Easy USD deposits made possible with Vested Direct
Three months ago, we silently launched Vested Direct, with some of you receiving a special beta access link. We are super excited about this new feature, and we wanted to ensure that we got it right.
From day one we knew that in order to provide a fast and cost-effective US investing solution, we would need to build not only an amazing brokerage platform, but also a smooth deposit and withdrawal journey. Vested Direct is our answer to the traditional costly and opaque deposit process. We are proud to be the first ones in India to create this unique funds transfer solution – a solution that we believe will help thousands of Indians become global investors.
What is Vested Direct in one line?
Vested Direct is an INR wallet that allows you to load USD into your Vested US brokerage account in a cost-effective, fast, and transparent manner.
Why are we launching Vested Direct?
At Vested, our goal is to allow you to “Diversify with ease.” We realize that diversification can never be easy if the process of loading funds into your US brokerage account costs INR 1,000 in fixed fees, charges 2-3% forex markup, provides no updates as to where your money is, and takes days for the funds to reflect. Hence, Vested Direct.
How does Vested Direct work?
Vested Direct was made possible with the support of our partner, SBM Bank India. SBM Bank India powers the underlying banking layer required for this new feature.
Here are the three steps you need to undertake (all online within the Vested platform):
- Open a Vested Direct account. This is a one-time process. The underlying account is a zero-balance savings account with SBM Bank India. This account works like a wallet in which you can load INR.
- Next, load funds into your Vested Direct account via your existing bank’s netbanking solution.
- To load USD into your Vested brokerage account, initiate a USD deposit request from the app. Note that when you initiate a deposit for the first time, as per RBI regulations, SBM Bank requires a 12-month bank statement from your existing bank account.
Once your transaction is approved by the bank, the funds will get credited into your Vested brokerage account within the next 24 hours.
What are the costs associated with Vested Direct?
There are typically two main types of costs that you need to know about with USD deposits: transaction fees and forex markup. Vested Direct offers:
- Zero transaction fees. Transactions via Vested Direct incur no fixed fees.
- Low forex markup. Vested Direct charges a fixed forex markup of 1.2%, one of the lowest in the industry! The current industry average is higher than 2%.
How do I get started?
Head to this link, login, and navigate to the Vested Direct section once your KYC is approved. Create your account. Load INR. Transfer USD. It’s as easy as it gets.
This is just the beginning for Vested Direct. We will be working towards improving the transfer time, automating deposits, making the onboarding smoother, and a lot more!
Now that you know how to easily and cheaply fund your US investing account. Read more about how taxes will work when buying US stocks from India by going here. Alternatively, read how you can get started in buying US stocks by visiting here!
Our team members at Vested may own investments in some of the aforementioned companies/assets. Different types of investments involve varying degrees of risk, and there can be no assurance that any specific investment or strategy will be suitable or profitable for an investor’s portfolio. Note that past performance is not indicative of future returns. Investing in the stock market carries risk; the value of your investment can go up, or down, returning less than your original investment. Tax laws are subject to change and may vary depending on your circumstances.
This article is meant to be informative and not to be taken as an investment advice, and may contain certain “forward-looking statements,” which may be identified by the use of such words as “believe,” “expect,” “anticipate,” “should,” “planned,” “estimated,” “potential” and other similar terms. Examples of forward-looking statements include, without limitation, estimates with respect to financial condition, market developments, and the success or lack of success of particular investments (and may include such words as “crash” or “collapse”). All are subject to various factors, including, without limitation, general and local economic conditions, changing levels of competition within certain industries and markets, changes in interest rates, changes in legislation or regulation, and other economic, competitive, governmental, regulatory and technological factors that could cause actual results to differ materially from projected results.