How to open an IndusInd Bank FCNR account

IndusInd Bank offers FCNR accounts as part of its NRI products and services. Learn more about how FCNR accounts work and the benefits of opening one with IndusInd Bank. And check out the options for sending money to an FCNR or NRI account in India.

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

What is FCNR at IndusInd Bank?

Foreign Currency Non-Resident account, or FCNR, is a term deposit account specifically for Non-Resident Indians. The account is held in a foreign currency for terms lengths of 1 to 5 years. The account allows for the foreign currency deposit to earn interest in India. An FCNR account can be renewed or sent back overseas at maturity.

IndusInd offers FCNR accounts in six different foreign currencies, which is more than some Indian banks. But like many other Indian banks, the interest rates on an IndusInd FCNR account are attractive compared to similar deposits overseas. IndusInd Bank also makes it easy to manage your accounts online.

How to open an FCNR account in IndusInd Bank?

Existing NRI account holders at IndusInd Bank can easily open an FCNR account online. If you don’t have an existing relationship with the bank, you can still open a new FCNR account but you will be required to open an NRI account first.

NRIs living abroad with an IndusInd NRI bank account can log into the IndusInd mobile app or online banking portal. Once you are signed in, you can request to open a new FCNR deposit account. Opening an account online is the easiest and fastest way to open an FCNR account with IndusInd.

If you are new to IndusInd Bank, you can submit a new application form with your contact details so a bank representative can contact you. They will walk you through the process of opening a new account. You will need to open an NRI account before opening your FCNR account. The NRI account opening form is available online, but you will need to speak to a representative to ensure you are following the correct process.

Another way to open an FCNR account with IndusInd Bank is to stop by a bank branch the next time you are in India. IndusInd Bank branches can help you open both an NRI and an FNR account. Just make sure to have your documents and ID with you. Check out the documents list later in this article to know what to bring.¹

IndusInd FCNR rates

With FCNR accounts, the interest rate you get on a deposit is dependent on two factors: the currency and the term length. IndusInd Bank offers attractive interest rates for foreign currency deposits, especially if it is held for less than three years. However, Japanese yen deposits are only available for 2 or 5-year term deposits.

Here are the interest rates for IndusInd Bank FCNR accounts:

Term deposit of 1 year - less than 2 years

USD	GBP	EUR	JPY	CAD	AUD
5.65%	4.40%	3.00%	-	4.40%	3.80%

Term deposit of 2 years - less than 3 years

USD	GBP	EUR	JPY	CAD	AUD
5.30%	4.70%	3.30%	2.40%	4.40%	4.45%

Term deposit of 3 years - less than 4 years

USD	GBP	EUR	JPY	CAD	AUD
4.95%	4.00%	2.35%	-	4.10%	4.50%

Term deposit of 4 years one day - less than 5 years

USD	GBP	EUR	JPY	CAD	AUD
4.50%	4.00%	2.00%	-	3.80%	4.45%

Term deposit of 5 years

USD	GBP	EUR	JPY	CAD	AUD
4.40%	4.00%	2.00%	2.30%	3.65%	4.45%

Rates are updated as of April 10, 2023.²

To note:

• Rates are subject to change.
• Deposits of more than $1 million US dollars get a higher rate.
• No interest will be paid for deposits that are withdrawn prematurely.

How to transfer funds to an IndusInd FCNR account?

One of the main requirements to fund an FCNR account is that the money should come from outside of India. There is one exception, however. Here are different ways to send money to IndusInd to open an FCNR account:

• IndusInd FastRemit: IndusInd’s own remittance service lets NRIs send money to India. It is limited to residents of the US, Singapore, and Canada. Fast Remit is a convenient solution, but keep an eye on exchange rate mark-ups and transfer fees.
• Online money transfers: Online money transfer services let you send money to India quickly and at rates that are often cheaper than the banks. You can use an app or a website to send money at your convenience. But compare providers to save money on fees and the exchange rate.
• Wire Transfer: Your bank in your resident country can likely complete wire transfers to India. Most banks are part of the SWIFT network that allows one bank to transfer funds to another globally. A wire transfer is a traditional way of sending money, but it can be more expensive or take longer than other options.
• From an NRE account: FCNR accounts can be funded with a transfer from an existing NRE account. The transfer can be simple if you hold an NRE account at IndusInd. But even if you have it at another Indian bank, you can move the funds into a new FCNR IndusInd account.
• In person at the IndusInd Bank branch: You can deposit foreign currency notes or traveler cheques for an FCNR account by visiting an IndusInd Bank branch when you’re in India. Indian rupee notes or transfers from regular savings accounts are not accepted.

When applying for an IndusInd FCNR account, double-check the minimum deposit required to open an account with the bank.

Want an easy and fast way to fund an NRI or FCNR account in India? Check out Wise. Wise uses smart tech to make low-cost transfers to India. With an award-winning app and an easy-to-use website, you can send money at the mid-market exchange rate and with just one upfront transfer fee. And your money can be in an account in seconds on popular transfer routes to India.

And if you are looking to do more with your money, take a look at the Wise multi-currency account. It is one account where you can hold, send and spend in multiple currencies from around the world. NRIs and OCIs can now hold Euros, US dollars, and Indian rupees at the mid-market exchange rate in one account in the Wise app. And with the linked Wise multi currency debit card, you can spend like a local at shops, restaurants, and on activities when travelling. See how much simpler travel can be with the Wise multi currency account.

• 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 the IndusInd FCNR account

The most significant advantage of an FCNR account is that account holders can earn attractive interest rates while protecting their earnings from Indian rupee exchange rate fluctuations. So instead of converting foreign earnings immediately to Indian rupees, account holders can earn interest and convert the funds at a later date if desired.

Here are some additional benefits and features of an FCNR account with IndusInd Bank:³

• Principal and interest can be transferred back to the resident country.
• Interest is compounded every 180 days.
• Earnings are exempt from tax in India.
• IndusInd account holders can open an account online.
• IndusInd FCNR accounts can be held jointly with a Resident Indian.
• IndusInd provides convenient remittance services to and from India.

Who can open an FCNR account at IndusInd Bank?

FCNR accounts are available to Non-Resident Indians, including Overseas Citizens of India (OCI). A non-resident is defined as a citizen of India who lives outside of the country for 182 days or more in a year.⁴

You must first open an NRI account with IndusInd Bank to open an FCNR account. A Non-Resident External (NRE) account can be preferred since moving funds from an existing NRE account to a new FCNR account is easy. A Non-Resident Ordinary account can not be used to fund an FCNR account at IndusInd.

Documents required to open an FCNR account in IndusInd

If you currently have an NRI account with IndusInd and an online login, you will not be required to submit additional paperwork to the bank to open an FCNR account.

However, if you are opening an NRI account for the first time, here are the documents you will need to submit:

1. Application form
2. Recent photograph
3. A copy of a PAN card or a Form 60
4. A copy of a valid passport
5. A copy of a proof of NRI status (work or resident permit, employment visa, or OCI card)
6. Address proof of residence abroad (a recent bank statement or utility bill from the last two months)

A bank representative may ask you to submit additional documents to support your application.⁵

Currencies available in IndusInd FCNR account

IndusInd offers FCNR accounts in the following six currencies:

• US dollars
• British pounds
• Euros
• Japanese yen
• Australian dollars
• Canadian dollars

Keep in mind that Japanese yen FCNR accounts have limited term lengths.

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Sources used for this article:

1. IndusInd FCNR account
2. Interest rates
3. IndusInd FCNR account
4. NRI Status
5. Account opening documents

Cover photo by Cytonn Photography.