Account types
NRI Savings Account — NRE & NRO
NRE vs NRO savings accounts — tax, repatriation, joint holding, and what to do with your resident account when you move abroad.
Updated 27 September 2026 · 26 banks trackedBest effective rate on ₹10 lakh
5.65%
IDFC FIRST BankWhat you need to know
When you become a non-resident, your resident savings account must be re-designated as an NRO account. For money earned abroad, open an NRE account. NRE interest is tax-free in India; NRO interest is taxable with TDS.
NRE vs NRO savings
| Feature | NRE | NRO |
|---|---|---|
| Purpose | Park foreign earnings in rupees | Manage Indian income (rent, pension, dividends) |
| Interest tax | Tax-free in India while NRI | Taxable; TDS 30% + surcharge + cess (DTAA relief possible) |
| Repatriation | Fully repatriable | Up to USD 1 million per financial year |
| Deposits allowed | Foreign remittances; transfers from NRE/FCNR | Foreign and Indian sources |
| Joint holding | With another NRI (or resident on former-or-survivor basis) | With resident or NRI |
Frequently asked questions
Can I keep my resident savings account after moving abroad?
No. FEMA requires it to be re-designated as NRO once you become an NRI.
For information and comparison only. Confirm rates, charges and rules with your bank.