Indians moving abroad for higher studies and employment are supposed to make a few financial arrangements. NRI bank account opening should be on the top of your to-do list because once you become an NRI or Non-Resident Indian, your resident savings account will not be valid. Hence, you can open an NRI bank account with IDFC First Bank to conduct financial transactions in India. With the IDFC First Bank NRI account, you can earn attractive interest rates and enjoy smooth fund transfer and income tax exemption.
Also Read: IDFC NRI Fixed Deposit Rates for July 2023
Features and benefits of IDFC Bank NRI account
- Hassle-free account opening process: You can open an IDFC First Bank NRI account online from anywhere in the world. The process is hassle free and fast with minimum documentation.
- Access to investments in India: With the NRI account, NRIs can participate in the stock market and debt markets in India.
- Tax benefits: Interest earned through IDFC NRE bank account and FD is totally exempt from tax, which means you don’t have to pay any tax on the interest earned.
- Repatriation benefits: Funds in NRI accounts can be smoothly moved within India as well as overseas, so that you can access money anytime from anywhere. NRIs must know that an NRE account allows full repatriation of funds but funds in an NRO account are repatriable only to a certain specified limit.
- Netbanking: NRI account holders can enjoy netbanking and mobile applications from anywhere in the world.
Other benefits include visa signature debit card and dedicated relationship manager.
IDFC First Bank NRI Account Types
IDFC First Bank offers basically two types of NRI savings bank accounts – NRE accounts and NRO accounts.
IDFC NRE account
You can open an IDFC First Bank NRE account to maintain the funds originating from the country of your residence. The funds are held in INR (Indian Rupee).
IDFC NRO account
NRIs and OCI/ PIO cardholders can open an IDFC First NRO account to deposit their income earned in India, such as rent, dividends, pension, etc.
| Particulars | NRE Account | NRO Account |
|---|---|---|
| Purpose | For depositing the overseas earnings of NRIs | For depositing the Indian income i.e. rent, dividends, pension, etc. |
| Currency | INR denominated | INR denominated |
| Interest | Interest is paid at the end of each month on daily average balance | Interest is paid at the end of each month on daily average balance |
| Taxation | Interest earned on an NRE account is tax-free in India. | The interest earned on an NRO is taxable in India. Currently, Tax Deducted at Source (TDS) is applicable at 30% + surcharge and cess. |
| Account funding | – Foreign currency remittance from overseas – Funds from other NRE or FCNR account in any bank in India | The account can be funded through: – Income from sources in India – Funds from any other NRO or NRE account in India – FCNR from overseas |
| Mandate facility | A resident Indian can be added as a mandate post account opening | A resident Indian can be added as a mandate post account opening |
| Joint account holding | – Eligible NRIs/ PIOs/ OCIs can become joint account holders – Resident Indian close relative can be added as joint account holder on ‘Former or Survivor’ basis | Eligible NRIs/ PIOs/ OCIs can become joint account holders – Resident Indian close relative can be added as joint account holder on ‘Former or Survivor’ basis |
| Repatriation | Fully and freely repatriable | Repatriation is limited to the equivalent of USD 1 million (or equivalent amount) per year |
IDFC First Bank NRI account opening
Non-residents can open an NRI account from the country of their residence, even without visiting a bank branch in India. You can apply for IDFC First Bank NRI account opening online. Here are two basic ways of opening an NRI account online.
IDFC First Bank NRI account opening online on bank’s website
Here are the steps to apply for IDFC NRI account opening online through bank’s website:
- Visit the NRI page of IDFC First Bank or click here.
- Click on the ‘Apply Now’ button on the page.
- Fill up the basic information about yourself like your name, country or residence, your mobile number, email address, captcha, etc. and submit the form.
- The bank executive will call you and help complete your application.
Open NRI account online using SBNRI App
NRIs and OCI/PIO cardholders can apply for an NRI account online on SBNRI app in a couple of minutes with minimal documentation. Here are a few steps you need to take to apply for an NRI account one using SBNRI App.
- Download the SBNRI App and sign in using your credentials.
- Click on ‘Open NRI Account’ button and select the bank where you want to open an NRI account.
- Scan and upload KYC documents using the in-app scanning feature.
- Click on ‘Apply’ and that’s it.
Documentation
While the documentation may slightly vary, here is the checklist of basic documents you need to submit to apply for IDFC First Bank NRI account opening:
Identity proof:
1. One passport size color photograph
2. Passport and visa
- Copy of Indian passport that has photographs, personal details and proof of legal status in the country of your current residence
- Valid visa/ permanent resident card
For PIOs & OCIs
- Foreign passport featuring photographs and personal details
- Any one of the following documents
- PIO (Person of Indian Origin) card or OCI (Overseas Citizen of India) card issued to the applicant or his/ her parents or grandparents or spouse.
- Copy of Indian passport held any time by you or your spouse or by your or your spouse’s parents/ grandparents
Address proof:
Photocopies of any of the given documents:
- Valid driving license that has address on it
- Valid passport containing address
- Documents containing address, issued by Government Department foreign jurisdiction
- Letter presented by Foreign Embassy/ Mission in India containing address
- OCI card
As Indian address proof, you may share the following documents:
- Aadhaar card
- Voter’s ID card
- Letter issued by the NPR (National Population Register)
IDFC First Bank NRI Savings Account Interest Rate 2023
IDFC Bank offers one of the best interest rates on savings accounts. Here is the list of IDFC First NRI account interest rates:
| Balance | Interest rate (p.a.) |
|---|---|
| <= Rs. 10 lakh | 4.00% |
| Above Rs. 10 lakh to Rs. 5 cr | 7.00% |
| Above Rs. 5 cr to Rs. 50 cr | 6.75% |
| Above Rs. 50 cr to Rs. 100 cr | 5.00% |
| Above Rs. 100 cr to Rs. 200 cr | 4.50% |
| Above Rs. 200 cr | 3.50% |
Note: The above rates are effective from 01/07/2023
Due to lots of information and documentation required to apply for NRI accounts, NRI account opening process is lengthy and cumbersome elsewhere. You can download SBNRI App to apply for an NRI account with nominal documentation in just 10 minutes.
You can also click on the button below to apply for an NRI account. Visit our blog and YouTube Channel for more details.
FAQs
IDFC First Bank NRE interest rate ranges from 3.00% to 5.00% p.a., which is one of the highest in the market. RBL also offers attractive interest ranging from 4.75% to 6.75% per annum.
Funds in an NRE account are exempt from tax in India. However, the interest earned may be subject to tax in overseas countries. You should consult an NRI or overseas tax consultant.
When you deposit foreign currency in the NRE account it gets converted to Indian currency. Hence, you can easily withdraw money in Rupees from your NRE account.
