Moving to a new nation for work or graduate school is an exciting experience. Personal banking is an area that needs your full attention before you start the new adventure, though. An NRI is not permitted to keep a resident savings account in India under the terms of the Foreign Exchange Management Act (FEMA). People of Indian origin (PIOs) and non-resident Indians (NRIs) must open an NRE or NRO Savings Account in accordance with Reserve Bank of India regulations (RBI).
Various NRI Account Types
External Non-Resident (NRE) Savings Accounts
NRIs and PIOs can park their foreign profits in an NRE Account. It is an account that accepts deposits in foreign currencies and is denominated in rupees.
Account for Non-Resident Ordinary (NRO) Savings
NRIs and PIOs deposit their income generated in India into an NRO Savings Account. For instance, revenue earned in India, such as dividends, rent, etc., may be placed in the NRO Account denominated in rupee.
Fixed Deposit (FD) Accounts for NRE and NRO
To increase the profits on their foreign or Indian income, NRIs and PIOs can also create NRE or NRO Fixed Deposit Accounts at their favourite banks. NRE FDs can be booked for a term of 12 months and higher, whereas NRO FDs can be booked for a tenure of 7 days to 120 months, depending on the bank you choose.
Depending on your banking requirements, you can open either a Non-Resident External Savings Account or a Non-Resident Ordinary Account with us.
NRI Savings Account Benefits
More Income from Interest
NRI Savings Account Interest rate in India are often greater than those on savings accounts in other nations. For instance, you can receive Monthly Interest Payouts and an interest rate of up to 8.20% p.a.* with an NRI Accounts. To get better returns, you can deposit your international profits or your domestic earnings into an NRE/NRO savings or fixed deposit account.
Finance India
You can access a variety of investment products in India with an NRI bank account. For instance, you might open a Demat Account and utilise it to invest in mutual funds or equities. A member of your family in India can be designated as a mandate holder so they can use the account on your behalf.
Advantages of Repatriation
Repatriation flexibility is one of an NRI Savings Account’s top advantages. There are no limitations on transferring money from your NRE Savings Account back to another foreign nation. However, transfers from an NRO Accounts are subject to annual repatriation caps.
Making Banking Simpler
You can easily control your spending when travelling to India by using your NRE or NRO Savings Accounts. You can utilise your NRI Account’s online banking service to pay bills, insurance premiums, and other expenses in India even if you’re abroad.
Tax Advantage
Interest income from NRI Account types like NRE Savings and NRE FD is exempt from taxation in India. You therefore get the full amount of interest income without any deductions.
Open an NRI Account with the Bank of Maharashtra
You can still open an NRI Savings Account online in India even if you’ve previously relocated abroad. You are able to open an NRI Account with the Bank of Maharashtra. Open an NRI Account with us to receive the best NRI Account Interest Rates.