Understanding the nuances of banking services can be a game-changer, especially when you’re an NRI. The unique needs of Non-Resident Indians have given rise to tailor-made banking solutions, with NRE accounts taking the lead. 

But what sets an NRE account apart from a normal account? How can NRE account features benefit you? Let’s delve into the world of NRE accounts, their rules, and their features.

Understanding NRE Accounts

An NRE or Non-Resident External account is a type of account offered by Indian banks, allowing NRIs to hold and manage their foreign earnings in Indian currency or INR. It has a host of benefits that are specifically designed to cater to the needs of NRIs. However, a normal account, often referred to as a resident savings account, is designed for individuals residing in India, managing income earned within the country.

Repatriability: Freedom to Move Funds Seamlessly

Now, let’s explore the exclusive NRE account features. The key benefit of an NRE account is that the principal and interest earned are fully repatriable, meaning you can transfer these funds back to your country of residence without any restrictions. This feature provides immense flexibility and freedom to NRIs, allowing them to seamlessly manage their finances across countries. Additionally, the interest earned on the funds in an NRE account is tax-free in India, making it a highly lucrative option for NRIs.

NRE Account Rules: Know the Guidelines

Before you rush to apply, let’s understand some of the NRE account rules. An NRE account can only be funded through foreign income and not from sources of income within India – such as rent or dividends. The account can be jointly held with another NRI. If held jointly with a resident Indian close relative, the mode of operation – as per RBI guidelines – can only be on a ‘Former or Survivor’ basis. These rules ensure that the NRE account stays true to its purpose – managing foreign income for NRIs in a convenient and beneficial way.

Compare these to a normal account, where your funds are not freely repatriable and the interest earned is taxable. Normal accounts are designed for income earned within India and therefore, do not come with the flexibility of cross-border fund management.

Make the Right Choice with IndusInd Bank

IndusInd Bank is here to make your banking experience seamless and efficient. If you’re considering an NRE account, don’t delay. Avail the exclusive features and tax benefits, simplify your banking experience and make the most of your foreign income with IndusInd Bank.

You’ll be amazed by the level of convenience and financial benefits an IndusInd Bank NRE account brings to your life.  Apart from the general NRE account features such as tax-free interest earnings and fully & freely repatriable funds, the salient benefits of an NRE account at IndusInd Bank are as follows:

  • Attractive interest rates
  • Access to an international debit card
  • Access to best-in-class digital banking facilities including mobile banking, net banking, and video branch
  • Plenty of online and telegraphic options for transferring funds to India
  • Low minimum balance requirement
  • Option of appointing a mandate holder for operating your account in India

In a world where banking needs are evolving rapidly, IndusInd Bank lets you discover the future of banking. Apply Today with IndusInd Bank!