Non-Resident Indian-
A person resident outside India who is a citizen of India or is a Person of Indian Origin.
Person Resident In India-
(1) A person residing in India for more than 182 days during the course of preceding financial year but does not include:
(a) A person who has gone out of India or who stays outside India, in either case-
- For or on taking up employment outside India, or
- For carrying on outside India a business or vocation outside India, or
- For any other purpose, in such circumstances as would indicate his intention to stay outside India for an uncertain period.
(b) A person who has come to or stays in India, in either case, otherwise than-
- For or on taking up employment in India, or
- For carrying on in India a business or vocation in India, or
- For any other purpose, in such circumstances as would indicate his intention to stay in India for an uncertain period.
(2) Any person or body corporate registered or incorporated in India.
(3) An office, branch or agency in India owned or controlled by a person resident outside India.
(4) An office, branch or agency outside India owned or controlled by a person resident in India.
Person Resident Outside India-
A person who is not resident in India.
Person Of Indian Origin-
A citizen of any country other than Bangladesh or Pakistan, if
- He/she at any time held Indian Passport; or
- He/she or either of his parents or any of his grand parents was a citizen of India by virtue of the constitution of India or the citizenship Act, 1955; or
- The person is a spouse of an Indian citizen or a person referred to in sub-clauses above.
Note-
- Students who go abroad for uncertain period and who stays abroad for more than 180 days in the preceding financial year is treated as NRI.
- Indian citizens working abroad on assignments with foreign governments, government agencies or international/multinational agencies like UNO, IMF, World Bank etc. are also treated as NRI.
- Officials of central, state government and public Sector Undertaking deputed abroad on assignments with foreign governments/agencies/organizations or posted to their own offices including Indian diplomatic missions abroad are also treated as NRI.
- Crewmembers of Indian nationality or Indian origin employed by foreign airlines/shipping companies, if they are based at foreign ports and reside abroad in connection with their employment are also treated as NRI. The crewmembers of Indian airlines/shipping companies who are shore staff of these companies and are posted abroad for duty on short term or long-term basis are also treated as NRI.
NRI DEPOSIT PRODUCTS
NRIs/PIOs can open the following Non-Resident deposit Account:
NON-RESIDENT (EXTERNAL) RUPEE ACCOUNT SCHEME [NR (E) RA]
This account is maintained in Indian Rupees. Amount held and interest is freely repatriable in any convertible currency.
Salient features:
·Account can be maintained in any form as a Saving, Current, Recurring and Term Deposit account. Term Deposits in Dena Bank can be maintained for 1 Year to 3 Years.
·No income tax on interest earned.
·Balances held in the account are free from Wealth tax/Gift tax.
·Nomination facility is available.
·Joint account with NRIs is permitted.
·Loans against deposits are permitted.
·Resident can operate the account under Letter of Authority or Power of Attorney.
·Conversion of foreign currency is done at market rate for full amount.
Click here to view NRE FAQ
FOREIGN CURRENCY NON-RESIDENT ACCOUNTS (BANKS) SCHEME (FCNR-B)
This account is maintained in foreign currency and thus provides full cover against fluctuations in foreign exchange rates.
Salient features:
·The amount held is repatriable.
·It can be opened in Dena Bank in five currencies viz. US Dollars, Pound Sterling, Euro, Australian Dollar, and Canadian Dollar.
·The interest earned in this account is not subject to Income Tax and amount held is exempted from Gift tax/ Wealth tax.
·This is maintained as a term deposit for not less than 1 year and not exceeding 5 years.
·Nomination facility is available.
·Joint account with NRIs is permitted.
·A loan against deposit is permitted.
·A loan to depositor in foreign currency is permitted.
·Resident can operate the account under Letter of Authority or Power of Attorney.
Click here to view FCNR (B) FAQ
NON-RESIDENT ORDINARY RUPEE ACCOUNT SCHEME (NRO)
This account is maintained in Indian Rupees and normally operated for crediting rupee earnings/income such as dividend, interest etc in India.
Salient features:
·This is maintained as Saving, Current, Term Deposits, Recurring Deposits.
·Nomination facility is available.
·The interest earned on this account is taxable under Indian Income Tax.
