How can you take advantage of the NRO account

NRO means Non-Resident Ordinary account which is savings or fixed deposit accounts for Non-Resident Indian in a bank which is situated in India. This is basically an Indian Rupee account where the interest which is earned is taxable. The account may or may not be jointly opened with an Indian resident. Another important thing about NRO accounts are that the interest earned in these accounts is non-repartriable, which means all the funds that are deposited can only exist in Indian currency and cannot be converted to foreign currency.

Thus a nonresidential Indian can send money to their family members who are Indian residents via these NRO accounts. The interest rates offered by the financial institutions are catered to the needs of the customers and there are minimum additional costs to maintain this account. Thus, NRO accounts enable the nonresidential Indians to transfer funds to their hometown in a hassle free manner.

KEY ADVANTAGES TO AVAIL FROM NRO ACCOUNTS
 Low cost and hassle free money transfer
NRO accounts can be availed through numerous online and offline modes at flexible exchange rates.

 Minimum balance required
NRO accounts can be maintained at minimum monthly account maintenance as low as 10,000 rupees.

 Interest
INR balances on or above 50 lakhs can give you up to 4% interest per annum and 3.50% for account balances below 50 Lakhs.

 Easy transfer
The money in NRO accounts and the interest earned after deducting tax can be repatriated till one million USD for all bonafide purposes.

 Can also serve as Fixed Deposit accounts
NRO accounts can also serve you as fixed deposit accounts with all the benefits that a fixed deposit account might have and also allowing deposition of funds from overseas.

 NRI advantages
There are various additional benefits that a NRI will receive. These benefits cater to the needs of the individual who travel home and abroad simultaneously.

 Joint account holding facilities
The NRO account can have joint holders. This means that more than one individual can operate this account just like any other savings or deposit account.

 Bank benefits
Various financial institutions offer different offers for these NRO accounts. You need to do some research to find which bank provides you with the best of facilities at minimum cost. There are also benefits like free mandate card and cheque book for your family members in your home country which gives them extensive access to your account.

 Flexibility
You can change your savings account or fixed deposit account to and NRO account which helps you to maintain uniformity and gives you better access to all the facilities with just one single bank account.