How to Send Money to India from Malaysia: The Smart, Affordable Way

May 20, 2025

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With over 2 million Indians living and working across Southeast Asia, including a significant number in Malaysia, sending money back home to India is a vital financial transaction for many. Whether it’s for supporting family, paying tuition fees, or managing investments, it’s crucial to choose a remittance method that is fast, affordable, and reliable.

Traditionally, banks were the go-to choice. But with the rise of FinTech companies like WISE, WorldRemit, Western Union, and Skrill, international money transfers have been transformed—offering better exchange rates, lower fees, and unmatched convenience.

In this article, we’ll walk you through the easiest and most cost-effective ways to send money from Malaysia to India, compare top FinTech platforms, and explain why banks are no longer the best option for international transfers.

Why Not Use a Traditional Bank?

Before diving into the advantages of modern money transfer services, it’s important to understand why banks are falling out of favor for international remittances:

1. High Transfer Fees

Banks in Malaysia typically charge RM 30 to RM 50 per international transfer. These fees are often fixed, regardless of the amount, which makes them expensive for small or medium transfers.

2. Poor Exchange Rates

Banks usually offer exchange rates with hidden margins, meaning you get less Indian Rupees (INR) per Malaysian Ringgit (MYR). These margins can cost you an extra 2–4% on top of the visible fee.

3. Slow Processing Times

Bank transfers to India can take anywhere from 2 to 5 business days. If the transfer falls near a weekend or public holiday, delays are even longer.

4. Cumbersome Process

Bank transfers often involve paperwork, branch visits, and dealing with bank staff. Online banking is available but lacks flexibility compared to FinTech apps.

💸 How Much Can You Save?

Let’s say you want to send RM 1,000 to India.

A bank may charge RM 30 in fees and offer an exchange rate of 1 MYR = 17.80 INR.
You get 17,800 INR – RM 30 = effective value ~17,250 INR.

Using a FinTech company offering 1 MYR = 18.50 INR with RM 5 fee:

You get 18,500 INR – RM 5 = effective value ~18,225 INR.

Savings: nearly ₹975 for the same RM 1,000 transfer.

FinTech Companies That Make Transfers Easy & Affordable

Here are four of the best money transfer platforms you can use to send money from Malaysia to India.

1. WISE (formerly TransferWise)

Send Money with WISE

✅ Key Features:

Real-time mid-market exchange rate
Transparent fee structure
Fully online with an intuitive app and website
Fast delivery: money usually reaches India Instantly or within 1 business day

🧾 How It Works:

Create a free WISE account
Select Malaysia as your sending country and India as the receiving country
Enter amount, pay via online banking or FPX
The amount will be deposited directly into the Indian bank account

💰 Fees & Exchange Rate:

Low and transparent—e.g., around RM 4.50 for RM 1,000
No hidden margins in exchange rate

🌟 Why Choose WISE?

WISE is best for those who want maximum value and complete transparency. It’s ideal for recurring transfers (e.g., rent, tuition, family support) where every Rupee counts. We are using WISE for past 12 years without any problem.

⭐ User Rating: 4.7/5 on Trustpilot

Read our full WISE Review

9.1

RemitReview Score

Transparency 10

Exchange Rate 10

Transfer Fee 8.5

Transfer Speed 9.5

Supported Currencies 8

Customer Satisfaction 8.6

Visit WISE