Living abroad no longer means staying away from your loved ones back home. With NRI Banking Services on a rise, keeping in touch with your family in India is easy, convenient and quick. Many Indians living in foreign countries like US, UK, Canada, etc. benefit from these NRI Services. This banking services are useful to make investments & remittance. Also, many NRI’s opt for these services to avail of loans, bill payment facilities, etc.
The eligibility criterion for NRI banking services is simple and clear. Any Person of Indian Origin (PIO) is eligible to use NRI banking services. An individual is classified as a PIO when:
1) He / she holds or has held an Indian passport
2) He / she has parents or grandparents who were citizens of India by virtue of the Constitution of India or Citizenship Act, 1955 (57 of 1955)
3) He / she is married to a person of Indian origin
The only exception here is for individuals who reside in Bangladesh and Pakistan as they are required to attain special permission from the Reserve Bank of India (RBI) to use the NRI banking services.
The main highlight of NRI banking services is the remittance facility to India. Being able to send money back home to your family quickly and safely is a big advantage while living abroad. What’s more is that irrespective of where you send the money from, the recipient receives the money in Indian currency. This saves them the trouble of converting money in times of emergencies.
With the NRI remittance service, one can also make bill payments to India from anywhere around the world. However, remitting money to India is not totally devoid of problems. One could face problems concerning the high commissions taken by the agents, cash only policies or the poor service provided by them. Also, in India we face the issue of limited service area.
Another important feature of NRI banking services is loan. Now, even non-resident Indians can apply for loans to buy property in India. Most banks have certain eligibility criteria for loans like monthly income, assets, Indian passport and other important documents.
NRIs also have the facility to make investments in India with this banking services. The Indian stock market and Mutual Funds are some of the various investment options in India. However, as we all know, investments in the stock market are subject to risks and fluctuations. So, it is advisable to choose your NRI Bank wisely.
Furthermore, 3 types of accounts for banking services for NRI. The Foreign Currency Non-Resident Accounts (FCNR) is a Fixed Deposit account and they are maintained only in currencies like US Dollars, GBP, DM, Euro and Yen. The Non-Resident External Accounts (NRE) can be in the form of Savings, Current or Fixed Deposits in Indian Rupees. Finally, the Non-Resident Ordinary Accounts (NRO) can be in the form of Savings, Current or Fixed Deposits in Indian Rupees. However, in this account the funds are non – repatriable.
So, whether you have to send money to your family, buy a home in India or make smart investments, this banking services hold the best solutions for all your needs. NRI banking is indeed an invaluable link that connects Indians living abroad to their home back in India.