1. How can remittances be made into India?
Ans. Remittances into India can be made only through normal
banking channels.
However, Exchange Houses in the Gulf region are permitted to send remittances on behalf of
their non-resident clients by means of Demand Drafts (DDs), Mail Transfers (MTs) and
Telegraphic Transfers (TTs) on banks in India and drawn / specified in rupees.
2. Whether prior approval of Reserve Bank is required for opening
and maintaining of bank accounts in India by non-residents?
Ans. Non-residents can open and maintain bank accounts in
India with any authorised dealer or any other bank authorised in this regard. No approval
of Reserve Bank is required for opening of bank accounts in India by non-residents.
3. Who deals with the opening and maintaining of accounts by
non-residents?
Ans. Authorised dealers are permitted to open and maintain
accounts in the names of non-residents. Authorised banks are also permitted to open and
maintain certain specified accounts of non-residents. Post offices in India are permitted
only to open and maintain Ordinary Non-Resident Rupee Accounts.
4. What are the types of accounts, which can be opened and operated
by non-residents?
Ans. Types of accounts, which can be opened and operated in
India, can be classified under the following heads:
A. Classification based on currency of account:
i.Indian rupee accounts (NRO / NRSR / NRNR / NRE / QA.22 accounts)
ii.Foreign currency accounts (FCNR / EEFC / RFC accounts and other foreign currency
accounts)
B. Classification based on repatriability of funds:
i.Repatriable accounts (NRE / FCNR accounts)
ii.Non-repatriable accounts (NRO / NRSR / NRNR / QA.22 accounts)
5. What is the position of existing bank account in India on a
resident becoming non-resident?
Ans. On a person resident in India becoming a
non-resident, the existing banks accounts in India will be re-designated as
Ordinary Non-Resident Rupee (NRO) Accounts.
6. Which non-residents are treated as residents for opening and
maintaining of banks accounts in India?
Ans. The following persons, though non-residents, are treated
as residents in India for opening and maintaining of bank
accounts in India:
a. Indians, Nepalese or Bhutanese resident in Nepal or Bhutan.
b. Offices and branches situated in Nepal or Bhutan of any business carried on by a company
or a corporation
incorporated or established under any law in force in India, Nepal or Bhutan.
c. Offices and branches situated in Nepal or Bhutan of any business carried on as a
partnership firm or otherwise by
Indians, Nepalese or Bhutanese.
7. Which Indian nationals, who are abroad, are not allowed to open
banks accounts in India?
Ans. Indian nationals who proceed abroad for purposes such as
business, temporary assignments, medical treatment, higher
studies, training, participation in seminars, etc., are treated as residents and therefore
cannot open any non-resident accounts in
India.
8. Whether Pakistani / Bangladeshi individuals / entities are
allowed to open bank accounts in India?
Ans. Pakistani / Bangladeshi individuals / entities can open
banks accounts in India only with specific approval of Reserve
Bank.
9. How can remittances be made into India?
Ans. Remittances into India can be made only through normal
banking channels.
However, Exchange Houses in the Gulf region are permitted to send remittances on behalf of
their non-resident clients by means of Demand Drafts (DDs), Main Transfers (MTs) and
Telegraphic Transfers (TTs) on banks in India and drawn /
specified in rupees.
Ans. Remittances into India can be made only through normal
banking channels.
However, Exchange Houses in the Gulf region are permitted to send remittances on behalf of
their non-resident clients by means of Demand Drafts (DDs), Mail Transfers (MTs) and
Telegraphic Transfers (TTs) on banks in India and drawn / specified in rupees.
2. Whether prior approval of Reserve Bank is required for opening
and maintaining of bank accounts in India by non-residents?
Ans. Non-residents can open and maintain bank accounts in
India with any authorised dealer or any other bank authorised in this regard. No approval
of Reserve Bank is required for opening of bank accounts in India by non-residents.
3. Who deals with the opening and maintaining of accounts by
non-residents?
Ans. Authorised dealers are permitted to open and maintain
accounts in the names of non-residents. Authorised banks are also permitted to open and
maintain certain specified accounts of non-residents. Post offices in India are permitted
only to open and maintain Ordinary Non-Resident Rupee Accounts.
4. What are the types of accounts, which can be opened and operated
by non-residents?
Ans. Types of accounts, which can be opened and operated in
India, can be classified under the following heads:
A. Classification based on currency of account:
i.Indian rupee accounts (NRO / NRSR / NRNR / NRE / QA.22 accounts)
ii.Foreign currency accounts (FCNR / EEFC / RFC accounts and other foreign currency
accounts)
B. Classification based on repatriability of funds:
i.Repatriable accounts (NRE / FCNR accounts)
ii.Non-repatriable accounts (NRO / NRSR / NRNR / QA.22 accounts)
5. What is the position of existing bank account in India on a
resident becoming non-resident?
Ans. On a person resident in India becoming a
non-resident, the existing banks accounts in India will be re-designated as
Ordinary Non-Resident Rupee (NRO) Accounts.
6. Which non-residents are treated as residents for opening and
maintaining of banks accounts in India?
Ans.The following persons, though non-residents, are treated
as residents in India for opening and maintaining of bank
accounts in India:
a. Indians, Nepalese or Bhutanese resident in Nepal or Bhutan.
b. Offices and branches situated in Nepal or Bhutan of any business carried on by a company
or a corporation
incorporated or established under any law in force in India, Nepal or Bhutan.
c. Offices and branches situated in Nepal or Bhutan of any business carried on as a
partnership firm or otherwise by
Indians, Nepalese or Bhutanese.
7. Which Indian nationals, who are abroad, are not allowed to open
banks accounts in India?
Ans. Indian nationals who proceed abroad for purposes such as
business, temporary assignments, medical treatment, higher
studies, training, participation in seminars, etc., are treated as residents and therefore
cannot open any non-resident accounts in
India.
8. Whether Pakistani / Bangladeshi individuals / entities are
allowed to open bank accounts in India?
Ans. Pakistani / Bangladeshi individuals / entities can open
banks accounts in India only with specific approval of Reserve
Bank.
9. How can remittances be made into India?
Ans. Remittances into India can be made only through normal
banking channels.
However, Exchange Houses in the Gulf region are permitted to send remittances on behalf of
their non-resident clients by means of Demand Drafts (DDs), Main Transfers (MTs) and
Telegraphic Transfers (TTs) on banks in India and drawn /specified in rupees. |
