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Q.

What is the difference between NRE, NRI and NRO accounts?

Tags: nri, nro accounts, difference between nre
Asked by Sharmila, 18 Nov '07 08:06 am
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Answers (7)

1.

NRE means the amount kept in rupees can be converted and repatriated back into foreign currency
NRO means the amount is kept in rupees and cannot be converted or repatriated back into foreign currency
NRI means Non Resident Indian. NRE and NRO are 2 types of NRI accounts.
Answered by Saj Sierra, 18 Nov '07 08:20 am

 
  
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2.

The two kinds of accounts are Non-Resident External (NRE) and Non Resident Ordinary (NRO).
A person who is eligible to open these accounts is called an Non-Resident Indian (NRI). It is defined as a person who has lived out of INdia for a period not less than 180 days during the previous year. It only signifies the resident status of an individual and not an account.
NRE account allow only remittances in foreign currencies. The account can be retained in designated foreign currencies viz USD, Pd stg, Euro and Yen. Alternatively the rupee equivalent of the amount converted at the exchange rates prevailing on the date of conversion is placed in the account. It is to be noted that the amounts lying in these accounts are freely repatriable, i.e the account holder is free to remit them out of the country. Transfer from one NRE account to another NRE account is allowed now. However remitting indian rupees into this account is not allowed. The cash withdrawals from this account are co ...more
Answered by latha sashi, 18 Nov '07 08:56 am

 
  
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3.

1. NRI signifies the residency status of a person, who opens the bank account and it is not a bank account. It signifies that account holder is an Indian, but not residing in India.
2. NRE - Non Resident External - is a type of account, in which only "external money" that is foreign currency can be deposited. Thus, even while the account holder has an account in India, rupee can not be deposited, though it can be withdrawn.
3. NRO - Non Resident Ordinary is the account by a Non- resident Indian in India, in which rupee as well as foreign currencies can be deposited. Withdrawal is only in Indian rupee.
Answered by manish varma, 18 Nov '07 08:14 am

 
  
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4.

There are two options an NRI interested in opening a bank account in India can choose from an NRE or an NRO account. Are you an NRI keen on getting a bank account opened in India? Then it would be advantageous to know how these two types of accounts differ and which one is right for you.

The Government of India has permitted NRIs to open rupee accounts in India in order to repatriate funds from their home countries. The two most common accounts are the NRE and NRO accounts. Lets take a closer look at them.

Whats an NRE account?
A Non-Resident External (NRE) account is a bank account thats opened by depositing foreign currency at the time of opening a bank account. This currency can be tendered in the form of travelers checks or notes.

Whats an NRO account?
A Non-Resident Ordinary (NRO) account is the normal bank account opened by an Indian going abroad with the intention of becoming an NRI. An NRI can also open this account by sending remittances from his home country or ...more
Answered by ashok songara, 01 May '11 03:52 pm

 
  
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5.

NRI is the status. NRE-Non resident external .it is repraitable account.
NRO- Nonresident ordinary It is non Repraitable A/C
Answered by Narayanasami Murali, 18 Nov '07 10:32 am

 
  
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6.

NRI is common for both NRE and NRO. In case of NRE, 2 NRI's are required for opening an NRE account. In case of NRO account only one NRI is needed.
Secondly here in case of NRE only foregin deposit is possible and rupee withdrawal is possible. In case of NRO both foreign and rupee deposit is possible but only rupee withdrawl is possible.
Answered by aishwarya krishnamoorthy, 04 May '12 04:51 pm

 
  
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7.

The Non-resident Indians (NRIs)are permitted to open and maintain these accounts with authorised dealers, and with banks (including cooperative banks) authorised by the Reserve Bank to maintain such NRE accounts.The account should be opened by the non-resident account holder himself and not by the holder of the power of attorney in India.

NRO account is to be redesignated as resident account immediately upon return.
NRE account is to be redesignated as resident account immediately upon return, or Funds be transferred to Resident Foreign Currency (RFC) Account immediately upon return.
Source: http://www.yesbank.in/index.jsp?navigationUrl=/YES Bank Repository/en/Branch Banking/Global Indian Banking - NRI
Answered by SHRADHYEYA PATTEWAR, 25 Jun '12 12:31 pm

 
  
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