·Repatriation allowed up to USD 1 million, per calendar year subject to payment of applicable taxes.
·Nomination facility is available.
·Joint account with NRIs and Residents is permitted.
·A loan in India is permitted.
·This can be used for local disbursements and local receipts can be credited to this account.
·Resident can operate the account under Letter of Authority or Power of Attorney.
Click here to view NRO FAQ
ACCOUNT OPENING
- Accounts can be opened by remittances from abroad or by transfer of funds from existing NRE / FCNR Accounts of the same person with other banks in India or from any branch of our bank.
- The accounts can also be opened against foreign currency travellers cheques issued in their names or notes or coins tendered by them while they are on short visit to India.
- Download the application form from our Website www.denabank.com or e-mail us at intldiv@denabank.co.in
- Get the completed application form signed and attested by your Banker / Embassy of India / Public notary or any person known to the bank. This is for introduction purpose.
- Send the completed application form along with the remittance and the documents, mentioned below, to the branch where you want to open this account.
(a) Attested copies of Passport and Visa
(b) Latest overseas bank statement in original, latest overseas telephone/electricity bill in original for residential proof.
- Issuance of Deposit Receipt is immediate.
- In case it is desired to hold the Deposit Receipt in safe custody with us, proper instructions to the branch has to be given in writing.
INTEREST RATES
FCNR (B)
·As per the extant RBI guidelines interest rates in respect of FCNR (B) deposits of all maturities is fixed on the basis of LIBOR / SWAP rates. Rates can easily be accessed through our website or you can contact our NRI Cells and any branch nearest to your place.
FCNR Term Deposits: Click here to view current rates
NRE
·Term deposits: As per the extant RBI guidelines interest rates in respect of NRE deposits for one to three years maturity is fixed on the basis of LIBOR / SWAP rates. Rates can be easily accessed through our bank’s website or you can contact our NRI Cells and any branch nearest to your place.
·Savings: It is same as the rate applicable to the Domestic Savings Deposit, which is at present 3.50%.
·Current: Nil
NRE Term Deposits: Click here to view current rates
NRO
·As applicable to the Domestic Deposit Accounts.
PREMATURE CLOSURE OF NRI TERM DEPOSITS
FCNR (B)
·No interest is payable if the deposit is closed before 1 year.
·In other cases, interest rate as on the date of deposit or on the date of closure, applicable for the period run, whichever is less, minus 1% is payable. However, if the deposit is closed before maturity for the purpose of renewal, to avail the benefit of increase in the rate of interest, for a period more than unexpired period of deposit and renewed under the same scheme and same currency, no penal interest is charged.
NRE
·No interest is payable if the account is closed before 1 year.
·In other cases, interest rate as on the date of deposit or on the date of closure, applicable for the period run, whichever is less is payable. In no case rate of interest payable on such deposit to exceed the contracted rate.
PAYMENT OF INTEREST
- Payment of interest is permissible in foreign currency on FCNR deposits and in Indian Rupees on NRE Deposits. On FCNR deposits payment of interest will be in the currency of the deposits. If needed, conversion of interest on NRE/FCNR in to other currencies is permitted at the ruling exchange rate.
- On NRE deposits, interest is paid quarterly and on FCNR deposits half-yearly. Interest can also be paid monthly on discounted basis on deposits for 12 months and above on specific request.
ADDITION / DELETION OF NAMES IN ACCOUNT
- Addition of names to the account is permitted subject to their otherwise qualifying to open joint NRE or FCNR accounts and the deposit does not undergo any change in its other terms as originally fixed.
- Deletion of names is permitted provided all the depositors agree in writing and at least one of the depositors name is continued.
RENEWAL
NRE / FCNR not renewed on the date of maturity can be subsequently renewed within 14 days from the date of maturity of the deposit. The rate of interest applicable for renewed FCNR / NRE deposit is either the rate prevailing on the date of maturity or on the date of actual renewal, whichever is less.
Automatic renewal facility is also available. This facility can be made use of by suitable indication in the application at the time of opening the account. Under such renewal facility deposit will be renewed on the same original terms and conditions. On such automatic renewal the rate of interest for the renewed period shall be the rate prevailing on the maturity date of the deposit.
