NRI FAQs

What are all the deposits facility available to persons resident outside India?
- We (authorized dealer in foreign exchange) accept deposits.
Non-Resident (External) Account scheme (NRE Account) from a non-resident Indian.
- Foreign Currency (Non-Resident) Banks Scheme (FCNR (B) Account) from a non-resident Indian.
- Non-Resident (Ordinary) Account Scheme (NRO Account) from any person resident outside India.
What are all the type of accounts, a Non-Resident Indian (NRI) can open?
- NRE Accounts may be maintained in the form of Savings Bank, Recurring Deposit or Fixed Deposit accounts.
- FCNR(B) Accounts may be opened only in the form of Term Deposits for the maturity periods from 1 year to 5 years.
- NRO Accounts may be maintained in the form of Current, Savings, Recurring or Fixed deposit accounts.
Can the accounts be opened Jointly?
- NRE & FCNR(B): The accounts may be held jointly with one or more NRIs or with resident close relative on 'former or survivor' basis. A resident close relative shall be eligible to operate the account as a PA holder.
- NRO: The accounts may be held jointly with residents.
Is nomination facility available to the above accounts?
- Yes. In the name of a single person.
Can operations by Power of Attorney on Non- Resident Accounts acceptable?
- Power of Attorney or other ‘authority’ granted in favour of a resident by non-resident account holder may operate the accounts only for the following purposes:
  - Withdrawals for local payment.
  - Investment in India with specific authority in the Power of Attorney.
  - Repatriation of funds to the account holder himself.
Can fixed deposits be closed prematurely?
- NRE & FCNR fixed deposits with the bank can be closed prematurely. No interest is payable if the deposit is not kept with the bank for a minimum period of one year. Effective from 1st June 2022,penalty for premature withdrawal of Retail Term Deposits (including NRE & Recurring Deposits) will be applicable at the rate of 0.50% for deposit amounts below Rs. 5 lakhs and 1% for deposit amounts of Rs. 5 lakhs and above.The new change in penalty is applicable for all term deposits opened or renewed w.e.f. 1st June 2022.
Are funds in NRE / FCNR accounts re-patriable?
- All amounts in the various NRE / FCNR deposits accounts are fully repatriable.
On return to India, can the NRI retain his assets abroad?
- Yes, on return to India, NRI need not declare or surrender their foreign currency assets and the income earned thereon.
Can NRIs hold funds acquired overseas in foreign currency account in India?
- Yes. They can be held in RFC (Resident Foreign Currency) Accounts.
What amounts can be credited to RFC A/c?
- Sale / maturity proceeds of assets held abroad & income on them.
- Pension received abroad.
- Currency notes / TCs brought into India at the time of returning to India.
- Balances in FCNR / NRE a/cs.
Can a person who returns to India after a short assignment abroad open an RFC a/c?
- Yes.
Can the funds in RFC accounts be used for making local payments?
- Yes.
Can a returning Indian on going abroad again transfer his funds from RFC to FCNR (B) / NRI a/cs?
- Yes.
Is the amount in RFC accounts fully repatriable?
- Yes. For the permissible purposes.
Can RFC accounts be opened jointly with any resident or NRI?
- No.
For how many years can an RFC accounts be held?
- RFC accounts can be held for any number of years.
Is interest income on RFC deposits taxable?
- Interest income on RFC deposits is taxable and exemption is available for returning Indians, subject to IT regulations.
Can an NRI repatriate rent received from his house/flat in India?
- Yes.

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