Sunday, January 22, 2012

Good time to invest in NRE Fixed Deposit in India

Why Invest in NRE Fixed Deposit in India?
NRE Fixed Deposit is very hot at this moment with soaring interest rate and very lucrative Exchange rates from USD to INR, SGD to INR and from other foreign currencies. For all those Indian who are living abroad or working abroad mostly my fellow IT Professionals, it’s good to invest in NRE Fixed deposit in India. As we know the successful key of Savings and Investment is diversification and Fixed Income forms a big part of it and always say that at least have your 50% money in Fixed deposits because of liquidity, security and ease of investment as an option it provides. NRE Fixed Deposit is even more special because all principle and interest earned on this account are TAX-FREE in India. So it’s the best way to bring foreign currency in India. The earlier rate of Interest on NRE Fixed deposit was quite low as compared to Resident savings account but now it's even at par of Resident account and many private banks are offering rates in the range of 9.2 to 9.6% per year with quarterly compounding basis.