CHANGE OF RESIDENTIAL STATUS
From resident to non-resident: The existing account will be designated as a Non Resident (Ordinary) account.
From non-resident to resident:
- NRO account shall be re-designated as resident rupee accounts.
- NRE accounts shall be re-designated as resident accounts or the funds held in these accounts may be transferred to the RFC account (if the account holder is eligible for it) at the option of the account holder immediately upon the change of status.
- FCNR (B) deposits may be continued at the contracted rate till maturity if desired by the depositor (s). Such deposits shall however be treated as resident deposits from the date of return of account holder to India. On maturity it will be converted in to resident rupee deposit account or RFC account (if the depositor is eligible to open RFC account), at the option of the account holder and interest on the new deposit (rupee account or RFC account) shall be payable at the relevant rates applicable for such deposits.
OPERATIONS BY POWER OF ATTORNEY HOLDER
Operations in an NRE account in terms of Power of Attorney granted in favour of a resident by a non-resident account holder is allowed provided such operations are restricted to withdrawal for local payments or remittance to the account holder himself through normal banking channels. In cases where the account holder or a bank designated by him is eligible to make investments in India, the Power of Attorney holder may be permitted to operate the account to facilitate such investment. The resident Power of Attorney holder shall not, however, be allowed to repatriate outside India funds held in the account under any circumstances other than to the account holder himself, nor to make payment by way of gift to a resident on behalf of the account holder or to transfer funds from the account to another NRE account.
In case of FCNR account, terms and conditions as applicable to NRE account will apply.
Operations in an NRO account in terms of Power of Attorney granted in favour of a resident Indian by a non-resident account holder is allowed, provided such operations are restricted to (1) all local payments in Rupees including payments for eligible investments subject to compliance with relevant regulations made by the Reserve Bank; and (2) remittance outside India of current income in India of the non-resident individual account holder, net of applicable taxes.
The resident Power of Attorney holder is neither permitted to repatriate outside India funds held in the account other than to the account holder nor to make payment by way of gift to a resident on behalf of the non-resident account holder or transfer funds from the account to another NRO account.
FORWARD COVER
An NRI / PIO can enter into forward contract through an authorized dealer branch to hedge the balances held in NRE / FCNR (B) accounts with rupee as one of the currency.
FOR DEPOSITS MATURING ON HOLIDAYS
In respect of term deposit maturing for payment on a Saturday / Sunday or a non business working day; bank shall pay interest at the originally contracted rate on the deposit amount for Saturday / Sunday or a holiday or a non-business working day intervening between the date of expiry of the specified term of the deposit and the date of payment of the proceeds of the deposit on the succeeding working day.
INTEREST PAYABLE ON THE DEPOSIT OF A DECEASED DEPOSITOR
In the case of a term deposit standing in the name/s of-
(a) A deceased individual depositor, or
(b) Two or more joint depositors, where one of the depositors has died, interest should be paid in the manner indicated below:
(1) At the contracted rate on the maturity of the deposit.
(2) In the event of the payment of the deposit being claimed before the maturity date, the bank will pay interest at an applicable rate prevailing on the date of placement of the deposit, for the period for which the deposit has run without charging the penalty.
(3) In the event of death of the depositor before the date of the maturity of the deposit and the amount of the deposit is claimed after the date of maturity, the bank will pay interest at the contracted rate till the date of maturity. From the date of maturity to the date of payment, the bank should pay simple interest at the applicable rate operative on the date of maturity, for the period for which the deposit remained with the bank beyond the date of maturity.
(4) In the case of the death of the depositor after the date of maturity of the deposit, the bank should pay interest at a rate operative on the date of maturity in respect of savings deposit held under RFC Account Scheme, from the date of maturity till the date of payment.
(5) If on request from the claimant/s, the bank agrees to split the amount of term deposits and issues two or more receipts individually in the name/s of the claimant/s, it should not be construed as premature withdrawal of the term deposit for the purpose of levy of penalty provided the period and aggregate amount of the deposit do not undergo any change.
