HSBC Bank, a globally renowned financial institution, offers a range of attractive investment options for non-resident Indians (NRIs). One such option is the HSBC Bank NRE Fixed Deposit (FD) scheme. NRE Fixed Deposits provide NRIs with an opportunity to earn competitive interest rates on their deposits while enjoying the flexibility and convenience of managing their funds from anywhere in the world. In this blog, we will focus on the HSBC bank NRE FD rates and features and benefits of HSBC NRE FDs.
HSBC Bank NRE FD Rates 2023
For Rates Below Rs. 2 Crore-
| Tenure of Deposit | Interest Rates (p.a.) |
|---|---|
| 1 year | 4.00% |
| 366 days to 399 days | 4.00% |
| 400 days | 3.25% |
| 401 days to less than 18 months | 6.25% |
| 18 months to 599 days | 4.1% |
| 600 days | 3.75% |
| 601 to 699 days | 3.50% |
| 700 days | 3.75% |
| 701 to 730 days | 4.25% |
| 731 days | 4.25% |
| 732 days to less than 36 months | 7.50% |
| 36 months to less than 37 months | 7.00% |
| 37 months to less than 48 months | 6.00% |
| 48 months to 60 months | 6.00% |
Note-
- These interest rates are effective from 17 May 2023.
- NRE FD rates are subjected to periodic change.
For Rates Above Rs. 2 Crore-
| Tenure | Rs. 2 cr. ≤ 4 cr. | Rs. 4 cr. ≤ 10 cr. | Rs. 10 cr. ≤Rs. 30 cr. | Rs. 30 cr. ≤Rs. 50 cr. | Rs. 50 cr. ≤Rs. 100 cr. | Rs. 100 cr. and above. |
|---|---|---|---|---|---|---|
| 365 days | 2.80% | 2.80% | 2.80% | 2.80% | 2.80% | 2.80% |
| 366 to 399 days | 4.00% | 2.80% | 2.80% | 2.80% | 2.80% | 2.80% |
| 400 days | 4.00% | 2.95% | 2.95% | 2.95% | 2.95% | 2.95% |
| 401 days to less than 18 months | 6.50% | 6.00% | 2.95% | 2.95% | 2.95% | 2.95% |
| 18 months to 599 days | 3.00% | 3.00% | 3.00% | 3.00% | 3.00% | 3.00% |
| 600 days | 3.45% | 3.45% | 3.45% | 3.45% | 3.45% | 3.45% |
| 601 to 699 days | 3.00% | 3.00% | 3.00% | 3.00% | 3.00% | 3.00% |
| 700 days | 3.45% | 3.45% | 3.45% | 3.45% | 3.45% | 3.45% |
| 701 days to 730 days | 3.20% | 3.20% | 3.20% | 3.20% | 3.20% | 3.20% |
| 731 days | 3.20% | 3.20% | 3.20% | 3.20% | 3.20% | 3.20% |
| 732 days to less than 36 months | 7.70% | 6.00% | 3.30% | 3.30% | 3.30% | 3.30% |
| 36 months to less than 37 months | 6.50% | 5.50% | 3.70% | 3.70% | 3.70% | 3.70% |
| 37 months to less than 48 months | 5.00% | 4.00% | 3.50% | 3.50% | 3.50% | 3.50% |
| 48 months to 60 months | 5.00% | 5.00% | 3.50% | 3.50% | 3.50% | 3.50% |
Note-
- These interest rates are effective from 26 May 2023.
- NRE FD rates are subjected to periodic change.
HSBC NRO FD Interest Rates
Given below are the NRO fixed deposits rates of HSBC bank:
| Tenure of Deposit | Interest Rates (p.a.) |
|---|---|
| 7 Days | 2.85% |
| 8 Days | 2.85% |
| 9 to 14 Days | 3.00% |
| 15 to 29 Days | 3.00% |
| 30 to 59 Days | 3.40% |
| 60 to 89 Days | 3.60% |
| 90 to 93 Days | 3.80% |
| 94 Days | 3.80% |
| 95 to 179 Days | 4.00% |
| 180 Days | 4.50% |
| 181 to 269 Days | 3.25% |
| 270 to 364 Days | 3.70% |
| 365 Days | 4.00% |
| 366 to 399 Days | 4.00% |
| 400 Days | 3.25% |
| 401 Days to less than 18 months | 6.25% |
| 18 months to 599 days | 4.1% |
| 600 Days | 3.75% |
| 601 to 699 days | 3.30% |
| 700 days | 3.75% |
| 701 to 730 days | 4.25% |
| 731 Days | 4.25% |
| 732 Days to less than 36 months | 7.50% |
| 36 months to less than 37 months | 7.00% |
| 37 months to less than 48 months | 6.00% |
| 48 months to 60 months | 6.00% |
Note-
- These interest rates are effective from 3 March 2023.
