Withdrawals to a US bank account

Vested Features & Support
1

I’m sure I’m not the only one facing this challenge so I’d like to hear what others have to say.

I have always funded my Vested Account from my US bank account. I was looking to withdraw funds but I didn’t see any option to choose a country other than India.

After checking with support, I found out that as per the compliance policy of DriveWealth (broker-partner), withdrawals can be initiated only to the country where the client is a resident of or the country where the client works. Since, in your case both the residency as well as employment country is India, you will be able to withdraw funds only to your bank account in India.

I found this to be double standards where Vested will accept funds from US but not return them there!

Although it is the compliance policy of DriveWealth (broker-partner) which limits the withdrawal only to the client’s country of residence or the country of employment; It’s Vested’s job to vet such policies and ensure they don’t work against their customers!

Apparently Vested currently working on a new withdrawal solution which will bring in more flexibility for withdrawals. I can only hope that this solution doesn’t entail incurring currency exchange losses and comes to life sooner.

1 Like
2

Hi @Ethical_Investor
Thank you for raising this, we completely understand your frustration and are actively working on this.

We are working on building a solution, and from March you should be able to withdraw back to US, if you have a valid Bank account and a reason to maintain account in US, you should be able to do the same. Also, there will be no currency exchange losses on USD to USD Withdrawal. Thank you for your patience on this one.

Regards,
Samveg

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That’s awesome! Looking forward to using this new feature.

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4

Are you able to withdraw money to US bank account? I also use my US bank account to invest through Vested. I am a tax resident in India. I want to withdraw money to my US bank account.
Vested mentioned we need to give a valid reason for withdrawing money to US account, what reason should be given? I just like to add money to US bank account for future investments. I don’t want to keep in Vested wallet.

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5

Hi @Ethical_Investor

We have enabled the new flow for you. This allowes USD Withdrawals as well as in all major currencies. Hope this helps. Thank you.

Regards,
Samveg

6

Hi @Ritesh_Quantum_306

Hope you had a great weekend. We have enabled the new Withdrawal flow for you. You would now be able to withdraw in USD. Please note that withdrawal to a bank in a country which is not your tax resident is on approval basis. You need a reason to have a bank account in another country - United States in this case.

Once you add your bank account, and fill in the reason for holding the bank account, out team might reach out to you for confirmation. Once approved you can withdraw to your USD account. This is a one-time annual process and is not needed again and again. Hope this helps. Thank you.

Regards,
Samveg

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@Ritesh_Quantum_306 @Ethical_Investor can you guys please help and let me know which banks US bank account you guys use.

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Chase

9

Hi Samveg ,
Why I’m unable to verify my Charles schwab account? I’m able to provide touting number and verify using schwab login but while routing back to vested app, the app shows verification failed. Why?

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Hi @Ankit_Prime_958

I am sorry for the inconvenience you have to go through. Can you send an email to “help@vestedfinance.co” with your registered email id along with a screen recording for us to understand the issue better? Thank you.

Regards,
Samveg

11

Hi,
I have shared the recording over vested chat.

2 Likes
12

Hi @Ankit_Prime_958,

I’m currently looking into your case. It appears that our partner was having difficulty identifying a valid checking or savings account during your linking attempt. I’ve shared the screen recording you provided with their team for further investigation.

We’ll keep you posted as soon as we receive additional insights. In the meantime, our Customer Success team will also follow up with you directly via the support ticket you raised.

Appreciate your patience!

13

I am also facing a lot of withdrawal issues. Vested has done some sort of tie up with HDFC bank in India and Vested representatives are saying this:

  • Typically, Indian banks charge a fixed fee of 500 - 3000 INR along with a 3-5% forex markup to convert INR to USD. Please contact your bank’s support to know the charge that would be levied by them for transferring funds under the purpose code S0001.
    • Since we have a partnership with HDFC Bank, there are no fixed fees, and the FX markup fee would range between 1% and 2%.
      • Since there is no fixed fee, there are additional platform fees charged via the HDFC fund transfer route. This helps cover cross-border money movement charges and ensures a smooth fund transfer process. We show the exact USD that will be credited, including all fees on the transaction screen. Even with all these fees, it is one of the cheapest and easiest ways to load your Vestedaccount.

