How to open an IDFC First Bank FCNR account

IDFC First Bank offers FCNR accounts for Non-Resident Indians (NRIs) to earn interest on foreign currency earnings. Read on to learn more about FCNR accounts at IDFC First Bank, the interest rates, and how to apply.

Table of Contents
What is FCNR at IDFC First Bank? How to open an FCNR account in IDFC First Bank? IDFC First Bank FCNR rates How to transfer funds to an IDFC First Bank FCNR account? Features and benefits of IDFC First Bank FCNR account

What is FCNR at IDFC First Bank?

Foreign Currency Non-Resident Account (FCNR) is a term deposit account that is held in a foreign currency in India. It is held for one to five years, depending on the currency, and then can be renewed or transferred at maturity. FCNR accounts can be found at most Indian banks and is an attractive option for NRIs to grow their money.

IDFC First Bank offers FCNR accounts within its NRI services. NRIs can hold the account in one of five currencies, but not all term lengths are available for each. One of the main benefits of an FCNR account is that account holders can earn more in interest when compared to their accounts in their resident country.¹

How to open an FCNR account in IDFC First Bank?

Any existing NRI customers at IDFC First Bank can open an FCNR account. Customers can open the account with a few taps on the IDFC First Bank mobile app or by putting in a request through net banking.

NRIs without a banking relationship with IDFC First Bank will need to first establish an NRI savings account with the bank. IDFC First Bank has an online form for new applicants that can be filled out and submitted. A bank representative will reach out to complete the process.

Here are the steps for opening an IDFC First Bank FCNR account.²

Opening an IDFC First Bank FCNR account online

1. Visit the official website of IDFC First Bank. Alternatively, access the IDFC First Bank mobile app to open the FCNR account.
2. Request to open an FCNR account
3. Complete the details and method of funding
4. Submit.

Note that to open an FCNR account online from abroad, it may be helpful to reach out to an IDFC First Bank representative. You can reach IDFC First Bank through the mobile app, Whatsapp or by phone.

NRIs can also reach out by email at: nriservices@idfcfirstbank.com.

Alternatively, there is an application form that can be submitted to your Relationship Manager at IDFC First Bank. The form will ask for your IDFC customer ID number so its only applicable to those with an existing NRI relationship.

Opening an IDFC First Bank FCNR account in person

1. Visit the nearest branch of IDFC First Bank.
2. Contact the Relationship Manager at the branch, who will help you through the FCNR account opening process.
3. Fill out the application form and provide the necessary KYC documents.
4. Fund the account by remittance from abroad or transfer from a local NRE account in India.

Check out the section later in this article on funding your IDFC First Bank FCNR account.

IDFC First Bank FCNR rates

IDFC First Bank offers FCNR accounts in five major foreign currencies. The interest rates depend on the currency in which you open the account and how long you plan on holding the account.

IDFC First Bank FCNR accounts in US Dollars can be opened for a tenure ranging from one to five years. The maximum tenure for other currencies is three years or less. The bank does not allow FCNR accounts for more than one million in currencies other than the US Dollar.

Here are the interest rates for IDFC First Bank FCNR accounts:³

Term deposit of 1 year to less than 2 years

USD	GBP	EUR	AUD	SGD
5.65%	4.45%	3.05%	4.00%	4.05%

Term deposit of 2 years to less than 3 years

USD	GBP	EUR	AUD	SGD
5.30%	4.00%	2.65%	4.45%	3.25%

Term deposit of 3 years to less than 4 years

USD: 4.75%

Term deposit of 4 years to less than 5 years

USD: 4.95%

Term deposit of 5 years

USD: 4.50%

Rates checked on April 12, 2023.

Note:

1. Rates are subject to change.
2. The interest rates for US Dollar FCNR accounts of more than 1 million differ.

How to transfer funds to an IDFC First Bank FCNR account?

