Foreign Currency Non-Resident Deposit (FCNR-B)
Foreign Currency Non-Resident deposit (FCNR-B) is designed for Non-Resident Indians (NRIs) and Person of Indian Origin (POIs) to invest their foreign earnings in India without currency risk.
Enjoy Tax free interest, full repatriation of funds and deposits in major global currencies.
Choose from flexible tenures while ensuring safeguard your wealth and enjoy global financial freedom.
FCNR(B) Deposit Interest Rate
Features & Benefits
Please note: Interest On deposit Calculation on FCNR shall be accepted under the scheme should be paid on the basis of 360 days to a year and at a frequency of 180 days each from date of Term Deposit and thereafter for the remaining actual number of days.
Eligibility Criteria
Non-Resident Indians (NRIs) - An Indian citizen residing outside India for the purpose of:
PIO (Person of Indian Origin) / OCI (Overseas Citizen of India) - An individual holding a foreign passport (other than citizens of Pakistan and Bangladesh) who:
FCNR Deposits AOF Click Here
FAQs
1. What is an FCNR account?
An FCNR (Foreign Currency Non-Resident) account is a deposit account for NRIs to park money in foreign currencies. Funds are maintained in designated foreign currency which helps in protecting your money from currency fluctuations. Additionally, FCNR accounts offer tax-free interest in India.
2. Can I open a joint FCNR account?
Yes, you can open a joint FCNR account with another NRI or PIO. Resident close relatives (as defined under FEMA) can also be joint holders, but only in ‘Former or Survivor’ mode.
3. Are there restrictions on repatriating funds from an FCNR account?
No, there are no restrictions. Both principal and interest are fully repatriable, meaning you can transfer them abroad or convert them into INR without any hassle.
4. What is the minimum deposit required for an FCNR account?
The minimum deposit amount for any currency is 500. Example: for USD, it’s USD 500. There’s no maximum limit.
5. Can I close my FCNR account prematurely?
Yes, you can close your FCNR account before the due date. However, no interest will be payable if deposit is withdrawn/closed within one year from the booking date.
6. Can I add a nominee for my FCNR deposit?
Yes, you can add a nominee.
7. Is the interest on an FCNR deposit tax-free?
Yes. Interest is fully exempt from Indian income tax for NRIs. There are no wealth tax or gift tax liabilities in India either.
8. Are there any currency exchange risks?
No. Since both the deposit and interest are maintained in foreign currency, your funds are protected from INR depreciation while you enjoy stable returns.
9. What is the deposit tenure?
You can maintain an FCNR deposit for a tenure ranging from 1 year to 5 years.
10. What will happen to my FCNR deposit after the maturity date?
If you opt for the Auto Renewal facility, your deposit will be automatically renewed for the same tenure at the prevailing interest rate. If you do not opt for the facility, your deposit and the interest earned will be credited to your designated account upon maturity.
