Thursday, April 21, 2016

What is difference between NRI and NRE account?

This is one of the frequently asked questions from NRIs, main from those who have not yet opened any saving account in India. NRIs (Non-Resident Indians) can open different types of bank accounts in India e.g. NRE (Non Resident External), NRO (Non Resident Ordinary), FCNR (Foreign Currency Non-resident), or RFC (Resident Foreign currency). All of them are casually called NRI accounts because only NRIs can open them. So main difference between NRI and NRE account is that formerly refers to all kinds of bank accounts which can be opened by NRIs, including saving and fixed deposit, but NRE is a special type of NRI bank account which has some restriction on what kind of money you can deposit (foreign currency or money transferred from another NRE account) but also have preferential benefit on income tax as interest earned on NRE accounts are tax-free in India

Friday, April 8, 2016

How to Send money to Indian when Receiver doesn't have a bank Account

You can use Western Union's money transfer facility, If you are sending money to your parents or relatives in India, who are not used to modern banking and doesn't have any internet banking or simply a bank account. The Western Union has a tie-up with Federal bank which allows Hassle free method of money transfer where the receiver need not have an account. How does it work? Well, an  NRI sends money and informs the receiver about a PIN number, who can then collect money from any Federal bank branch by producing PIN and their ID proof e.g. Aadhar card, Voter Id card, Rashan card, PAN card or any other acceptable document as ID proof by banks. This facility is offered in association with Weizmann Forex Ltd.

Saturday, April 2, 2016

10 Benefits of NRE Bank Account and Fixed Deposits

If you are an NRI (Non-Resident Indian) then you have access to a unique bank account called NRE (Non-Resident external) account which allows you to keep your money in Indian rupees. This account then further allows you one of the best, fixed deposit investment option known as NRE fixed deposit, which currently provides fixed and interest rate e.g. 8.75% from Deutsche bank, resulting in a cumulative yield of 10.3% for a 5 years NRE fixed deposit. It's not just the Deutsche bank but other private and public sector banks like SBI, ICICI, HDFC, Kotak Mahindra, YES Bank they all provide very good returns on NRE fixed deposits.