REMITTANCES
Remittance from abroad can be made in any of the following ways:
- Dena indiaremit: It is a web based, online Foreign Inward Remittance facility to provide speedier and cost effective remittance facilities from USA, UK and Europe. This facility can easily be accessed through our bank’s website www.denabank.com
- Wire Transfer: Funds can be remitted by telegraphic transfer through our correspondent banks. You can instruct your bank in the MT103 format (below mentioned)
Intermediary Bank: _______________________
(Correspondent Bank name)
Field 56 A: ____________
(SWIFT Code)
For credit to:
(Beneficiary bank) Account No. ________________
(Dena Bank Nostro account no.)
Field 57 A: ____________________________________
(Beneficiary bank’s details with SWIFT Code)
Field 59: ____________________________________
(Beneficiary customer Name, Address and Account no.)
Field 70: ____________________
(Remittance information)
- Rupee Draft Drawing Arrangement: Our bank has entered into Rupee Draft Drawing Arrangement (RDA) with UAE Exchange Center LLC, Abu Dhabi to provide remittance facilities. Instant demand draft in INR can be obtained across the counter from various branches of UAE Exchange Center situated in UAE and UK. These DDs are payable at designated branches of our bank. However the DDs can be deposited in any of our branches where the customer is maintaining the account.
- Western Union Financial services: This facility is under Money Transfer Service Scheme of RBI. Through this mode the beneficiary can collect the money-in cash or cheque-within minutes after the sender has affected the remittance. The service is a boon to the NRIs and their families in India as well as visiting foreign tourists and foreign students who are studying in India.
RUPEE DRAWING ARRANGEMENT WITH UAE EXCHANGE CENTRE LLC, ABU DHABI, UAE
UAE Exchange Centre: Rupee Drawing Arrangement
Bank has Rupee Drawing Arrangement with UAE Exchange Centre, Abu Dhabi , UAE to provide remittance facilities from .
Demand Drafts in INR can be obtained from the branches of UAE Exchange Centre. These Drafts are payable at designated branches of our bank.
Now Demand Drafts can also be obtained from UK branches of the Exchange House.
NRIs in UK and Middle East can remit funds to their relatives/ friends/ own account through this mode of remittance.
LOAN AND OVERDRAFT
- Loan / Overdraft against NRE / FCNR/NRO Deposits can be availed of up to 85% to 90% of the deposits for purpose other than investments in India subject to the maximum ceiling as per RBI guidelines. The loan cannot be used for the purpose of re-lending, carrying on agriculture/plantation activities or for investment in real estate business. Loans against NRE fixed deposits can however be utilized for investments in India on non-repatriation basis in certain specified areas and for acquisition of flats/houses subject to prescribed conditions.
- Loans availed as above cannot be repatriated and as such cannot be credited to NRE/FCNR account. If desired, the loan proceeds can be credited to Non-resident Ordinary (NRO) account.
- Repayment of the loan and the payment of interest accrued thereon shall be made either by fresh remittances from abroad or out of maturity proceeds of the borrower’s NRE / FCNR fixed deposits against which the loan was granted or from funds held in NRO accounts. In case of repayment from local rupee resources, interest will be at commercial rate of interest.
- Loans can be availed with our correspondents banks abroad (on arrangement) against the NRE / FCNR deposit receipt issued by us.
- The maximum ceiling of the loan is as per the RBI guidelines.
OTHER FACILITIES AVAILABLE TO NRIs/PIOs
INVESTMENTS ON REPATRIATION BASIS:
- Shares and convertible debentures under portfolio investment.
- Government dated securities (other than bearer securities) or treasury bills.
- Units of domestic mutual funds.
- Bonds issued by PSUs in India.
- Shares in public sector enterprises being disinvested by the government of India.
INVESTMENTS ON NON-REPATRIATION BASIS:
- Units of money market mutual funds in India.
- Exchange traded derivative contracts (ETDC) approved by SEBI.
INVESTMENTS IN IMMOVABLE PROPERTY
- May acquire any immovable property in India other than agricultural/plantation/farm house out of the funds received in India by way of inward remittances or from the funds held in NRI accounts.
- May repatriate sale proceeds of property other than agriculture/plantation property or a farmhouse provided it should not exceed the amount paid for acquisition of the immovable property in foreign exchange. In the case of residential property, the repatriation of sale proceeds is restricted to not more than two such properties.
