NRI Banking-Brings The World Closer

Posted by Neetarao on September 26th, 2016

NRIs often have to work a bit harder to save some extra for their loved ones back home. To transfer/send that hard earned money, you require an NRI account. With more and more people heading abroad for studies as well as work, NRI banking has seen a major boom in the past few years. Most of the non-resident Indians who have settled in different foreign countries, take advantage of NRI banking for saving as well as investment purpose. If you too are a non resident Indian thinking of opening an NRI account, you might want to have a quick insight on NRI banking.

To simply begin, NRI is abbreviated for non resident Indian, who is moving abroad to a different country for employment, business purpose or for education. NRI banking service can be availed with various banks, both public sector and private sector banks.  If you are seeking for a remitter to transfer money in India, the first thing that you need to do is open a NRI banking account. This account is usually of three types:

• NRE /NRO  Savings Bank Account maintained in Indian Rupees
• NRE / NRO Term Deposits maintained in Indian Rupees
• FCNR (B) Deposit (Term Deposit in Foreign Currency)

With an NRE savings account, you get a debit card that allows easy money transfers. NRO accounts help you manage local rupee funds earned in India through pension, dividend, rent, and so on. Basically, an NRO account is for funds in rupee generated in India. NRE and FCNR account holders can even opt for a joint account with another NRI. NRO accounts can be jointly held with an Indian resident. An FCNR fixed deposit account enables NRIs earn returns on foreign currency earnngs. It can be opened mainly in nine different currencies, US dollar (USD), Great Britan Pound (GBP),, Euro, Canadian Dollar(CAD), Japanese Yen (JPY), Australian Dollar (AUD), Singapore Dollar (SGD), Hong Kong Dollar (HKD), Swiss Frank (CHF)

The most attractive feature offered by NRI banking account is that it enables the recipient to make bill payments in India. Within no time, the money gets transferred to the Indian bank account. As a result, you can instantly send money to your friends and family back in India at the time of emergency. You can transfer funds to India from any part of the world. For certain types of accounts, the receiver gets the money in Indian currency. An NRI banking account is highly recommended if you wish to stay close to your family in terms of financial support.

When it comes to remittance services, a lot of Indian banks offer an instant transfer facility for NRI banking. Online remittance facility can be availed within one to five days of transfer time. If quick transfer isn’t something that you’re looking for, you can remit through Draft/Cashier’s Cheque/International MO, or Foreign Currency Cheque with a clearance time of approx one to four weeks. Many banks offer 24/7 customer service for easy accessibility of banking features which ensures reduced paper work, no efforts involved in running to the bank, and easy transaction of funds. Make sure to conduct a thorough research regarding the credibility and reputation of the bank before you plan to apply for your NRI banking account. Most importantly, compare the interest rates, services, only then choose a bank with a reasonable transaction fee.