Kotak Mahindra Bank offers a wide range of financial products and services to residents as well as NRIs. Non-Resident Indians can open an FCNR account with Kotak bank to manage their foreign earnings in India. Kotak Mahindra Bank offers FCNR fixed deposit accounts to NRIs, with competitive interest rates that range between 3.05 and 5.95% p.a. The account can be maintained in any of 6 acceptable foreign currencies – USD, GBP, EURO, AUD, and SGD. Here are the latest Kotak FCNR rates.
Kotak Bank FCNR Rates
The FCNR rates offered by Kotak Mahindra Bank are subject to change and can vary based on the currency and tenure of the deposit. Given below are the Kotak FCNR deposit rates that are effective from the date of 1 July 2023.
| Maturity | USD (< 0.5 mio) | USD (>= 0.5 mio) | GBP | EURO | AUD | SGD |
|---|---|---|---|---|---|---|
| 1 year to less than 2 years | 5.65% | 5.65% | 5.50% | 3.85% | 4.55% | 3.85% |
| 2 years to less than 3 years | 4.60% | 4.60% | 5.20% | 2.95% | 3.95% | 3.05% |
| 3 years to less than 4 years | 3.90% | 3.90% | 4.55% | 2.40% | 3.50% | – |
| 4 years to less than 5 years | 3.50% | 3.50% | – | – | – | – |
| 5 years | 3.50% | 3.50% | – | – | – | – |
Note-
- Interest Rates are subject to change without notice.
- Minimum tenure to book FCNR (B) deposit is 1 year.
- No interest would be paid if the said deposit is pre-closed in less than a year.
Kotak Bank FCNR (B) Deposit Premature Withdrawals
Kotak Mahindra Bank allows premature withdrawals of FCNR (B) deposits subject to certain rules and regulations. The bank charges a penalty for premature withdrawals, and the penalty amount varies depending on the currency and tenure of the deposit. For deposits which are prematurely withdrawn after 1 year, penalty applicable is as below:
| Premat Penalty | USD (< 0.5 mio) | USD (>= 0.5 mio) | GBP | EURO | AUD | SGD |
|---|---|---|---|---|---|---|
| 0.25% | 0.25% | 0.25% | 0.00% | 0.25% | 0.10% |
Kotak Mahindra Bank FCNR Deposits: Features & Benefits
Some of the key features and benefits of Kotak Mahindra Bank FCNR deposits are:
- Kotak Mahindra Bank offers FCNR (B) deposits in multiple currencies, including USD, GBP, EURO, AUD, and SGD and protects it from exchange rate risk.
- It offers flexible tenure options ranging from 1 year to 5 years for FCNR (B) deposits.
- The bank offers attractive interest rates on FCNR (B) deposits, which are competitive with other banks in India.
- The principal amount and the interest earned on FCNR deposit are exempt from tax in India.
- Kotak FCNR (B) deposits allow NRIs to repatriate their funds, including principal and interest, in the foreign currency of their choice without any restrictions.
- It can be jointly opened by NRIs/PIOs.
- The bank also provides phone and internet banking services.
Eligibility for Kotak FCNR Deposit
All NRIs (Non-Resident Indians) and Overseas Citizens of India OCIs (Overseas Citizens of India) can open an FCNR deposit account at Kotak Mahindra Bank. The deposit can be held jointly with other NRIs.
Documents Required to Apply for Kotak FCNR Deposit
Given below is the list of documents that NRIs need to apply for a FCNR Account Opening:
1. When submitting an account opening form and documents at Kotak Bank branches in India, Non-Resident Indians are required to provide:
- Photocopy of Indian Passport pages where your name, photograph, date and place of birth, specimen-signature, date of issue / expiry and address details are recorded.
- Copy of valid Visa / Work / Residence Permit.
- Proof of Mailing Address (local or overseas address).
- Latest passport sized coloured photograph.
2. When submitting the account opening form and documents from overseas, the same documents must be provided that are mentioned above.
3. The documents mentioned above need to be attested by –
- An overseas bank official located and operating in certain countries or
- Any branch of an Indian scheduled commercial bank having an overseas branch or
- a Notary Public or equivalent authority, or
- The Indian diplomatic mission in the applicant’s country of residence.
4. If the self-attestation method is used, all submitted documents must be signed by the respective account holders with the words “TRUE COPY.” Additionally, a signed cheque drawn in favor of Kotak Mahindra Bank A/c – (your name) on an existing account in India or abroad and an original bank account statement, original credit card statement, or original utility bill that is not more than three months old must be provided.
Kotak Mahindra Bank Customer Care
If you are in India, you can visit the nearest Kotak Mahindra Bank. if you are overseas, you can
- Call on the number +91-22-6600-6022, or
- Reach out to them via mail. Their Email ID is [email protected].
Why should NRIs open an FCNR Account in India?
FCNR deposits are a great investment option for NRIs who wish to retain their savings in foreign currency. Here are some of the advantages of FCNR deposits:
- FCNR accounts offer higher interest rates compared to other savings accounts, which can help NRIs earn higher returns on their deposits.
- By depositing money in an FCNR account, NRIs can protect themselves against exchange rate fluctuations as their money is held in a foreign currency.
- Funds in an FCNR account can be easily repatriated outside India without any restrictions or approval from the Reserve Bank of India (RBI).
- Interest earned on FCNR deposits is tax-free in India, which can be advantageous for NRIs looking to save on taxes.
- By opening an FCNR account, NRIs can diversify their investment portfolio and hold their savings in multiple currencies.
Contact SBNRI
SBNRI is an online one-stop platform for expert services and advisory on all major NRI specific aspects including NRI FD schemes.
To get end to end assistance with booking of FCNR(B) Fixed Deposits, you can connect with our expert using the button at the end of the article. You can also browse through the NRI Account Opening grid that we have prepared specially for NRIs and get expert advisory and assistance seamlessly and complete the entire process at the comfort of your homes. Also, visit our blog and YouTube Channel for more details.