- NRIs / PIOs can remit out of balances in NRO account including sale proceeds of immovable property provided the amount does not exceed USD 1 million per financial year.
RESIDENT FOREIGN CURRENCY ACCOUNTS (Facility to returning Indians)
Returning Indians can also benefit from our Deposit schemes. They can open and maintain a Resident Foreign Currency account (RFC) to transfer balances held in NRE/FCNR accounts. Proceeds of assets held outside India at the time of return, can be credited to RFC account. The funds held in RFC accounts are free from all restrictions regarding utilization of foreign currency balances including any restriction on investment in any form outside India.
Salient features:
- Operates in three currencies VIZ. U.S. Dollar, Sterling Pound, and Euro.
- Operates in the form of Saving, Current, Term Deposits.
Rate of Interest:
- Term Deposits: As applicable to FCNR (B) Deposit Scheme.
- Saving: 0.50% per annum for deposits in USD, GBP, and EURO.
- Current: Nil
Returning Indians may continue to hold, own, transfer or invest in foreign currency, foreign security or any immovable property situated outside India, if such currency, security or property was acquired, held or owned when resident outside India.
NRI CELLS
To reach out to the banking requirements of our customers in a more focused way Dena Bank has opened 16 NRI Cells. These NRI Cells provide specialized services matching to the expectations of our NRI clients.
The list of NRI cells is appended below:
List of NRI Cell Branches
Branch Address | Telephone No and E-mail ID |
PANAJI BRANCH INDRAPRASTH, GR. FLOOR DR. SHIRGAONKAR ROAD PANAJI – 403 001 (GOA) | PHONE: (0832)-2226340/2225106 EMAIL: panaji@denabank.co.in |
AMBAWADI BRANCH NEHRU NAGAR, ARBUDA APARTMENT DR. S. RADHAKRISHNAN ROAD AHMEDABAD – 380 015 (GUJARAT) | PHONE: 079-26744805 EMAIL: ambawa@denabank.co.in |
ELLIS BRIDGE BRANCH PRITAM RAI ROAD AHMEDABAD – 380 006 (GUJARAT) | PHONE: 079-26579635 EMAIL: ellisb@denabank.co.in |
GANDHINAGAR BRANCH SECTOR – 22, SHOPPING CENTRE OPP. POST OFFICE GANDHINAGAR – 382 022 (GUJARAT) | PHONE: 079-23221996/23223115 EMAIL: gannag@denabank.co.in |
NAVSARI BRANCH SAYAJI ROAD NAVSARI – 396445 (GUJARAT) | PHONE: 02637-250930 EMAIL: navsar@denabank.co.in |
PATEL COLONY BRANCH BUNDER ROAD JAMNAGAR – 361 001(GUJARAT) | PHONE: 0288-2755585 EMAIL: patelc@denabank.co.in |
PORBANDAR BRANCH NAGINDAS MODY STREET DIST: JUNAGADH POROBUNDER – 360 575 (GUJARAT) | PHONE: 0286-2242598 EMAIL: porban@denabank.co.in |
RELIEF ROAD BRANCH NEAR RUPAM CINEMA AHMEDABAD – 380 001 (GUJARAT) | PHONE: 079-25330977/25356388 EMAIL: relief@denabank.co.in |
VIJAY NAGAR BRANCH LAK TEKARI BHUJ – 370 001 (GUJARAT) | PHONE: 02832 - 229531/220339 EMAIL: nri.bhuj@denabank.co.in |
BORIVLI (W) BRANCH COURT CHAMBERS, 1ST FLOOR, S.V.ROAD, MUMBAI-400 092 (MAHARASHTRA) | PHONE: 022-28055380/28263807 |
JUHU VILE PARLE BRANCH SHARDA BHAVAN, OPP.NMIMS, JVPD, V.M.ROAD, VILE PARLE (W), MUMBAI-400056 (MAHARASHTRA) | PHONE: 022-26151370/26177605 |
ORLEM MALAD (W) BRANCH ANTHSIL, MARVE ROAD, MALAD (W), MUMBAI 400 064 (MAHARASHTRA) | PHONE: 022-28820678/28440734 |
PEDDER ROAD BRANCH SHANTINO. 2,19, PEDDER ROAD MUMBAI – 400 026 (MAHARASHTRA) | PHONE: 022- 23523286 EMAIL: peddar@denabank.co.in |
S.V.ROAD KHAR BRANCH 133, S.V.ROAD, NEW FOUNTAIN HEAD SOCT, MUMBAI – 400 052 (MAHARASHTRA) | PHONE: 022-26462935/26047066 |
PHAGWARA BRANCH B-30/184, NEHRU NAGAR NEAR BUS STAND, G.T. ROAD PHAGWARA – 144 401 (PUNJAB) | PHONE: 01824-224304 EMAIL: phagwa@denabank.co.in |
RAMGARH BRANCH RAMGARH (SHEKHAWATI) RAMGARH – 331 024 (RAJASTHAN) | PHONE: 01571-240233 EMAIL: ramgar@denabank.co.in |
Click Here to Download the List of Authorised Dealer Branches
Click Here to Download the List of Our Nostro Correspondents
FAQ
FAQ FOR NRO ACCOUNT
Q: Who is an NRI?
