What are the different types of accounts an NRI can open in India?

Question: What are the different types of accounts that a NRI can open in India ?


Raju Kanumuri: NRIs / OCBs are permitted to maintain accounts with authorized banks in India, wherein they can remit the funds from abroad. The following types of accounts can be opened by NRIs:
NRE (non resident external) - this account can be in the form of current / savings / fixed deposits and can be opened only by remittance from abroad or deposit of foreign currency, or by transfer of funds from existing NRE/FCNR accounts. The account is maintained in Indian Rupees. Funds standing in this account are FULLY REPATRIABLE.
FCNR (foreign currency deposit account - not in rupees) - This account is in the form of fixed deposit and is designated in specified currencies, which is pound sterling, US dollar, DM, and Japanese yen thereby insulating the deposits from depreciation in the value of Indian Rupee. The interest rates on these deposits are normally substantially lower than the Rupee accounts. Funds standing in this account are FULLY REPATRIABLE.
NRNR (non resident rupee deposits) - This account is in the form of Indian Rupee fixed deposit. Funds for the purpose of deposit can be remitted from abroad / transferred from existing NRE / FCNR accounts. Premature withdrawal from NRE / FCNR freely allowed for investment in NRNR deposit. Period of deposits from six months to three years. Interest earned is repatriable, but the principal is NON-REPATRIABLE.
RFC (resident foreign currency deposit account) - This account can be opened by NRI who has returned to India after his foreign stay of minimum one year and subsequently ceases to be NRI. Deposits in this account are made by foreign remittances as well as transfer from NRE / FCNR account. This account is maintained in any convertible currency and funds are FULLY REPATRIABLE.

Source : Reserve Bank Of India

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