Q: What are the admissible debits and credits in NRE accounts?
A: Only funds remitted from abroad and which are repatriable are allowed to be credited into NRE accounts. However, debits on account of local payments/investments are freely allowed.
Q: Can funds be transferred from an existing NRE/FCNR accounts to open an NRO account?
A: Yes, funds can be transferred from an existing NRE/FCNR accounts to open an NRO account.
Q: Can an NRI deposit local funds into NRE accounts?
A: No, only credits coming from abroad in the form of DDs/TTs/MTs/FCs/TCs etc. can be deposited in NRE a/c. Local money has to be credited to NRO account of an NRI.
Q: Can NRI accounts be opened from abroad also?
A: Yes. An NRI Can also open accounts from abroad by sending duly filled and signed AOF duly attested by Indian Consulate along with attested copies of passport and Visa, etc.
Q: Can an NRI open joint account with residents?
A: Yes NRIs can open Joint Account with Resident Close Relative as defined in Companies Act 1956, Section 2(41) and Section 6 and in terms of RBI circular dated 22/09/2011
Q: Is nomination permitted in NRI accounts?
A: Yes, NRIs can nominate either a resident or a non-resident as Nominee. However, only one nominee is permitted per account. A nominee can also be a minor in which case, the guardian has to be...
Q: What happens to accounts of the NRI on his/her return to India?
A: A returning Indian's NRO accounts will be designated as Resident account. However, NRE/FCNR term deposit accounts may be permitted to continue to run till maturity.
Q: Can a returning Indian maintain foreign currency accounts?
A: Yes, the returning NRI gets his NRE, FCNR accounts converted into RFC accounts on maturity.
Q: What are the benefits of RFC accounts?
A: The benefits of RFC accounts are: In case of conversion from FCNR(B) accounts there is no exchange loss.
Balance in RFC account can be used for local payments and can be remitted abroad for all...
Q: Can a mandate operate my NRO account?
A: Yes, operation of account through a Power of Attorney (POA) holder is allowed. A POA holder can only issue INR cheques from NRE / NRO accounts for legitimate local payments.
*A POA holder cannot...