st April 2023 upto 01st January 2024.
Please note:
- The above charges are levied by CCIL and are collected by the Bank for usage of FX-Retail platform.
- Transaction processing charges levied by the bank shall additionally apply, wherever applicable.
- Transaction charges shall be charged only for the trades executed by the customers on the FX-Retail Platform.
- Invoice for One time Registration charges and Transaction charges which are levied to the Customer shall be raised at the end of every month to the respective Relationship Bank. These charges shall be payable by 10th day (or the next business day if 10th happens to be a holiday) of the subsequent month.
Click here to know more about FX-Retail or simply get in touch with your SBM Bank India Relationship Manager.
