NRIs use NRE accounts to send money from other countries to India. NRE accounts can only be opened by the NRI himself, not by the holder of the power of attorney. You can deposit foreign currency earnings into your NRE account and withdraw money in rupees to cover expenses in India.
NRE accounts are exempt from paying taxes on interest earned on bank accounts and fixed deposits.
Union Bank of India NRE FD interest rates
The Union Bank of India has the best NRE fixe deposit rates, ranging from 5.75 percent to 6.10 percent for amounts less than Rs 2 crore. The tenure begins at one year and can be extended to ten years. Banks offer 6.05 percent for terms ranging from three to three years and fourteen days. The bank provides 6.10 percent for terms of five to ten years.
Canara Bank NRE FD interest rates
Canara Bank offers NRE fixed deposit rates ranging from 5.30 percent to 6% for amounts less than Rs 2 crore. The tenure begins at one year and can be extended to ten years. On terms of one year to less than two years, the bank offers a 6% interest rate.
“Overdue NRE deposits will be paid interest as applicable to savings accounts from the date of maturity until the date of payment/re-investment,” according to the Canara Bank website.
PNB NRE FD interest rates
PNB offers NRE fixed deposit rates ranging from 5.55 percent to 6 percent for amounts less than Rs 2 crore. The tenure ranges from one year to ten years. The bank offers 6% interest on terms of two years or more, as well as terms of 1111 days.