SBI NRI Services - FCNRB Account

Overview of FCNR (B) Accounts:

  • Deposit is denominated in foreign currency and can be opened in USD, GBP, EURO, CAD, JPY, or AUD
  • Deposit can be opened either individually or jointly with other NRIs / PIOs / OCIs
  • Both principal and interest are payable in foreign currency. Hence, there is no exchange loss on principal and interest
  • Account types permissible:
    • Term Deposit
    • Special Term Deposit
  • Funds deposited in the account can be by way of fresh remittance from overseas or transfer from other NRE / FCNR (B) account or NRO account (subject to limit)
  • Interest earned on FCNR (B) deposits is exempted from Indian Income tax
  • Foreign currency loans and Rupee loan available against FCNR (B) deposits
  • Account can be opened with close resident relatives on "former or survivor" basis
ELIGIBILITY FOR FCNR (B) ACCOUNT OPENING

Please click here to know about the eligibility requirements for opening an FCNR (B) Account

PERMISSIBLE CREDITS

Permissible Credits

  • Transfer from another NRE / FCNR (B) account
  • Transfer from another NRO account (subject to limit)
  • Fresh remittance from overseas through banking channel
  • Personal cheques drawn on foreign account
  • Proceeds of Foreign Currency Notes / Travelers cheques tendered by NRI / PIO / OCI, while visiting India. Amounts in excess of USD 5000 (or equivalent) in currency or USD 10,000/- (or equivalent) in Travelers cheques should be accompanied by a Currency Declaration Form
TYPES OF FCNR (B) ACCOUNTS

Types of FCNR (B) Account :


Term Deposits (TDR) -

  • Interest is paid at a frequency of 180 days from date of Term Deposit
  • Foreign Currency deposits of fixed tenure
  • Minimum Deposit of USD 1000, GBP 1000, EURO 1000, CAD 1000, JPY 1000 or AUD 1000
  • Principal & interest amount are fully repatriable
  • Nomination facility available
  • You can avail a loan/overdraft against your deposit
  • Premature withdrawal permissible
  • Automatic renewal on maturity for the same period but at the then prevailing rate of interest.

Special Term Deposits (STDR) -

  • Enjoy higher returns, with interest both on your deposit and on the interest accrued i.e. interest gets compounded after every 180 days
  • Foreign Currency deposits of fixed tenure
  • Minimum Deposit of USD 1000, GBP 1000, EURO 1000, CAD 1000, JPY 1000 or AUD 1000
  • Principal & interest amount are fully repatriable
  • Nomination facility available
  • You can avail a loan/overdraft against your deposit
  • Premature withdrawal permissible
  • Automatic renewal on maturity for the same period but at the then prevailing rate of interest. 1
TENOR OF DEPOSITS (TDR/STDR)

Tenor of Deposits (TDR / STDR) :

  • Minimum period of 1 year
  • Maximum period of 5 years
INTEREST RATES

Interest Rates

Please click here for FCNR (B) Deposits (TDR / STDR)

PREMATURE WITHDRAWALS

Premature Withdrawals:

  • No interest is payable, if the deposit is withdrawn before one year
  • If the deposit is withdrawn after completion of one year, interest will be paid at the rate available on the date of deposit for the period deposit has remained with the Bank.
    e.g. if deposit is made for 3 years and is prematurely withdrawn after 2 years, the rate applicable for the 2 to 3 years tenure at the time of making deposit shall be applied without levying any penalty.
TAX IMPLICATIONS

Tax Implications:

Interest income is exempted from Indian income tax. However, on relocation back to India, tax is payable subject to person’s tax status.

LOANS AGAINST FCNR (B) ACCOUNT

Loans against FCNR (B) Account:

You can avail a loan in Indian rupees or in Foreign Currency against the security of FCNR (B) TDR / STDR deposits.