A: An NRI is an Indian citizen who stays outside India:
(a) for purposes of carrying out employment or any business or vocation;
(b) under circumstances indicating an intention to stay outside India for an uncertain duration
(c) any Indian citizen deputed outside India for a temporary period in connection with employment.
Q: Who is a PIO?
A: A citizen of a foreign country (other than a citizen of Bangladesh or Pakistan) is a PIO If
(a) he/ she at any time held an Indian passport; OR
(b) he/ she or either of his/ her parents or any of his/ her grandparents was a citizen of India or
(c) spouse (not being a citizen of Bangladesh or Pakistan) of an Indian citizen or (a) or (b) above
Q: How can I open an NRO Account?
A: You can open an NRO account by downloading the account opening form from our Bank’s website, filling it up and mailing it with relevant documents and remittance.
Q: What are the documents that I have to submit to open an NRO Account?
A: Completed application form signed and attested by your banker/Embassy of India/public notary or any person known to the bank must be accompanied with:
(a) Copy of passport
(b) Copy of Visa
(c) Latest Overseas bank statement in original, latest overseas telephone/electricity bill in original as residential proof.
Q: Are my NRO Account funds repatriable?
A: Repatriation is restricted. It is allowed up to USD 1 million per calendar year subject to payment of applicable taxes.
Q: Are they taxable in India?
A: Yes, tax is deductible at source as per Indian Income Tax Act.
Q: Can I remit in any currency to open my NRO account?
A: Yes, you can remit in any currency. We will convert your currency into INR and open the NRO Account. Your NRO account will be maintained in only INR.
Q: Can I have joint holders for my NRO Account?
A: Yes, You can hold your NRO Account jointly with other Non-Resident Indian(s) as well as Resident Indians.
Q: Can I have a nominee for my NRO account?
A: Yes, nomination facility is available for NRO account.
FAQ FOR NRE ACCOUNT
Q: Who is an NRI?
A: An NRI is an Indian citizen who stays outside India:
(a) for purposes of carrying out employment or any business or vocation;
(b) under circumstances indicating an intention to stay outside India for an uncertain duration
(c) any Indian citizen deputed outside India for a temporary period in connection with employment.
Q: Who is a PIO?
A: A citizen of a foreign country (other than a citizen of Bangladesh or Pakistan) is a PIO If
(a) he/ she at any time held an Indian passport; OR
(b) he/ she or either of his/ her parents or any of his/ her grandparents was a citizen of India or
(c) spouse (not being a citizen of Bangladesh or Pakistan) of an Indian citizen or (a) or (b) above
Q: How can I open an NRE Account?
A: You can open an NRE account by downloading the account opening form from our Bank’s website, filling it up and mailing it with relevant documents and remittance.
Q: What are the documents that I have to submit to open an NRE Account?
A: Completed application form signed and attested by your banker/Embassy of India/public notary or any person known to the bank must be accompanied with:
(d) Copy of passport
(e) Copy of Visa
(f) Latest Overseas bank statement in original, latest overseas telephone/electricity bill in original as residential proof.
Q: What are the types of account in NRE account?
A: Saving, Current, Term deposits and Recurring deposits.
