10 Best Banks for NRI/NRE Accounts 2020| North Loop Official Blog
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07 Jul 2020

10 Best Banks for NRI/NRE Accounts 2020

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If you are a Non-Resident Indian (NRI) who wishes to open a savings or fixed deposit account in India, you need to choose between an NRO and NRE account depending on your necessity. While an NRE account helps you transfer your foreign earnings and funds that are generated overseas to India, the purpose of an NRO account is to park your earnings from India in Indian denomination.

Most of the banks operating in India offer NRI services. However, the features of NRI accounts for all the banks vary based on minimum account balances, interest rates offered, net banking facilities, and other services provided.

Before discussing the 10 best banks for NRE Accounts in India in 2020, let us take a look at some of the important features of NRE accounts –
  • Initial funding of NRE accounts is generally done through fund transfer from any other NRE or NRO account held by you or by depositing foreign currency or traveler’s cheques available with you.
  • Repatriation of both principal and interest components is permissible for NRE accounts.
  • The NRE accounts can be held jointly with other NRIs. Holding NRE accounts with resident family members is not permissible. However, there is a provision to issue a power of a mandate which authorizes a family member to operate your NRE account when you are away.
  • NRE account is an Indian Rupee account.
  • Savings Account, Current Account as well as Fixed Deposits are a part of NRE account services.

The primary features offered by the best bank for NRI accounts are as follows –

Axis Bank NRE Account –

  • You need to maintain a monthly average balance of Rs. 10,000.
  • In your absence, you can authorize a resident to handle the account on your behalf.
  • The interest rates offered to you by the bank are at the rate of 4% on a daily balance of greater than 50 lakhs and 3.5% for a daily balance of fewer than 50 lakhs. The interest is paid to you every quarter.
  • A personalized relationship officer is assigned to handle your service requirements.
Profile image2: Axis Bank NRE Account –
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Kotak Mahindra Bank NRE Account -

  • You have to maintain a quarterly minimum balance of Rs.10,000.
  • Interest is paid at the rate of 4% on the daily closing balance and is payable to you on a half-yearly basis.
  • Preferential Forex rates are available for transactions of 10,000 dollars or equivalent.
  • Remittances to India can be done by mode of cheque or through wire transfers.

ICICI Bank NRE Account –

  • A minimum balance of Rs.25,000 and Rs.10,000 needs to be maintained at the account level and customer ID level respectively.
  • The interest rate offered by the bank is 4% for balances above Rs. 50 lakhs and 3.5% for those above Rs.50 lakhs.
  • The interest is payable to you based on the end of the day balance in your account.
  • Money transfers are available via different modes.

HDFC Bank NRE Account –

  • A minimum average balance of Rs.10,000 and Rs.5000 needs to be maintained in the case of Metro and Rural branches respectively.
  • Interest on savings is payable every quarter.
  • The interest rates applicable are 3.5% and 4% for balances less than Rs 50 lakhs and greater than Rs.50 lakhs respectively.
  • After completing a registration process, the bank allows you payment of utility bills and other offers like the facility to link your NRE account with an Investment Saving Account.

SBI NRE Account –

  • A minimum balance of Rs.3000, Rs.2000 and Rs.1000 needs to be maintained for Urban, Semi-Urban and Rural branches respectively.
  • Interest rates are payable based on the daily closing balance. Rate of 4% is applicable if the closing balance is greater than Rs.1 crore and 3.5% if the balance is less than Rs.1 crore.

Deutsche Bank –

  • You have to maintain a monthly average balance of Rs.1 lakh or hold a portfolio of Rs.1.5 lakhs as assets under management with the bank.
  • You can get free access to consolidated quarterly statements.
  • If you are a resident of the USA or Canada, these facilities are not available to you.

RBL Bank NRE Savings Account –

  • The rate of interest offered is at 4% on daily balances.
  • The bank offers 5.5% on daily balances up to Rs. 1 lakh, 6% on daily balances from Rs 1 lakh to Rs 10 lakhs, and 6.5% for daily balances from Rs 10 lakhs to Rs 5 crore.
  • A monthly average balance of Rs.50,000 needs to be maintained by you. A shortfall in monthly average balance attracts non- maintenance charges.

YES Bank –

  • A minimum average balance of Rs.10,000 is to be maintained in the NRE account.
  • Interest rates applicable are 6% & 7% on balances up to Rs 1 lakh and greater than Rs 1 lakh respectively.
  • A Personal Relationship Manager is assigned to assist you in your NRE account services.

CitiBank NRE account –

  • The initial amount for opening an NRE Account is USD 5000 for the USA and Canada and this varies depending upon the country.
  • Interest is calculated based on daily closing balance at the rate of 3.5%.
  • This interest is credited to the account twice a year in the months of March and September.

North Loop NRE account –

  • No minimum balance needs to be maintained by you for your NRE account.
  • Fees like monthly fees and transfer fees do not apply.
  • The NRE account can be created in 5 minutes and the account is issued within 24 hours, unlike other NRE accounts which take a minimum of 6 weeks.
  • It is 100% digital and you have access to various other products and services offered with your NRE account in just a few clicks.
  • Interest rates of 7% p.a.

Hope you know by now, which NRE account is best for you. To sign up for your North Loop NRE account, click here.

Suggested Reads:

NRE vs NRO: What’s the Difference?

All about NRE and NRO Account

Best Online NRI Banking Experiences

The Advantages of an NRI Savings Account

7 Best Long Term Investment Options in India 2020

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This publication is provided for general information purposes only and is not intended to cover every aspect of the topics with which it deals. It is not intended be advice. You must obtain professional advice before taking, or refraining from, any action on the basis of the content in this publication. The information in this publication does not constitute legal, tax, investment or other professional advice from North Loop or its affiliates. We make no representations, warranties or guarantees, whether express or implied, that the content in the publication is accurate, complete or up to date. All opinions expressed do not reflect the views of North Loop nor are endorsed by North Loop.