In continuation of my last post on remitting to IBKR/Paasa with zero forex markup
If you read my previous post, you might remember the biggest friction point: AU Bank required a physical branch visit because Purpose Code S0001 (Indian Portfolio Investment Abroad - in equity shares) wasn't available in their online banking portal or app.

Good news: AU Bank has now officially enabled Purpose Code S0001 in both their mobile app and Net Banking interface!

I did a small $100 USD test transfer today directly through the netbanking to see if the end-to-end flow actually works without getting stuck. Here is the exact process, a few critical pitfalls to watch out for, and the full timeline.

Step-by-Step App Workflow & Setup

1. Initiation: Log into the app/netbanking and select 'Send money abroad'.
2. Add Recipient Details or pick a saved beneficiary: Fill in the SWIFT code, Bank Name, Bank Address, Routing Number, and Beneficiary Details (IBKR / Paasa / Vested, etc.). ⚠️ CRITICAL TIP FOR ACCOUNT NUMBERS: The account number field in the AU Bank portal only accepts numeric characters.
   • For IBKR/Paasa:
     • First Name: Interactive Brokers LLC
     • Address Line 1: One Pickwick Plaza
     • City: Greenwich - 06830
     • State: Connecticut
     • Country: United States
   • If you are using Paasa, an account string like 40801234U24912345 must be split into two parts: enter the numbers before the 'U' in the Account Number field, and put the rest into the SWIFT instructions in a later step.
   • If you are using Direct IBKR, the specific account reference number (e.g., U1234567) goes in the SWIFT instructions / Remarks field on the subsequent screen.
3. Select Purpose & Amount:
   • Purpose: Indian Portfolio Investment Abroad In Equity Shares (S0001).
   • Enter the USD amount. The fee breakdown screen explicitly shows Zero Forex Markup and ₹0 processing charges; only statutory GST is added.
4. Select Funding Account & Source: Pick your AU account and select the source of funds (Savings / Salary / Income from business, etc).
5. Document Uploads:
   • Investment Evidence: Account Confirmation Letter or payment details screenshot showing beneficiary details.
   • Financial Proof (Upload any 1): 1-year non-AU bank statement, latest filed ITR, or Income Tax Assessment Order.
6. LRS Declaration & RBI Tracking:
   • Accept the 'Overseas Portfolio Investment under LRS' self-declaration.
   • The next screen auto-populates your utilised LRS limit for the current FY (pulled from RBI's CBS data up to 2 days ago). Manually add any remittance entries made yesterday or today (add the current one too), then proceed.
7. Final Remarks & Submission:
   • 🚨 IMPORTANT: Under "Remarks (Message to Beneficiary Bank)", explicitly enter your account ID and name (e.g., U12345678 / FIRST_NAME LAST_NAME). This ensures the receiving bank credits it to your specific ledger.
   • Review the generated PDF A2 form (which auto-formats exactly like the physical branch form) and click 'Send Now'. You’ll get a request number like AUXXXXXXXXXXX0001.

Pro-tip for Direct IBKR users: Once submitted, log into your IBKR portal and create a "Deposit Notification" matching this exact USD amount and reference number. This helps IBKR immediately match and auto-credit the funds the moment the wire hits their account.

The Timeline (Same Day Execution)

• 2:06 PM: Form submitted online. Immediately received a confirmation email with the subject: Transaction booking successful (Request Ref: AUXXXXXXXXXXX0001).
• 3:40 PM: Received a quick verification call from AU Bank asking me to email over the IBKR confirmation letter (looks like the app upload didn't register cleanly). Emailed it within 30 seconds.
• 4:26 PM: Got the INR debit alert SMS.
• 4:40 PM: Received email: "Transaction Processed Successfully with Zero Markup & Zero Charges".
• 5:02 PM: SWIFT copy (MT103) delivered via email.
• 5:16 PM: Email from IBKR ("Deposit Activity Update") confirming the $100 deposit was credited and ready to trade!
• 5:43 PM: AU Bank issued the formal DEBIT_ADVICE document.

The Takeaway

From online submission at 2:06 PM to funds sitting inside my brokerage account at 5:16 PM, the whole end-to-end process took just over 3 hours without stepping outside my door.

Having a true zero-markup pipeline operating 100% digitally is a game-changer for anyone doing smaller, regular dollar-cost averaging (DCA) tranches into international ETFs.

Hope this step-by-step breakdown helps anyone setting this up for the first time! Feel free to drop any questions if you get stuck on the account formatting.