Q: What are the periods of Term Deposits?
A: NRE Term deposits can be maintained for 1 to 3 years.
Q: Are my NRE Account funds repatriable?
A: Yes, the NRE Account funds are freely repatriable.
Q: Are they taxable in India?
A: No, it is exempted from income tax and wealth tax.
Q: Can I remit in any currency to open my NRE account?
A: Yes, you can remit in any currency. We will convert your currency into INR and open the NRE Account. Your NRE account will be maintained in only INR.
Q: Can I have joint account holders for my NRE Account?
A: NRE account holders can have joint account only with Non Resident Indians.
Q: Can I have a nominee for my NRE account?
A: Yes, nomination facility is available for NRE account.
Q: Can I have Power of Attorney holder in India?
A: Yes.
Q: Can Power of Attorney holder in India on behalf of a NRI open/close NRE account?
A: No
Q: Can resident Power of Attorney holder operate on the NRE accounts?
A: Yes, provided such operations are restricted to withdrawals for local payments. In case where the account holder is eligible to make investments in India, the power of attorney holder may be permitted by authorized dealer branch to operate the account to facilitate such investments.
Q: Can resident Power of Attorney holders repatriate funds held in the NRE account out of India?
A: The resident Power of Attorney holders shall not be allowed to repatriate outside India funds held in the NRE account under any circumstances other than to the account holder himself nor to make payment by way of gift to a resident on behalf of the account holder or transfer funds from the account to another NRE account.
Q: Can Resident Power of Attorney holder credit proceeds of foreign currency notes, bank notes and travelers cheques to the NRE accounts?
A: No
Q: Can I get loans against my NRE Term deposits?
A: Yes, you can get up to 85 % of your Term deposits as loan. The maximum limit is Rs.100 lakhs as per RBI guidelines. The loan cannot be used for the purpose of re-lending, carrying on agricultural/plantation activities or for investment in real estate business. Loans against NRE fixed deposits can, however, be utilized for investments in India on non-repatriable basis, in certain specified areas and for acquisition of flats/houses subject to prescribed conditions.
Q: Can I close my NRE Term deposits pre-maturely?
A: Yes, NRE Term deposits can be closed pre-maturely. If the deposit has run for a period of less than 1 year, no interest is payable and if it has run for a period more than 1 year interest rate as on the date of deposit or on the date of closure, for the period run, whichever is less is payable. In no case rate of interest payable on such deposits is to exceed the contracted rate.
Q: What are the admissible debits and credits in my NRE accounts?
A: Debits for local payments/investments are allowed, provided such investment is covered by the regulations made, or the general/special permission granted by the Reserve Bank of India. Credits in the account, of funds emanating from a local source would be permissible only if the funds are of repatriable nature.
Q: Can proceeds of foreign currency notes/travelers cheques be credited to NRE accounts?
A: The proceeds of foreign currency notes/travelers cheques brought by the account holder from abroad during his visit to India can be credited provided they are tendered in person by the account holder. Where the amount of foreign currency notes tendered exceeds USD 5000 or its equivalent or the total amount tendered i.e. currency notes and travelers cheques are in excess of USD 10000 or its equivalent, it should have been declared to the customs on the Currency Declaration Form (CDF) at the time of arrival in India. Further in case of travelers cheques, they should be presented by the account holder himself and discharged by him in the presence of the official of the concerned bank.
Q: What is the status of NRE account on the return of the account holders to India?
A: NRE accounts should be redesignated as resident accounts or the funds held in this account may be transferred to RFC accounts (if the account holder is eligible for maintaining RFC account) at the option of the account holder immediately upon the return of the account holder to India for taking up employment or for any other purpose indicating intention to stay for an uncertain period.
Q: Does the account holder suffer any loss of interest on such re-designation of accounts?
A: No, banks have been advised to continue to pay interest at the contracted rate till the maturity of the deposit if the deposit is held for the full term even after conversion into resident rupee account.
FAQ FOR FCNR (B) ACCOUNT
Q: Who is an NRI?
A: An NRI is an Indian citizen who stays outside India:
(a) for purposes of carrying out employment or any business or vocation;
(b) under circumstances indicating an intention to stay outside India for an uncertain duration
(c) any Indian citizen deputed outside India for a temporary period in connection with employment.
