- Unique feature of Rupee Plus scheme is that it is tax free and yield decent return without losing NRE status of their rupee funds.
- Deposit can be opened for tenure– "1 Year & 1 day only"
- Deposit can be opened in 7 currencies (USD/GBP/Euro/CAD/Yen/AUD/CHF) for 1 Year and 1 day maturity
- The deposit can be made by transfer from NRE account or by remittance from abroad in Indian rupee or in foreign currency.
- The deposit is opened as an FCNR deposit. Simultaneously a forward contract is to be booked, with delivery date coinciding with maturity date of the deposit for converting the maturity proceeds to Indian Rupee.
- The return for Rupee plus Accounts is the Premium on the corresponding currencies at the time of opening (based on daily forward rate) plus Interest return on FCNR Accounts. Premium on currencies varies daily and is subject to market fluctuations.
- The maturity proceeds will be paid in repatriable Indian Rupee only.
- No premature closure is allowed for the deposit
- Customer is not entitled to cancel the forward contract. Any request for cancellation may be decided by the Bank at its sole discretion at the exchange rate prevailing at the time of the cancellation. Upon such cancellation, Bank shall be entitled to recover/set off from the FRP, cancellation charges, exchange differences, swap cost and all other charges as may be determined by the bank.
- Loan against the deposit will be permitted on terms and conditions applicable to AAS on FCNR deposit.
- You can open Federal Rupee Plus through any branches of Federal Bank
The Currencies and the minimum amount are specified below
Federal Rupee Plus V/s FCNR Cash Certificate
- In an FCNR Cash Certificate, the deposit amount or maturity proceeds can be converted any time at the rate prevailing on the date of conversion for that particular currency if the customer wishes to do so
- Whereas in a Federal Rupee Plus scheme, a forward contract is booked for the maturity value of FCNR with delivery date coinciding with maturity date of the deposit for converting the maturity proceeds to Indian Rupee at an agreed rate i.e. Conversion rate and date are prefixed and maturity value is assured.