IDFC First Bank FCNR account holders can fund the FCNR account in the following ways.⁴

• Online Money Transfer - NRIs can remit foreign currency from overseas using money transfer services. They are often faster than traditional wire transfers and more convenient. But keep an eye on transfer fees and a possible exchange rate markup.
• Wire Transfer - NRIs can transfer foreign currency from their overseas bank accounts to fund the FCNR account in foreign currency using the SWIFT network (inter-bank fund transfer). Wire transfers can take 3-5 business days and usually come with a transfer fee and an exchange rate set by the bank.
• Fund Transfer in India - Transferring funds from other FCNR accounts or Non-Resident External (NRE) accounts in any bank in India is also allowed. In the case of transfer from an NRE account, the amount in Indian rupees is converted to the designated foreign currency at prevailing exchange rates. This can only be done through an existing NRE account, and not a Non-Resident Ordinary account.

If you want to save money on hidden exchange rate fees or markups, check out Wise. Wise has only one low transfer fee and the mid-market exchange rate - that's the same rate you see on Google - on every transfer. So whether you’re sending money to fund a FCNR account or to set up an NRE account, Wise gets it there at a low cost and quickly. On popular transfer routes, your money can be in India within seconds.

And if you are an NRI or OCI, take a look at the Wise multi-currency account. It is a single account on the Wise app that lets you hold, send and spend in multiple currencies. So whether you are in the US for work, or traveling to Europe or visiting family in India, you can do it all from one account. Plus, with the Wise multi-currency linked debit card, you can swipe like a local next time you're in India.

Open a Wise account for free and see how easy it can be to manage your money wherever you are in the world.

• Please see Terms of Use for your region or visit Wise Fees & Pricing for the most up-to-date pricing and fee information.
• The speed of transaction claim depends on funds availability, approval by Wise’s proprietary verification system and systems availability of our partners’ banking system, and may not be available for all transactions

Features and benefits of IDFC First Bank FCNR account

The largest benefit of the IDFC First Bank FCNR account is that it protects account holders from exchange rate fluctuations and market volatility. So NRIs can maintain their foreign currency earnings without having to exchange the money into Indian Rupees. Here are the other notable features of IDFC First Bank FCNR account5.

• IDFC First Bank have attractive interest rates, especially for US dollar accounts.
• Interest is compounded at 180 day intervals.
• You can withdraw from a FCNR account at any time without an additional penalty.
• Interest earned on the account is non-taxable in India.
• The principal and interest are fully repatriable, which means it can be sent back to your residence country.

Who can open an FCNR account at IDFC First Bank?

Only NRIs or OCIs can open FCNR accounts in IDFC First Bank. Accounts can be held jointly with other NRIs or OCIs.

An NRI is any Indian citizen living abroad for 182 days or more in a calendar year.⁶ An OCI is someone who can verify Indian origin parents or grandparents but hold a foreign passport.⁷ Casual tourists and those traveling on business trips do not qualify as NRI.

Documents required to open an FCNR account in IDFC First Bank

Existing NRI account holders with IDFC First Bank don’t need to submit any new documents when opening an FCNR account. But, they may be asked to show evidence of their ongoing non-resident status.

New customers of IDFC First Bank must contact the bank to complete the process of becoming an NRI account holder. The following documents are necessary for opening an NRI account:⁸

• Self-attested copy of a valid Indian passport.
• Proof of NRI status such as a work visa or resident permit.
• Copy of an OCI card, if applicable.
• Copy of address proof, like bank statement or driving license.
• Copy of PAN card or Form 60 (if a PAN card is not available).
• Recent color photo.
• A photo of your signature (only for online applications)

If you are applying online, you may be required to have certified copies of the documents. Check with your IDFC First Bank representative for details.

Currencies available in IDFC First Bank FCNR account

IDFC First Bank FCNR accounts are available in the following five foreign currencies.

• US dollars
• Euros
• Singapore dollars
• British pounds
• Australian dollars

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Sources used for this article:

1. FCNR account at IDFC First Bank
2. Opening an FCNR account with IDFC First Bank
3. IDFC First Bank FCNR Interest Rates
4. Funding an IDFC First Bank FCNR account
5. Features and benefits of IDFC First Bank FCNR account
6. Definition of NRI
7. Definition of OCI
8. Open NRE Savings Account Online | IDFC FIRST Bank

Cover photo by Cytonn Photography.