- NRO FD rates are subjected to periodic change.
HSBC Bank FCNR FD Rates
Given below are the FCNR rates (Simple Interest per Annum) on deposits made with HSBC bank:
| Period | USD | GBP | EUR | JPY | AUD | CAD | DKK | CHF | SEK |
|---|---|---|---|---|---|---|---|---|---|
| 1 year and above but less than 2 years | 2.50% | 3.50% | 0.1% | 0.1% | 0.10% | 0.10% | 0.1% | 0.1% | 0.1% |
| 2 year and above but less than 3 years | 3.75% | 0.50% | 0.1% | 0.1% | 0.10% | 0.10% | 0.1% | 0.1% | 0.1% |
| 3 years | 3.25% | 0.50% | – | – | – | – | 0.1% | 0.1% | 0.1% |
Note-
- These interest rates are effective from 16 November 2022.
- FCNR FD rates are subjected to periodic change.
HSBC RFC Fixed Deposits Rates
Given below are the RFC interest rates per annum on HSBC FDs:
| Currency | 31 days ≤ 6 months | 6 months ≤ 1 year | ≥ 1 year to < 2 years | ≥ 2 years to < 3 years | 3 years |
|---|---|---|---|---|---|
| USD | 0.10% | 0.10% | 0.10% | 0.10% | 0.10% |
| GBP | 0.10% | 0.10% | 0.10% | 0.10% | 0.10% |
| EUR | 0.10% | 0.10% | 0.10% | 0.10% | – |
| JPY | 0.10% | 0.10% | 0.10% | 0.10% | – |
Note-
- These interest rates are effective from 21 March 2017.
- RFC FD rates are subjected to periodic change.
Premature Withdrawal of NRE Deposits
- If a premature withdrawal occurs within a year, no interest will be paid.
- In the case of premature encashment of term deposits, a penal interest of 1% will be charged.
- The interest paid will be 1% lower than the prevailing rate at the time of deposit placement, or the contractual rate, whichever is lower, for the duration that the deposit remains with the bank.
- No interest will be paid for premature withdrawals of deposits held for a duration shorter than the minimum accepted period for that currency and deposit type, as specified on the date of deposit placement.
What are HSBC NRE Fixed Deposits
HSBC NRE (Non-Resident External) Fixed Deposit is tailored to meet the specific requirements of Non-Resident Indians (NRIs). NRE stands for Non-Resident External, indicating that the funds deposited in this account are sourced from the NRI’s foreign earnings and held in Indian rupees (INR).
Features and Benefits of HSBC NRE FDs
The key features and benefits of HSBC Bank NRE Fixed Deposits are as follows:
- The tenure of HSBC NRE Fixed Deposit spans from 1 year to 5 years.
- The HSBC Bank FD allows a minimum investment of Rs. 25,000.
- HSBC Bank offers competitive NRE fixed deposits interest rates, ensuring that NRIs can earn attractive returns on their investments.
- Both the principal amount and the interest earned are fully repatriable.
- NRE fixed deposits are exempt from Indian income tax. This means that the interest earned on these deposits is not subject to taxation in India.
- You can break your deposit before the maturity period subject to the premature withdrawal clause.
- The HSBC NRE Fixed Deposit can be opened either individually or jointly with other NRIs/PIOs. Account held jointly with a close relative is operated on the “former or survivor” basis.
- With HSBC bank, you can avail of overdraft against your NRE deposits.
How to Apply for HSBC NRE Fixed Deposits?
There are multiple ways of opening any type of HSBC India NRI account, including online, branch visits and phone calls.
Online Method
Given below is the process of opening an HSBC NRE Fixed Deposit account online-
- Go to the official website of HSBC Bank.
- Select ‘NRI’ option.
- Under the ‘Non-Resident Indian Services’, click on ‘NRE Deposit’.
- Click on ‘Apply Now’.
- If you are an existing user, please log in to your account. For new users, kindly register by providing the required information.
- Complete the online form with the necessary details to initiate the process of opening an FD account.
- Click ‘Confirm’.
- The form will be submitted, and a representative from the bank will contact you regarding the next steps.
Offline Method
Given below is the process of opening an HSBC NRE Fixed Deposit account offline-
- Visit the nearest bank branch in your area.
- Obtain the application form for the FD (Fixed Deposit) account.
- Fill out the form by providing all the necessary details and gather the required documents.
- Submit the duly completed form along with the necessary documents to the bank branch.
Contact SBNRI
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FAQs
The minimum period for HSBC NRE FD is 1 year.
Yes, there is a penalty on pre-withdrawal of NRE deposits. HSBC bank will charge a fee of 1% on premature closing of fixed deposit accounts.
No, NRE Fixed Deposits are exempt from tax in India.
The fullform of HSBC bank is Hongkong and Shanghai Banking Corporation Limited.
