Best NRE Savings Accounts for NRIs in 2023

Indian Government with the help of their banks and other financial institutions is opening more doors for NRIs (Non-Resident Indians) to invest in their home country and hence is coming up with vital options so that NRIs can diversify their global portfolio. With a plethora of options available in the financial market these days, let us have a look at some of the best NRE savings account options for NRIs in the coming year of 2023.

What Is an NRI Account?

An NRI or Non-Residential Indian is a person who has been residing outside the geographical boundaries of India for a minimum of 120 days and stayed in India for less than 365 days in the preceding 4 years. An Indian can be termed as an NRI with immediate effects if they leave their home country with the purpose of attaining employment in a foreign country.  All NRIs, in order to make any kind of investment in India, have to have an NRI account. One can choose between an NRE or an NRO account as per their requirement. 

NRE Savings Account

An NRE Account or Non-Resident External account is a kind of savings account for NRIs that allows them to transfer their income to India.

Here are some key features related to NRE Account:

• The account shall be denominated in Indian Rupees.

• An NRE account can be in the form of a Current account, Savings account, Recurring Deposit account, or Fixed Deposit account.

• NRIs and PIOs can open an NRE account in India with an authorized bank under the guidelines of RBI (Reserve Bank of India).

• An NRE account can be operated jointly but only with another NRI.

• Deposits in an NRE account can be made of earnings from a foreign country only and not of earnings made in India.

• Withdrawals can be made in the currency in which the NRI resides in and therefore there is a possibility of amount fluctuation.

• Funds from one NRE account can be transferred to another NRE or NRO account easily.

• Income from the NRE account is tax-free as the principal and interest amounts are exempted from taxation.

• Investments in India can be made with the help of the NRE (Non-Resident External) account.

Best NRE Savings Account for NRIs in 2023

Disclaimer: Policybazaar does not endorse, rate, or recommend any particular company or product. The investment risk in the investment portfolio is borne by the policyholder.

Key Features of NRE Account Saving Banks

Here are some important features related to some of the top NRE savings bank accounts for Non-Resident Indians in 2023.

1. Axis Bank NRE Account

   • The average minimum balance in an NRE Axis bank account is Rs. 10,000.

   • NRE deposit rates for Axis bank start from 5.15% for 1 year.

   • The account can be operated jointly by an Indian resident on behalf of the NRI.

   • The account can be managed easily through net banking.

2. Bank of Baroda NRE Account

   • The average minimum balance in an NRE Bank of Baroda account is Rs. 50,000 per quarter.

   • NRE deposit rates start from 4.90% for 1 year.

   • 24-hour net banking facility available.

   • Tax exemption is available on the interest earned on NRE income.

3. Canara Bank NRE Account

   • The average minimum balance in an NRE account is Rs. 1,00,000.

   • NRE account deposit rates start from 5.25% for 1 year.

   • Various other deposit schemes are available for NRIs.

   • The nomination facility is available in the Canara bank NRE account.

4. Citibank NRE Account

   • Generally, the average minimum balance in a Citibank NRE account is Rs. 80,000.

   • The amount may vary from one country to another.

   • NRE account deposit rate start from 2.75% for 1 year.

   • Debit cards and net banking facilities are available for the account holders.

5. DBS Bank NRE Account

   • Average minimum balance in an NRE account is Rs. 5 lakhs.

   • NRE account deposit rate starts from 4.25% for 1 year.

   • A nomination facility is available and it also offers the facility of 2 or more joint account holders.

   • Internet banking facility is available for all the account holders.

6. HDFC Bank NRE Account

   • The average balance in an HDFC NRE account is:

     • Rs. 10,000 in urban cities

     • Rs. 5,000 in rural areas

   • NRE account deposit rate starts from 4.90% for 1 year.

   • Internet banking facilities and international debit cards are available for all NRE account holders.

7. ICICI Bank NRE Account

   • The average minimum balance in an NRE account is Rs. 10,000.

   • The interest rate starts from 4.40% for 1 year.

   • Tax exemption and full repatriability of funds available in India.

   • Internet banking facility available for all.

8. Kotak Mahindra Bank NRE Account

   • The average minimum balance of Kotak Mahindra bank NRE account is Rs. 10,000 monthly.

   • The interest rate starts from 4.60% for 1 year.

   • Internet banking and home banking are available in India.

