USD 
INR 
GBP INR 
CAD INR USD INR GBP INR CAD INR 
The NRE account is an Indian Rupee denominated account, which is freely repatribale. This form of NRI account can be in the form of savings, current, recurring or fixed deposits. The income is deemed to be earned outside India. Indian Rupees cannot be deposited into this account, only foreign currency can be deposited which will be converted into Indian Rupee at the time of deposit. To learn more about NRE account, see the below FAQ's
Any Non Resident Indian or Person of Indian Origin can open a NRE Account. Individuals from Bangladesh & Pakistan can also open NRE Accounts, but would need prior permission of Reserve Bank of India (RBI) to do so. A person can mean an individual, a company, a partnership, a trust etc can open a NRE Account.
A NRI or Non Resident Indian is an individual who resides outside India, but is an Indian Citizen.
A ‘Person of Indian Origin (PIO)’ is a person resident outside India who is a citizen of any country other than Bangladesh or Pakistan or such other country as may be specified by the Central Government, satisfying the following conditions:
A PIO will include an ‘Overseas Citizen of India’ cardholder within the meaning of Section 7(A) of the Citizenship Act, 1955. Such an OCI Card holder should also be a person resident outside India.
Yes, the NRE Account can be a Joint Account, provided all the account holders are either NRIs or PIOs or any combination of the two.
The NRE Account is an INR denominated account.
NRE Account can be a Savings Account, a Current(Checking) Account, a Fixed Deposit Account or a Recurring Deposit Account.
The Fixed Deposit or Recurring Deposit can be for a period between one year to three years. However it is at the discretion of the bank where the NRE account has been opened, to allow a period above three years.
The permitted credits into the NRE Account are:
The permitted debits are:
NRE account balance can be fully repatriated, which means the total balance of the NRE account can be sent abroad.
Income earned in the account is exempt from Income Tax in India. The balance is also exempt from Wealth Tax. Which means that this account is tax free, in India.
Yes, the banks can give loans on the security of the NRE Account to the account holder or third parties, as per their lending norms. There are no limits prescribed by the RBI on the same.
The loans taken on the basis of the NRE account cannot be repatriated abroad. It can be used in India only for the purposes specified in the loan application as read along with the regulations.
The repayment of the loan can be done by inward remittance. It can also be repaid by utilizing the balance held by the account holder in their NRO Accounts.
No, premature withdrawals are not allowed if the loan has been taken basis the security of the NRE Account.
The rate of interest on NRE Account are based on the directives of RBI under the guidelines issued by the department of Banking Regulations. These are generally in the range of 1.5% to 2.5% per annum.
Yes, the NRE Account can be operated under a POA. There are restrictions on the application of the POA. These restrictions are applicable to withdrawals for local payments or remittance to the account from abroad.
The NRE Account is then designated as a Resident account or the funds held in this account are transferred to a Resident Domestic Account, at the option of the account holder.
The account holder should immediately intimate the bank of the change of the status.
19809 views Get the Best Exchange Rates, Important Remittance Information and
Special Promotion Alerts on the go! Download Our Mobile App on your Smartphone or Smartwatch.
Founded in 2012, CompareRemit is the first, largest, and fastest-growing money transfer comparison marketplace globally. Put your brand in front of millions of active remittance users, ready to send money using your services. To learn more schedule a call with our Strategic Partnership Manager or fill out the form below and we will reach out to you within 2 business days.
Submit your contact information and we will get back to you as soon as possible.
Submit your contact information and we will get back to you as soon as possible.
CompareRemit is a part of FrontAd Media Inc., a digital media company built by a team of passionate marketing experts, with in-depth knowledge and direct access to the immigrant population in the United States. We are not a conventional or typical marketing agency, but rather an end-to-end digital marketing solutions provider that works to bridge the gap between your brand and your target audience. Working with you every step of the way from concept to execution, FrontAd Media Inc is proven to deliver measurable results.