These are extremely high charges and we incur only 0.2-0.3% if we had given indian bank details while selling shares.

Please dont fool innocent customers.

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Hi @NIPUN_Swift_714

First of all, we are sorry that you had a bad experience with Vested. Thank you for raising the question. I went through your conversation with our support representative. Let me clarify the situation a little.

Withdrawal
Let’s understand the withdrawal first and then we can talk about our deposits. For withdrawals, we have absolutely NO partnership with HDFC or any Indian bank as of now. We have partnership with JP Morgan and Chase - a very well known and global bank. That being said, all our wires are processed through JPMC. We now have 2 options:

  1. User can withdraw in USD - This results in the receiving bank doing the forex conversion (USD to INR) and depositing into the account. Since vested is sending a wire in USD all the charges namely -

    a. Intermediary Bank Fees - charged by Indian Banks (may be upto $20 fee) may or may not be applied depending on your bank.

    b. Forex Mark Up - Indian bank charges a forex mark-up which can be 2-3% depending on the Inter Bank Rate commonly known as IBR (the FX conversion rate you see on Google), as no bank converts on IBR or the price you see on Google.

    c. GST/FCC Tax - Since the bank is converting your USD to INR and charging an FX markup, they have to pay GST which is charged from you.

    d. SWIFT Copy - Your bank might request you to provide you with a SWIFT copy or other documents. Which would result in a conversation between you and your bank and might delay the deposit.

  2. User can withdraw in Local Currency - This results in our banking partner performing the foreign currency conversion (USD to INR or any other local currency). Now that Vested is doing the FX conversion, your bank simply receives an NEFT/RTGS INR transfer in your bank account (in case of India)

    a. Intermediary Bank Fees - Because of the above setup, 0 fees is charged.

    b. Forex Mark Up - There is still an FX markup applied and platform fees is applicable to the user, but the total still is in range of 1-2% inclusive of everything and better than what you would receive with your bank, since we have negotiated lower markup for our users.

    c. GST/FCC Tax - Since this is not happening in India anymore, no tax is applicable to user.

    d. SWIFT Copy - Your bank is now receiving an INR and doesn’t need any document.

While we recommend our users to withdraw in local currency (INR in this case) - so that the process is extremely smooth for you it is absolutely upto the user to choose what they see fit.

Just to give you a better context of this - currently if I withdraw from Vested FX rate I am getting is $1 = ₹83.62 as of 26th May, 2025.

Now, if you look at ICICI, HDFC are ₹83.09, ₹83.49 as of 26th May, 2025.

We have also removed fixed fee of $5 above $100 withdrawals for local currency transfers and are now only applicable on USD withdrawals.

Deposits
Now coming to deposits, we do have a partnership with HDFC, ICICI and Axis bank. What you mentioned here:

  • Typically, Indian banks charge a fixed fee of 500 - 3000 INR along with a 3-5% forex markup to convert INR to USD. Please contact your bank’s support to know the charge that would be levied by them for transferring funds under the purpose code S0001.
    • Since we have a partnership with HDFC Bank, there are no fixed fees, and the FX markup fee would range between 1% and 2%.
      • Since there is no fixed fee, there are additional platform fees charged via the HDFC fund transfer route. This helps cover cross-border money movement charges and ensures a smooth fund transfer process. We show the exact USD that will be credited, including all fees on the transaction screen. Even with all these fees, it is one of the cheapest and easiest ways to load your Vestedaccount.

is applicable for Deposits and not Withdrawals. Sorry for the confusion from our end. Hope this helps you understand our structure better, and more than happy to answer any further questions that you might have. Thank you and Happy Investing.

Regards,
Samveg

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Hi @Samveg-Vested
Regarding your answer about withdrawal in USD, is it specific to taking money into Indian Banks?
Is the number of fees still applicable if we withdraw money into US Bank account instead of Indian bank account or just $5 withdraw fee?

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Hi @Ritesh_Quantum_306

For USD withdrawals in US Bank, we have not seen any intermediary fees so far. Ofcourse this depends on bank to bank. What I can recommend for you is to test out a smaller transaction and see if anything apart from $5 fee is being charged. For most of our users withdrawing to US Bank account, haven’t complained about this. Hope that answers your question. Thank you.

Regards,
Samveg

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Withdrawal my investment will