Remittance of Yuan to Bank ABC

Agricultural Bank of China (ABC)

In this article, we aim to discuss the transfer of yuan to the ABC Bank. We previously discussed methods for transferring yuan to China and provided various options. It is important to note that Asan Tejarat Trading handles your transfers to ABC Bank. Simply contact our advisors, and they will provide you with the necessary guidance.

Agricultural Bank of China (ABC)

The Agricultural Bank of China (ABC), also known as AgBank, is one of the four largest banks in China. Founded on July 10, 1951, its headquarters is located in the Dongcheng area of Beijing. The bank has branches across China, as well as in Hong Kong, London, Tokyo, New York, Frankfurt, Sydney, Seoul, and Singapore.

ABC has 320 million individual customers, 2.7 million corporate clients, and nearly 24,000 branches. It is the third-largest lender in China in terms of assets. ABC went public in mid-2010, securing the largest initial public offering (IPO) in the world at that time until it was surpassed by Saudi Arabia’s state-owned oil company. In 2011, ABC ranked eighth among the world’s top 1000 banks. By 2015, it ranked third in the Forbes Global 2000 list, and in 2017, it was ranked fifth.

AGRICULTURAL BANK OF CHINA LIMITED is a commercial bank based in China. The bank primarily operates through four business segments. The corporate finance segment deals with deposit and loan services, small and micro business finance, clearing and cash management, trade finance, and investment banking. The personal finance segment is involved in personal deposits and loans, credit card services, and private banking. The treasury segment handles money market transactions and portfolio management. The asset management segment offers financial services, asset custody business, retirement, and precious metals trading.

History of the Agricultural Bank of China

Since the establishment of the People’s Republic of China in 1949, ABC has undergone multiple formations and dissolutions. On July 10, 1951, two banks of the Republic of China—China’s Farmers Bank and the Agricultural Cooperation Bank—merged to form the Agricultural Cooperation Bank, which ABC considers its predecessor. However, in 1952, the bank merged with the People’s Bank of China, the central bank of China. The first bank named Agricultural Bank of China was founded in 1955, but in 1957, it was merged into the central bank again. In 1963, the Chinese government re-established another Agricultural Bank, which was merged with the central bank two years later. The current Agricultural Bank of China was officially established in February 1979, with its structure limited to forming a holding company called Agricultural Bank of China. It was listed on the Shanghai and Hong Kong stock exchanges in July 2010.

In April 2007, ABC became the victim of the largest bank robbery in China’s history when two treasury managers at the Handan branch in Hebei Province embezzled approximately 51 million yuan ($7.5 million USD). In 2012, ABC launched a project to migrate to the Avaloq banking system. During the North Korean crisis in 2013, the Agricultural Bank of China ceased trading with a North Korean bank accused by the United States of financing missile and nuclear programs.

Yuan Transfer to the Agricultural Bank of China

The Agricultural Bank of China (ABC) offers a wide range of payment services through various channels to enable clients to have more effective control over their payments while improving payment efficiency and enhancing risk management.

ABC transfers the exact amount specified by the remitter through electronic fund transfers to the designated recipient. Both corporate and individual clients can make various types of payments through bank remittances or cash remittances. Cash remittances are only available when both the remitter and the recipient are individuals. ABC supports urban, intercity, and interbank remittances, and with the fast remittance service, funds are transferred instantly to the recipient’s account.

The remitter signs the remittance voucher and related documents at one of ABC’s branches. After reviewing the documents and receiving the required amount, ABC transfers the money to the recipient’s bank and issues a remittance receipt to the remitter.

Electronic Payments

Customers can easily make money transfers through their accounts or authorized accounts using various ABC electronic platforms. Multiple currencies, including RMB, are supported. Several payment methods, such as reserved payments and batch payments, are available. Intra-city, intercity, and interbank remittances are all possible. Clients can apply for access to ABC Express Bank or online banking, sign the related contracts, and authorize the relevant account for transactions.

