A non-resident Indian (NRI) is an Indian citizen or a person of Indian origin residing outside India. … NRIs can maintain bank accounts in India in the form of rupee or foreign currency accounts. The latter can be maintained only with RBI authorised dealers or banks.
Can we keep dollars in NRE account?
An NRE Account or Non-Resident External Account offers you this facility. Here, your money is converted into Indian Rupee or INR at the time of deposit. This means that you can deposit money in any foreign denomination, e.g. US Dollar and withdraw it in Indian Rupees.
Can I keep dollar account in India?
A resident of India can open, hold and maintain foreign currency accounts in and outside India. … A person resident in India can open a foreign currency account in India with an authorised dealer. It is opened, held and maintained in the form of a current or savings or term deposit account.
Can NRE account be maintained in foreign currency?
What are the types of NRI Accounts? NRE Accounts are maintained in INR. This means that when you deposit the money in the NRE Account, the foreign currency is converted to Indian rupees at the prevailing foreign exchange rates. … The interest income earned on the amount in an NRE account is non-taxable in India.
Can NRI deposit foreign currency in India?
As an NRI, you can bring in as much foreign currency as you like after declaring it to customs. But if you plan on staying in India for a while, you can open an NRO/NRE account, deposit your foreign currency and withdraw in INR. Banks typically levy a nominal transaction and currency conversion fee.
Which account is better NRE or NRO?
You should opt for NRE Accounts if you want to hold or maintain your overseas earnings in Indian currency. NRE Accounts are also suitable if you wish to keep your savings liquid. You should opt for NRO Accounts if you want to save your earnings from India in Indian currency itself.
Is it illegal for NRI to have savings?
As per the Foreign Exchange Management Act (FEMA) guidelines, an NRI cannot have a savings account in his or her name in India. You must convert all your savings (money earned abroad) to a Non-Resident External Account (NRE) or Non-Resident Ordinary (NRO) account.
Can Indian Open bank account abroad?
An Indian bank is allowed to open, hold, and maintain an account with a bank outside India. Foreign currency transactions can take place in these ways as long as there is no form of disruption in regular banking business.
Do Indian banks accept foreign currency?
Exchange through banks:
You could exchange your foreign currency in the Indian bank where you have opened a NRO Account. For instance, HDFC Bank provides this walk-in facility to all its NRI clients in the form of NRI banking services. The bank charges a nominal transaction fee.
Can I put foreign money in my bank account?
Your bank will convert your foreign currency into U.S. dollars before depositing it into your account. … While many financial institutions provide this service, smaller branches of some banks may not be able to process your deposit.
Can we have 2 NRE accounts?
No, NRIs can only open one PIS account. However, they can open multiple NRE savings bank accounts. You can open only one NRE PIS accounts.
Can I transfer money from NRE to Indian account?
Can NRIs transfer funds from NRE to NRO Account? YES! NRIs can transfer funds from their NRE (Non Resident External) Account to their NRO (Non Resident Ordinary) Account.
Which bank account is best for NRI?
10 Best NRE Savings Accounts for NRIs in 2020
|Bank Name||Interest rate (%) p.a.|
|ICICI Bank||3.50% to 4.00%|
|HDFC Bank||3% to 3.50%|
|Bank of Baroda||2.75%|