Q: Who is a PIO?
A: A citizen of a foreign country (other than a citizen of Bangladesh or Pakistan) is a PIO If
(a) he/ she at any time held an Indian passport; OR
(b) he/ she or either of his/ her parents or any of his/ her grandparents was a citizen of India or
(c) spouse (not being a citizen of Bangladesh or Pakistan) of an Indian citizen or (a) or (b) above
Q: How can I open an FCNR (B) Account?
A: You can open an NRE account by downloading the account opening form from our Bank’s website, filling it up and mailing it with relevant documents and remittance.
Q: What are the documents that I have to submit to open an FCNR (B) Account?
A: Completed application form signed and attested by your banker/Embassy of India/public notary or any person known to the bank must be accompanied with:
(g) Copy of passport
(h) Copy of Visa
(i) Latest Overseas bank statement in original, latest overseas telephone/electricity bill in original as residential proof.
Q: Can I open my account in any currency?
A: FCNR (B) account can be opened in Dena Bank in USD, GBP, EURO, CAD, and AUD
Q: What are the types of account in FCNR (B) account?
A: Only Term deposits can be maintained in FCNR (B) account.
Q: What are the periods of Term Deposits?
A: FCNR (B) Term deposits can be maintained for 1 to 5 years.
Q: Are my FCNR (B) Account funds repatriable?
A: Yes, the FCNR (B) Account funds are freely repatriable.
Q: Are they taxable in India?
A: No, it is exempted from income tax and wealth tax
Q: Can I have joint holders for my FCNR (B) Account?
A: FCNR (B) account holders can have joint account only with Non Resident Indians.
Q: Can I have a nominee for my FCNR (B) account?
A: Yes, nomination facility is available for FCNR (B) account.
Q: Can I have a resident Power of Attorney?
A: Yes.
Q: Can Power of Attorney holder in India on behalf of a NRI open/close account?
A: No
Q: Can resident Power of Attorney holder operate on the FCNR accounts?
A: Yes, provided such operations are restricted to withdrawals for local payments. In case where the account holder is eligible to make investments in India, the power of attorney may be permitted by authorized dealer branch to operate the account to facilitate such investments.
Q: Can resident Power of Attorney holders repatriate funds held in the FCNR account out of India?
A: The resident Power of Attorney holders shall not be allowed to repatriate outside India funds held in the FCNR account under any circumstances other than to the account holder himself nor to make payment by way of gift to a resident on behalf of the account holder or transfer funds from the account to another NRE account.
Q: Can I get loans against my FCNR (B) Term deposits?
A: Yes, you can get up to 85 % of your Term deposits as loan. The maximum limit is Rs.100 lakhs as per RBI guidelines. The loan cannot be used for the purpose of re-lending, carrying on agricultural/plantation activities or for investment in real estate business. Loans against FCMR (B) fixed deposits can, however, be utilized for investments in India on non-repatriable basis, in certain specified areas and for acquisition of flats/houses subject to prescribed conditions.
Q: Can I close my FCNR (B) Term deposits pre-maturely?
A: Yes, FCNR (B) Term deposits can be closed pre-maturely. If the deposit has run for a Period of less than 1 year, no interest is payable and if it has run for a period more than 1 year, interest rate as on the date of deposit or on the date of closure, for the Period run, whichever is less, minus 1 % penalty is payable. However, if the deposit is closed before maturity for the purpose of renewal, to avail the benefit of increase in rate of interest, for a period more than un expired period and renewed under the same scheme and same currency, no penal interest be charged.
Q: What is the status of FCNR account on the return of the account holders to India?
A: On the return of account holders in India, deposits may be allowed to continue till maturity at the contracted rate of interest, if so desired by him. However, excepts the provisions relating to rate of interest and reserve requirements as applicable to FCNR(B) deposits, for all other purposes such deposits shall be treated as resident deposits from the date of return of the account holder to India. FCNR(B) deposits are converted into resident rupee deposits accounts or RFC accounts(if the account holder is eligible for maintaining RFC account) at the option of the account holder and interest on the new deposit (rupee account or RFC account) shall be payable at the relevant rates applicable for such deposits.
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