Overview
An excellent option for systematic savings by investing small sums every month from your foreign income.
Features
Repatriable
Ease of Funding - Transfer funds every month from your NRE Savings account.
Tax
Flexible monthly installments
Indian Rupees
Funds are fully and freely repatriable (both principal and Interest)
Tenure
Interest Earned is exempt from tax in India
NRE Fixed Deposite
The funds are maintained in Indian Rupees
Interest
The deposit can be opened for tenures ranging from a minimum of 12 months upto a maximum of 120 months.
No interest
No interest is paid if NRE deposit if pre-closed within 12 months
*RBI allows repatriation up to one million USD or equivalent per financial year for bona-fide purposes such as education, medical expenses, employment, etc. The interest you earn is subject to a tax of 30% (plus applicable surcharge and cess). On availing Double Taxation Avoidance Agreement (DTAA) facility, the TDS rate would be between 10-15% as per the country of residence based on the prevailing DTAA Agreement.
Interest Rates
For interest rates please click here
