Understanding Bandhan Bank FCNR Deposits
Bandhan Bank FCNR deposits are fixed deposits held in foreign currencies such as the US Dollar (USD), British Pound (GBP), and Euro (EUR). These deposits offer NRIs a safe investment option with attractive rates and a tenure of 1 to 5 years. The interest earned on these deposits is tax-free in India, and both principal and interest amounts are fully repatriable to overseas accounts without any restrictions.
Current Bandhan Bank FCNR Interest Rates
Below are the FCNR rates by Bandhan Bank:
| Tenor |
USD |
| 1 Year only |
4.85% |
| 1 Year 1 day to < 2 Years |
4.75% |
| 2 Years to < 3 Years |
3.15% |
| 3 Years to < 4 Years |
3.15% |
| 4 Years to < 5 Years |
3.15% |
| 5 Years only |
2.15% |
| Tenor |
GBP |
EUR |
| 1 Year to < 2 Years |
3.48% |
NA |
| 2 Years to < 3 Years |
NA |
NA |
| 3 Years to < 4 Years |
NA |
NA |
| 4 Years to < 5 Years |
NA |
NA |
| 5 Years only |
NA |
NA |
*Bandhan Bank FCNR Rates as of April 2026
Note: Interest on FCNR deposits for tenures above 1 year is calculated using simple interest, while deposits under 1 year have compounded interest calculated half-yearly. No interest is paid if withdrawn before the end of 1 year. Rates are subject to change in accordance with market conditions and Reserve Bank of India (RBI) guidelines.
Key Features of Bandhan Bank FCNR Deposits
Bandhan Bank Foreign Currency Non-Resident deposits are designed for NRIs to hold savings in foreign currencies without exchange rate risks. Here are the modified guidelines regarding interest and withdrawals:
-
Compounding Frequency:
Interest is calculated and compounded semi-annually, ensuring steady growth of your foreign currency principal.
-
Minimum Tenure for Interest:
No interest is payable if the deposit is liquidated before the end of one full year.
-
Zero Premature Penalty:
For withdrawals made after one year, no premature penalty is levied. Interest will be paid at the rate applicable for the actual period the deposit remained with the bank.
-
Fixed Returns:
Interest is locked in at the prevailing rate available on the date of the deposit for the entire tenure.
-
Dynamic Rates:
These rates apply to both fresh deposits and renewals; however, they are subject to market fluctuations. It is essential to verify the latest rates immediately before booking your FCNR Fixed Deposit.
How to Open a Bandhan Bank FCNR Account?
NRIs can open a Bandhan Bank FCNR account by submitting required documents such as a passport, visa, overseas address proof, and completing the Know Your Customer (KYC) formalities at Bandhan Bank branches or online through authorised channels. Deposits can be made via inward remittance in foreign currency.
Conclusion
Bandhan Bank FCNR deposits offer NRIs a secure and efficient way to invest foreign currency funds, with the added benefits of tax-free interest, repatriability, and competitive rates up to 4.85% on USD. With multiple currencies and flexible tenure options, they are a preferred choice for NRIs aiming to maximise returns while managing currency risks.
Invest 18k/month & get 2 Crore# Tax-Free*
Manage your funds online60k + happy customers across 25+ countries
Compare & Choose30+ Plans and 150+ Fund options
