| SL |
Description |
NRE A/C |
NRO A/C |
FCNR A/C |
| 1 |
When to Open |
After becoming NRI |
After Becoming NRI or just before it |
After becoming NRI |
| 2 |
Joint Account with NRI Possible? |
Yes |
Yes |
Yes |
| 3 |
Joint Account with Resident Indian Possible? |
Yes (with close relatives only) |
Yes |
Yes (with close relatives only) |
| 4 |
Currency in Savings A/c |
INR |
INR |
USD, Euro, Pound etc |
| 5 |
Current Account & Savings A/c |
Yes |
Yes |
No |
| 6 |
Fixed Deposit Possible? |
Yes |
Yes |
Yes |
| 7 |
Purpose |
NRI can keep their savings they managed in a foreign country (in USD etc) in NRE a/c in INR |
NRI can keep their income generated in India (like dividend, rental income, gift etc) |
NRI can use FCNR to keep fixed deposits (in foreign currency) for max period of 5 years |
| 8 |
Income generated in India can be kept? |
No |
Yes |
No |
| 9 |
Repatriation |
Yes |
No. Only interest income generated from deposits can be repatriated |
Yes |
| 10 |
Funds Transfer to any normal Indian Bank Account |
Yes |
Yes |
No |
| 11 |
Funds Transfer to NRO a/c |
Yes |
Yes |
No |
| 12 |
Funds Transfer to NRE a/c |
Yes |
Yes |
Yes |
| 13 |
Funds Transfer to FCNR a/c |
Yes |
Yes |
Yes |
| 14 |
Income Tax on Interest Generated on Deposits? |
No |
Yes |
No |
| 15 |
What happens when NRI comes back and settles down permanently in India? |
Account gets converted to resident account |
Account gets converted to resident account |
Account gets converted to resident account |
| 16 |
Interest Earned for 5Year Fixed Deposit in USD |
NA |
NA |
2.88% |
| 17 |
Interest Earned for 5Year Fixed Deposit in Pound |
NA |
NA |
2.68% |
| 18 |
Interest Earned for 5Year Fixed Deposit (in INR) |
8.50% |
8.50% |
NA |
| 19 |
Interest Earned on Savings A/c (in INR) |
4.00% |
4.00% |
NA |
| 20 |
Interest Rate Charged on Loan against deposit in NRO/NRE A/c |
0.50% over the rate paid on the relative Time Deposits offered as security. |
0.50% over the rate paid on the relative Time Deposits offered as security. |
2.25 % over prevalent Bank’s Base Rate* (12.25% p.a. currently) |
