NRO Rupee Deposit

Automatic Renewal of Principal and interest or credit to NRO Savings account as per customer instruction

Interest earned in the current financial year is fully repatriable (after deducting tax).

Funds in NRO account can be repatriated upto USD one million per financial year# for all bonafide purposes

Tenure can range from 7 days to 10 years

Partial withdrawal of deposits is allowed

Upto 85% of the deposit

Nomination facility available

• For Rupee Term Deposits of a contracted amount less than Rs. 5 crores opened/renewed on or after May 1, 2014 (including Flexi deposits), interest rate shall be 1.00% below the card rate, prevailing as on the date of deposit, as applicable for the period the deposit has remained with the bank or 1.00% below the contracted rate, whichever is lower ("Premature Closure Penalty Rate"). However, for Rupee Term Deposits closed within 14 days from the date of booking of the deposit interest rate shall be rate applicable for the period the deposit has remained with the bank or the contracted rate, whichever is lower.
• For Rupee Term Deposits of a contracted amount less than Rs. 5 crores opened/renewed on or after December 15, 2017 (including Flexi deposits), for the first partial withdrawal with value <= 25% of Term Deposit original principal value, Premature Closure Penalty Rate will not be applicable. For subsequent partial withdrawals, Premature Closure Penalty Rate will apply on the entire withdrawal amount. For the partial withdrawal with value > 25% of Term Deposit original principal value, Premature Closure Penalty Rate will be applicable for the entire withdrawal amount. However, for Rupee Term Deposits closed within 14 days from the date of booking of the deposit, interest rate shall be rate applicable for the period the deposit has remained with the bank or the contracted rate, whichever is lower.
• For Rupee Term Deposits of a contracted amount of Rs 5 Crores and above, interest rate shall be 1% below the card rate prevailing as on the date of deposit, as applicable for the period the deposit has remained with the bank or 1% below the contracted rate, whichever is lower. This would also be applicable on Rupee Term Deposits closed within 14 days from the date of booking of the deposit.
• In case the term deposit is closed prematurely , before completion of the minimum period of 7 days, no interest shall be paid for the said term deposit.

To Account Holder

• Loans may be granted in rupees against the security of FDs subject to usual norms except for the purpose of relending or carrying on agricultural or plantation activity or for investment in real estate

To Third Parties

Loans to resident individuals, firms or companies in India may be granted against the security of NRO deposits subject to following conditions:

• The loan shall be utilised for meeting borrowers personal requirements and/or business purpose and not for carrying on agricultural or plantation activities or real estate business or for relending
• Regulations relating to margin and rate of interest as stipulated by RBI shall be complied with

For all new Reinvestment Term Deposits to be opened on and after 1st August, 2013 and all existing Reinvestment Term Deposits that may be renewed on and after 1st August, 2013, interest reinvested would be net of TDS and hence the maturity value would vary to that extent.