NRI Banking

  NRI account refers to a Non-Resident Indian’s bank account with an Indian Bank. This is mandatory for an NRI to carry out financial transactions in the country. Continuing financial transactions in India with your old resident bank account is considered illegal. Today, the digitization of India’s banking system has made it extremely convenient for NRIs to open an NRI account sitting miles away in the country of their residence. Procedure To open an NRI account, an NRI has to first and foremost visit the nearest branch of the bank in India (if you are in India). If you are overseas, then all you have to do is provide your contact details and a time bracket when the bank officials can contact you to help you open an NRI account online.  You can also opt for the online Paperless Account Opening procedure wherein you will have to download the account opening application form from the bank website, duly fill and sign the same.  Keep all the required documents ready in the p...

Sophisticated corporate earnings have made the Indian stock market a lucrative opportunity for every NRI investor. Any Non-Resident Indian (NRI) willing to tap this prospect may directly invest in stocks given he has the expertise and time. However, investing in Indian mutual funds instead is both a smarter and more cost-effective decision. Moreover, it's the perfect time to invest in mutual funds! Mutual funds are available in 3 main categories – Equity fund that deals in mutual funds of stocks, debt funds that deal in mutual funds of debentures, bonds and other debt funds and Hybrid funds that are formed by keeping a certain percentage of both debt and equity funds.  Bank account – According to the Foreign Exchange Management Act (FEMA), an NRI must open an NRI account in India to carry out any financial transaction in the country. An NRI can choose to open an NRE savings account or an NRO savings account based on his requirements.  NRE savings account – If he wants to inv...

Homeland is what our feet may leave, but not our hearts! Even as NRIs we are linked to our homeland in one way or the other. You may have a relative staying in India, an old house, your alma mater, friends and many other linkages back home. Connecting you emotionally, mentally and even financially. So, why not make this engagement beneficial?! Here are some tips to help you maximise your financial benefits in India… Choose an appropriate NRI account For an NRI to carry out any financial transaction in India, first and foremost he or she needs to open an NRI bank account. He can choose from either an NRE account, NRO account or an FCNR account. NRE accounts let you deposit into your account your foreign currency earned outside India. NRO accounts let you deposit any income earned in India like rent, dividend, pension etc. Both these accounts are Indian currency dominated. While, FCNR account which deposits your income earned outside India, is held in foreign currency. Based on your requ...

  Any Non-Resident Indian who wishes to carry out financial transactions in India needs to open an NRI bank account. Continuing to transact with your regular Indian resident savings account is considered illegal once you attain an NRI status.  An NRI can open an NRE account or an NRO account . According to his or her needs.  What is an NRE Account? NRE, Non-Resident External account is a rupee dominated bank account opened to deposit an NRI’s foreign income in India. This account is available in the form of current, savings, recurring or fixed deposits.  An NRE account comes with attractive features such as NRE savings account interest rates , minimum required account balance, internet and mobile banking services and much more.  However, an NRI cannot deposit domestic funds generated in India into his NRE account other than transfers from his NRO account for which separate documentation is required. An NRI can be held jointly by two eligible NRIs or a resident I...