Study Guides/General Knowledge/Remitter Meaning — Person Who Sends Money
Study Guide · General Knowledge

Remitter Meaning

A remitter is the person or entity that sends money to another person (the beneficiary or remittee). In banking, 'remitter' appears on demand drafts (DD), wire transfers, NEFT/RTGS transactions, and international money transfers. The act of sending money is called 'remittance.' The person receiving the money is the 'beneficiary' or 'remittee.'

Question (Click to Flip)

What is the meaning of remitter?

Answer

A remitter is the person who sends money (remittance) to another person or account. The person receiving the money is called the beneficiary or remittee. The term 'remitter' appears on demand drafts (DD), NEFT/RTGS bank transfers, and international money transfers. In Hindi, remitter = प्रेषक (Preshak). India is the world's top receiver of international remittances.

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Key Facts

Remitter = person who sends (remits) money to another party.

Remittee/Beneficiary = person who receives the money.

Term appears on demand drafts (DD), NEFT/RTGS, and international transfers.

Remitter in Hindi = प्रेषक (Preshak); Remittance = प्रेषण.

India is the world's largest receiver of international remittances.

FEMA (Foreign Exchange Management Act) governs remittances in India.

Remitter — Meaning, Usage, and Related Terms

Definition: • Remitter = the person or entity that sends (remits) money • Remittee / Beneficiary = the person who receives the money • Remittance = the amount of money sent

Where the Term 'Remitter' Appears:

  1. Demand Draft (DD): • Remitter = the person who purchases the DD and sends money • Payee = person named on the DD who receives it

  2. NEFT / RTGS / IMPS (Bank Transfer): • Remitter = the account holder initiating the transfer • Beneficiary = the account holder receiving the transfer

  3. International Remittance: • Remitter = person working abroad sending money home • Example: Indian worker in Dubai sending money to family in India • India is the world's largest remittance receiving country

  4. Cheque: • Drawer = writes the cheque (similar to remitter) • Drawee = bank • Payee = person who receives the money

Remitter in Hindi: • प्रेषक (Preshak) — sender of money • प्रेषण (Preshan) — remittance (act of sending money)

India and Remittances: • India receives the highest amount of remittances globally • Major sources: UAE, USA, Saudi Arabia, UK, Kuwait • Indian diaspora sends billions of dollars annually to India • RBI tracks inward remittances under FEMA (Foreign Exchange Management Act)

Key Terms Table:

TermMeaning
RemitterPerson sending money
Remittee / BeneficiaryPerson receiving money
RemittanceAmount/act of sending money
NEFTNational Electronic Funds Transfer
RTGSReal-Time Gross Settlement
IMPSImmediate Payment Service
DDDemand Draft — physical payment instrument

Questions and Answers

What is the meaning of remitter?+

A remitter is the person who sends money (remittance) to another person or account. The person receiving the money is called the beneficiary or remittee. The term 'remitter' appears on demand drafts (DD), NEFT/RTGS bank transfers, and international money transfers. In Hindi, remitter = प्रेषक (Preshak). India is the world's top receiver of international remittances.

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