“A bank is a place where they lend you an umbrella in fair weather and ask for it back when it begins to rain.” ~ Robert Frost
My previous article on how to open an NRI Bank account has most of the information that you need to get started, and to open an NRI account. This is a follow-up and complement to the information in that article. To maintain the continuity of the topic, there is some overlap between the two articles.
Home-work: Make sure to think it through ahead of time. Do you really need an NRI account ? While opening an NRI account provides many conveniences, it also increases the paper-work. It is one more account to track with possible complications to tax situations in multiple countries. So, evaluate your needs; open an account only if your business or personal situation demands it. Keep it simple!
Frequently asked Questions (FAQ): Most of the NRIs have many basic questions to start with, including:
1. What are different types of NRI accounts available?
2. Who can open an NRI account?
3. When can we open a joint Account and what are the nomination options?
4. What are the different loans permitted?
…..and so on.
Now, I can right a long-winded essay here and cut and paste all the info from banks and their internet sites. But, to keep it simple and to use reliable information, let us cut all the middlemen to go straight to the source.
So here it is, straight from the horse’s mouth - from the Reserve Bank Of India. This table of FREQUENTLY ASKED QUESTIONS on ‘Features of various Deposit Schemes available to Non-Resident Indians (NRIs) is all you need for most of the answers to your questions. Read it through, it is very detailed, well put together and to-the-point with no fluff.
Regulation Info:Make sure to look at the notes at the bottom of the FAQ table on the RBI website as well. The notes (a) through (f) provide more information on the regulations relating to the various deposit schemes available to Non-Resident Indians (NRIs) along with links to the information. Most of the banks also list the related RBI notifications on on their websites.
Final Thoughts: Money related decisions are better when made without any rush, compulsion or spur of the moment triggers. So, think it over and see if make sense for you to open an NRI account based on all the information. You can bookmark this post for future reference and comeback at later time after giving more consideration to it.
Now, you have it all. Between this article and the previous post on NRI Bank Account, you have all the key info on your finger tips; how you use it is totally up to you and your banker 
!
Finally, share your thoughts or experiences of opening an NRI account by commenting below, so that we can all learn from each-other.
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I am a CPA and a NRI. I used to have a NRI account with Citibank. Initially, I found this to be useful for sending money to family and friends at short notice. I eventually closed it due to the great difficulty in transacting business through their web site and poor customer service. I was in Delhi a few years ago and wrote a INR check for some services and the band rejected the check for no reason. Another time, I tried to cash a INR check at a branch in Hyderabad and they refused to cash it claiming the signature did not match even though I had my US passport. Finally, I found the supposed interest advantage of investig in India vanished due to the currency exchange rates they used. My advice is don’t open a NRI bank account unless you are planning to return to India.
H Rao
Thanks for sharing your personal experiences and suggestions. It is always very helpful when reality is checked
We have a nri icici bank account in india, how do I check my balances?
Hi,
Please write to us with your contact details and account number at care@icicibank.com (Subject line: UID 220020). We’ll be glad to be of assistance.
Regards,
ICICI Customer Service Team.
I am having a NRI account with HSBC. Sorry to say, there are lot of problems in operating the Account.
There are problems in operating NRI accounts
as such require changes in Banks’ operating
system which should customer friendly.
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NRIs can open different kinds of accounts in Indian banks. For the purpose of crediting all their incomes and other payments in India they can open Non Resident ordinary account – NRO A/c with any bank. The amounts in this account cannot be repatriated outside India but can be used by him to meet all his outgoings in the country such as payment of taxes, meeting his house hold expenses in India etc. To facilitate easy operation of the account, the NRO account can be opened in joint names of any of himself and a person resident in India – say his wife or father etc. This can be opened on either or survivor basis. The other account is NRE A/c (Non resident external account). This account can be used to park his foreign income in dollars or any other foreign currency. The amounts in this account can be repatriated abroad at any time to meet the expenses of NRI at any time.NRI can give a Power of attorney to any of his relatives in India to operate this account for investing the amounts in FDs etc. For more details RBI web site may be seen.
Now these days banks are offering very attractive interest rates (@ 9% +) in India, so it is suggestible to keep at least one account with any Indian Bank and keep your investable funds in Bank FD.
Opening of bank account in India is not a difficult task; the banks are usually offering this facility through post itself
For any banking related query write to us at sbi.15194@sbi.co.in
Thanks for sharing this useful information. The NRI Bank account is one of the features of Indian banking system that is useful for Indians living abroad. Non-residents can open Demat or NRE or NRO Account in Indian Banks. Non resident Indians have been extended the facility to open an NRE/FCNR account from the website of the bank of their choice.
Please feel free to contact us on sbi.16151@sbi.co.in regarding all banking and investment related queries.