   • The account can be opened jointly by NRIs and PIOs only.

9. RBL Bank NRE Account

   • The average minimum balance of the NRE account is Rs. 50,000.

   • The interest rate starts from 5.40% for 1 year.

   • Internet banking is available for all account holders.

   • International debit card services are also available.

10. SBM Bank NRE Account

    • There is no minimum balance applicable for the SBM NRE account.

    • The interest rate starts from 6.50% for 1 year.

    • The principal amount and interest are fully repatriable.

11. State Bank of India NRE Account

    • The average balance in a State Bank of India NRE account is:

      • Rs. 1,00,000 in urban cities

      • Rs. 50,000 in rural areas

    • NRE account deposit rate starts from 4.90% for 1 year.

    • Internet banking facilities and international debit cards are available for all NRE account holders.

12. Yes Bank NRE Account

    • The average balance in Yes Bank NRE Account is Rs. 10,000.

    • NRE account deposit rate starts from 6.50% for 1 year.

    • Internet banking facility is available for all the account holders.

    • A personal relationship manager is assigned to all the account holders.

NRE Savings Account Benefits

Here are some of the main benefits of an NRE Savings account:

• Money can be transferred at decent rates in an NRE account.

• Interest on NRE accounts is not taxable in India.

• Most of the banks offer mobile and internet banking facilities making it easier for NRIs.

• Most of the banks offer joint holder facilities in an NRE account.

• Funds are open to currency exchange risk in NRE accounts.

• Most of the Indian banks offer NRE account facilities.

• Interest rate, minimum balance, and other important features may vary from one bank to another.

Best NRO Savings Account for NRIs in 2023

Key Features of NRO Account Saving Banks

Here are key features of some of the top NRO savings bank accounts for Non-Resident Indians in 2023.

1. Axis Bank NRO Account

   • The average minimum balance that an NRO can hold in his/her NRO savings account with Axis Bank ranges between Rs.10,000 to Rs,10,00,000.

   • The rate of interest for NRO savings bank account ranges between 4.40% to 5.40%.

   • An NRO is free to transfer or repatriate the interest he/she earns on the deposited amount.

2. Bank of Baroda NRO Account

   • The average minimum balance that one should have in this account is Rs.1,000.

   • The rate of interest that an NRO get with his account in Bank of Baroda is 2.75%.

   • Facility of net banking is offered by Bank of Baroda.

3. Citi Bank NRO Account

   • The minimum balance for Citi Bank NRO savings account is Rs.2,00,000.

   • The average rate of interest that an NRO can earn from this account is 2.50%.

   • Offers secure net banking facility.

4. DBS Bank NRO Account

   • The minimum account balance to maintain an NRO account with DBS Bank is Rs.5,00,000.

   • The rate of interest that an NRO gets is 3.00%.

   • The facility of joint NRO account is provided.

5. HDFC Bank NRO Account

   • The minimum account balance that an NRI should maintain in his/her HDFC Bank NRO account is Rs.10,000.

   • The average rate of interest for this account is 3.00%.

   • The facility of net banking makes the banking process smooth for NRIs.

6. ICICI Bank NRO Account

   • The minimum amount that an NRI has to maintain in this NRO account is Rs.10,000.

   • The rate of interest that an NRI gets with ICICI Bank NRO account is 3.00%.

   • Simple and safe online money transfer.

7. Kotak Mahindra Bank NRO Account

   • The minimum amount that an NRI can hold in this account is Rs.10,000

   • The interest rate that an NRI gets with Kotak Mahindra Bank NRO account is approximately 3.50%.

   • Facility of 24/7 phone banking.

8. RBL Bank NRO Account

   • The minimum amount that an NRI has to maintain in his/her RBL Bank NRO account is Rs.50,000.

   • The average rate of interest for this account is 4.25%.

   • Facility of net banking to easily operate this account.

9. State Bank of India NRO Account

   • The minimum amount that an NRI has to hold in this account is Rs.1,00,000

   • The average rate of interest that an NRI gets with his/her State Bank of India NRO account is 2.70%.

   • One can open this account jointly or individually.

10. Yes Bank NRO Account

    • The minimum amount that an NRI has to maintain in his/her Yes Bank NRO account is Rs.10,000

    • The average rate of interest that one gets with this account is 4.00%

    • The facility of net banking makes RTGS or NEFT payment process easy