Repatriable NRE (Non Resident External) Savings Bank Accounts

• Running accounts - Frequent credits and withdrawals allowed [ can also be opened as Current Account]
• Maintained in Indian Rupees
• Cheque book facilities
• Current income of NRIs such as rent, dividend, interest, pension etc net of applicable taxes can be credited to this account.
• Can be opened with drafts, travelers cheques/currencies issued from abroad. Drafts issued in approved foreign currencies can also be converted into Indian Rupees.
• Balance can be repatriated abroad.
• Nomination Facilities available. Nominee can be resident or non-resident
• Eligible for tax concessions. Interest earned exempt from Income Tax
• Can be opened jointly with another Non-Resident Indian
• Can be operated by a resident, duly authorised by the NRI Account Holder

Non-Repatriable NRO (Non Resident Ordinary) Account 

• When an existing resident goes abroad, his resident Savings Bank Accounts are to be termed as Non resident (Ordinary) Savings Bank Accounts.
• Balance in the account can be repatriated upto US Dollars 1 million per calendar year for any purpose. This includes sales proceeds of immovable property  credited to NRO accounts subject to payment of applicable Taxes.
• Interest earned is subject to deduction of Income Tax at source.
• The NRI's local funds generated in India can be credited to these accounts.
• Interest earned in NRO A/C repatriable
• Nomination Facilities available
• Joint account with a resident permitted
• Operation by resident [Power of Attorney holder permitted]