  • You need not close the deposit prematurely, and can avail the loan at the branch where you maintain the deposit, as an overdraft or as a demand loan
  • Maximum loan of 90% of the face value of deposit, and including the interest accrued on the deposit at an interest rate linked to the prevailing base rate, for loan in India rupee

For more information, please click here.

FUNDS TRANSFER FROM FCNR (B) TO OVERSEAS ACCOUNT

Funds transfer from FCNR (B) to overseas account:

The funds held in FCNR (B) account are fully repatriable i.e. funds can be transferred to any overseas account. You can place a request for transfer of funds as per any of the following mode:

  • Through Internet Banking (INB): For placing outward remittance or funds transfer request (forex) favouring yourself or third party from your NRE Savings Bank account or NRE fixed deposit account or FCNR (B) account holders to any account overseas. For this, you have to first add a ‘beneficiary’ and then place a request for remittance in his/her favour. The ‘beneficiary’ is to be added only once and the details thereof will be stored in our system, thereby enabling you to send multiple remittances to him/her at any time subsequently.
  • Procedure to add beneficiary for remittance:
  1. Please login to your INB account
  2. Click on ‘Profile’ tab
  3. Enter your profile Password
  4. Click on ‘Manage Beneficiary’
  5. Click on ‘Outward Remittance Beneficiary for NRE / FCNR (B) Account’
  6. Enter details of beneficiary and submit it after entering OTP sent on your registered mobile number
  • Procedure for placing the remittance request:
  1. Please login to your INB account
  2. Click on ‘e-Services’ tab
  3. Click on ‘NRI Services’ appearing in the column on left hand side
  4. Click on ‘Outward Remittance from NRE / FCNR (B) Account’
  5. Please select / enter request details and proceed accordingly
  • Through Branch: Please download a standard request letter by clicking on ‘For outward remittance from NRE / FCNR (B) account’ from ‘Download Forms’ and post / courier it your home branch. Please note that such request coming through email cannot be acted upon, due to security reasons.
PROCEDURE TO OPEN A FCNR (B) ACCOUNT

Procedure to open a FCNR (B) Account:

You can place a request for creating FCNR (B) deposit as per any of the following mode:

  • By sending fresh remittance from overseas: If you are sending fresh remittance from your overseas account for purpose of creating FCNR (B) deposit, then please mention the following message in the remittance message section along with the required details of creation of deposit:

Please create FCNR (B) deposit as per following details:

  1. Please mention the currency in which deposit has to be created (USD / GBP / EURO / CAD / AUD / JPY)
  2. Please mention the amount of deposit to be created
  3. Please mention the tenor of deposit to be created
  • Through Internet Banking (INB): By the way of debiting NRE or NRO account, as per following procedure:
    • Please login to your INB account
    • Click on ‘e-Services’ tab
    • Click on ‘NRI Services’ on left hand side column
    • Click on ‘Inward Remittance Disposal Request’
    • Please select / enter request details and click on Submit
  • Through Branch: You can post / courier or submit in a person a request letter for creation of deposit by debiting NRE or NRO account. Please click here to download the standard request letter.
JOINT ACCOUNT OF NON-RESIDENTS WITH RESIDENTS

Joint account of Non- Residents with Residents:

NRIs are permitted to open FCNR (B) account with their resident close relative (as mentioned below or they are members of a Hindu undivided family) as a joint holder on “Former or Survivor” basis (NRI being the former):

  1. Father
  2. Mother (including step-mother)
  3. Husband or Wife
  4. Son (including step-son)
  5. Son’s wife
  6. Daughter (including step-daughter)
  7. Father’s father
  8. Father’s mother
  9. Mother’s mother
  1. Mother’s father
  2. Son’s son
  3. Son’s son’s wife
  4. Son’s daughter
  5. Son’s daughter’s husband
  6. Daughter’s husband
  7. Daughter’s son
  8. Daughter’s son’s wife
  9. Daughter’s daughter
  1. Daughter’s daughter’s husband
  2. Brother’s wife
  3. Sister (including step-brother)
  4. Sister (including step sister)
  5. Sister’s husband