Regular Payment Services

According to agreements with relevant parties, ABC regularly deducts payments from the payer’s account and then pays the designated recipient in batches. This process may include payments for insurance premiums, retirement funds, etc. This service is designed for corporate clients who need to make periodic payments to multiple recipients. Payments are timely and securely transferred to the recipients’ accounts. The client applies at an ABC outlet, signs the relevant contract, and provides details such as recipient accounts and payment amounts. ABC then regularly transfers payments from the payer’s account to the recipients.

Payroll Services

Clients can allow ABC to distribute salaries at an ABC branch or through electronic platforms. ABC then deducts from the designated account and transfers the specified amount of money to employees’ accounts, including passbooks, debit cards, quasi-credit cards, and credit cards from financial institutions. Both ABC and other bank accounts are supported, and funds are transferred on time nationwide. The client applies at the ABC branch where the account is opened, designates an account for payroll services, and signs a payroll services contract. If payroll services are provided electronically, the client must also register for access to Express Bank-enterprise or online banking services.

Telegraphic Transfer (T/T)

A T/T transfer is a settlement method in which the Agricultural Bank of China (ABC) transfers foreign currency to the designated recipient via SWIFT according to the remitter’s instructions.

At Asan Tejarat Trading, we offer T/T services to the United States Dollar (USD), Japanese Yen (JPY), Hong Kong Dollar (HKD), Euro (EUR), and British Pound (GBP) with relatively low fees. Today, T/T is the most popular method of remittance. Generally, the client can receive or send money within 1-3 business days.

External T/T Transfer:

  1. The remitter fills out the foreign remittance application form.
  2. The remitter pays ABC an amount equal to the money to be remitted, plus service and postal fees. The foreign remittance may be made from a foreign exchange cash account or by purchasing currency from ABC.
  3. The remitter must provide valid documents required by the foreign exchange department according to the nature of their payment.
  4. After accepting the request, ABC provides the remittance instructions and delivers the receipts to the remitter.
  5. If changes to the remittance instructions are required, the remitter must request such changes.
  6. Refund for remittance: The remitter submits a written request and remittance receipt to request a refund from the paying bank. The remitted money will be refunded after the paying bank agrees to the refund and receives the remittance.

Internal T/T Transfer:

  1. ABC receives the remittance message from the bank and, after verifying and confirming the message, processes the foreign exchange settlement or credit procedures for the customer according to the government’s foreign exchange policies.
  2. After receiving the credit notice issued by ABC, the client fills out the foreign income declaration form, affixes the company’s financial seal to the form, and submits it to ABC for international payment declaration and export fund sales.

Frequently Asked Questions (FAQs)

Are T/T and D/D fees charged at the same rate?

Their service fees are the same, but T/T is subject to additional telegraph fees.

What is the purpose of the external remittance receipt?

If the recipient does not receive the money within the usual time, you can inquire about the remittance information from the bank using the receipt, make corrections, or keep it as a reference for future remittances.

What foreign exchange regulations apply to foreign remittances?

Foreign remittances must comply with relevant foreign exchange laws and policies. Valid supporting documents in line with the government’s foreign exchange policies must be provided, such as documents for foreign exchange payments under business or non-commercial accounts, written confirmation for non-commercial foreign exchange payments, forms for international receipts and payments, import approval sheets (if necessary), and forms for foreign payments under non-commercial accounts (including capital) (if applicable).

Do I need to open a foreign exchange account for domestic remittances?

If you have an account at ABC, we will directly deposit the remitted amount into your account. If you do not have an account at ABC, we will transfer the currency to you using another method.

Final Thoughts

If you are involved in import/export from China, air, sea, or land transportation, or customs clearance from China, and need to transfer yuan to the Agricultural Bank of China, you have several options available. You can make a bank transfer or pay with a credit or debit card. Like all banks, ABC may sometimes refuse to accept payments from certain or all third parties. Therefore, to ensure the timely processing of your remittances, we recommend trusting Asan Tejarat Trading to handle your transfers, and you can rest assured that your transfers will reach their destination.