| Bank’s Name | FD Interest Rate / Tenure | |
|---|---|---|
| 1 Year | 5 Years | |
| SBI | 5.10% | 5.40% |
| HDFC Bank | 5.10% | 5.35% |
| Yes Bank | 6.75% | 6.75% |
What is interest rate on NRE account?
The interest shall be 0.50% or 1% below the rate applicable at the time of Deposits for the period Deposit has remained with the Bank or 0.50% or 1% below the contracted rate, whichever is lower.
Which bank gives highest interest rate on NRE account in India?
Best NRE FD Rates
| Bank | Rate of Interest |
|---|---|
| India Post Office | 5.50% – 6.70% |
| PNB Housing Finance | 5.90% – 6.70% |
| HDFC | 6.20% – 6.65% |
| IndusInd Bank | 2.75% – 6.50% |
Does NRE account earn interest?
Interest income from an NRE account is exempt from tax in India for NRIs.
Can I take money out of NRE account?
Non-Resident External (NRE) account is an account in the name of NRI opened in India to transfer foreign earnings to India. … Thus, from NRE account you can easily withdraw in Rupees. NRE accounts are exempt from the tax.
Is NRE FD a good investment?
Fixed Deposits (FDs) are not only popular among the resident Indians, but also among the non-resident Indians (NRIs). Bank FDs are considered the safest investment option as there are hardly any instances of banks defaulting on them. NRIs can start FD through their FCNR, NRO, or NRE accounts.
Can I have 2 NRE accounts?
No, NRIs can only open one PIS account. However, they can open multiple NRE savings bank accounts. You can open only one NRE PIS accounts.
What is the benefit of NRE account?
Opening an NRE account will allow you to: Send your overseas funds to India and hold the funds in Indian Rupees. Freely repatriate funds without any restrictions. Easily invest money in Indian investment instruments.
Which account is best NRE or NRO?
You should opt for NRE Accounts if you want to hold or maintain your overseas earnings in Indian currency. NRE Accounts are also suitable if you wish to keep your savings liquid. You should opt for NRO Accounts if you want to save your earnings from India in Indian currency itself.
How long can you keep money in NRE?
Forex Facilities for NRIs/PIOs
| Particulars | FCNR (B) Account |
|---|---|
| Foreign currency risk | Account holder is protected against changes in INR value vis-à-vis the currency in which the account is denominated. |
| Type of accounts | Term deposits only. |
| Period of fixed deposits | For terms not less than 1 year and not exceeding 3 years |
Can I transfer money from saving account to NRE account?
You cannot transfer money to a NRE account from a savings account in India. However, you can transfer money from NRO to NRE account. You can also transfer money from one NRE account to another.
Is NRE account tax-free?
An NRE account is tax-free (no income tax, wealth tax, or gift tax) in India. On the other hand, the interest earned in NRO accounts and credit balances is subject to respective income tax bracket.