Features & Benefits

With our Foreign Currency Non Resident Account Deposit (FCNR) scheme, you can hold your earnings in foreign currencies of your choice in India, that too with high returns. FCNR deposit account has a clear advantage that the customers' fund is protected from fluctuations in exchange rates. Moreover you can earn the interest on this deposit in the designated foreign currency.

 

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Enables NRIs to protect their foreign currency earnings from any exchange rate fluctuation.
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High interest rates & 100 % tax free interest in India.
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Principal and Interest are freely repatriable. Ideal for those who wish to take back the maturity proceeds out of India.
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Nomination facility is available
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Facility to avail loan against FCNR deposits in Rupees or in Foreign Currency.
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FCNR accounts can be opened in any branches of Federal Bank
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Rupee advance against the Deposit can be availed up to 75% of the rupee equivalent of deposit
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Principal amount and Interest applied are freely repatriable.
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To earn interest, deposit has to complete a minimum period of one year.
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Choice of several periods of deposit
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Interest earned on FCNR deposit is exempt from Income Tax as far as the depositor is not Resident in India
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Deposit amount is exempted from wealth tax.

How to open ?

  • FCNR accounts can be opened by a remittance from abroad in the designated currencies mentioned above.
  • The remittance can be by way of DD,TT,MT or personal cheque, traveler's cheques or foreign currency tendered by the account holder personally during temporary visit to India or transfer from existing NRE account of the depositor/ prospective third party depositor.
  • In the case of DD, it should be drawn on a bank in the country of the currency
  • Click here for list of corresponding banks
  • Please inform the branch in prior for making FCNR deposit and mention the purpose of remittance as FCNR Deposit while sending the remittance.

Terms and Conditions

Period

  • FCNR deposit can be opened for period 1 Year – 5 Year. Minimum deposit period to earn interest is 1 year
  • No interest will be payable if the deposit is closed before completion of 1 Year.
  • FCNR deposits can be opened only as fixed deposits and not as savings or recurring deposits.

 

Permitted Currencies

  • US Dollars (USD)
  • British Pound (GBP)
  • Euro (EUR)
  • Japanese Yen (YEN)
  • Australian Dollar (AUD)
  • Swiss Franc (CHF) 
  • Canadian Dollar (CAD)
  • Singapore Dollar (SGD)

 

Payment of interest

  • The interest on FCNR deposits should be paid on the basis of 360 days to a year.
  • Interest on FCNR (B) deposit is calculated and paid at intervals of 180 days each and thereafter for the remaining actual number of days.

Interest Rates

Other Related NRI Deposits

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