NRI Banking – (NRE or NRO Savings Account) which one NRI should open?

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NRI Banking
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NRI Banking (NRE or NRO Savings Account) which
one NRI should open? 
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• NRE or NRO savings account, which should I open
  is first doubt comes in mind of any Non Resident
  Indian (NRI), who wants to open saving accounts
  in India on Indian banks l and several other
  public sector banks which offer this facility.
• NRE and NRO are two kinds of accounts any NRI can
  open in India, NRE stands for Non Resident
  External while NRO stands for Non Resident
  Ordinary account, though both can be hold by
  Indians there are many differences between them
  and based upon your need you need to choose to
  open either NRE or NRO account in India. Almost
  all major banks both public sector and private
  sector allows NRI Indian to open both NRE and NRO
  account. 

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Difference between NRE and NRO account for NRI
Indians

• Now let's see some differences between NRI and
  NRO account in India 1) First difference
  between NRE and NRO account is how you deposit
  money. Only foreign currency can be deposited
  into NRE account while you can deposit Indian
  rupees in NRO account. 2) Interest rates on NRE
  and NRO accounts could differ currently many
  banks provide almost same interest rates on NRE
  and NRO accounts 3) Another significant
  difference between NRE and NRO account is that
  Money in NRE account is tax free while its
  taxable in NRO account, if you are maintaining
  any NRI fixed deposit in your NRE account than
  both interest and principle are tax free while in
  case of NRO account interests are taxable. 

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• 4) If you are generating money from rents than
  you need to have an NRO account because INR
  currency cannot be deposited into NRO
  account. 5) Once money is in your NRE account
  you can transfer Indian Rupees (INR) to other
  accounts in India including NRO accounts. IF you
  are thinking to open NRE or NRO accounts choose
  banks which has better customer support and net
  banking facilities. 6) If you want to send
  money abroad from India, NRE account can be
  better choice than NRO account which impose a
  limit on how much amount you can transfer from
  India to abroad.
• If you are now looking for what is the best bank
  to open NRE and NRO account, please check out
  that article, it compares three major privates
  banks on various factors which are important for
  NRI e.g. service, convenience, interest rates and
  support.

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Frequently asked Question on NRE and NRO Account

• Here is a list of some of the common doubt among
  NRI customers related to NRE and NRO account with
  Indian banks
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• 1) Can I open both NRE and NRO savings Account in
  India?
• Yes you can open both NRE and NRO Savings account
  with one name there is no restriction on
  that.2) Does interest earned on NRE and NRO
  Savings account is Tax Free?Interest on NRE
  Savings Account is tax free but on NRO savings
  account you need to pay tax much like any other
  saving account in India.3) Can I open NRE and
  NRO account in one Bank?Yes, you can open both
  NRE and NRO account in same bank. If you already
  have a resident saving account with any bank

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• This is what I know about NRI Banking NRE and NRO
  account and what difference between them. There
  could be some more, if you know then please post
  as comment. This will be a good reference point
  for any NRI Indians who are looking forward to
  open NRE or NRO savings account in India. Even if
  you are thinking to open both NRE and NRO which
  is a good idea, its beneficial to know
  limitations of your NRO savings account and what
  operations you can do and which transactions are
  not possible with NRO or NRE savings account.
• Source https//www.evernote.com/shard/s611/sh/e17
  7a6e8-24f1-4c90-9844-6bd513e9b543/285cf06f14f761ad
  cf9211e6602741fd

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• Thank You

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