180. NRO joint account to help parents in India - NRI Banking . . .
Q: I have a working NRE (Rupee Account) account which was opened when I was still holding my Indian Passport. Now, I an an US Citizen and was wondering if I need to change the status of this account to something else. My family (mom and dad) still lives in India and the 'Rupee Account' works best for sending money back home that they can use. Please advice. Thanks. SM A. You need not do anything about your NRE account. Whether you are a non resident holding an Indian passport or a foreign citizen, NRE accounts are the same. I suggest you keep your NRE account and also open a separate NRO account jointly with your parents. This way they can withdraw form the NRO account easily. On NRE accounts no TDS is deducted for interest income. On the other hand from NRO accounts TDS is deducted. So keep most of your funds in your NRE account and transfer as required to NRO account which your parents can access. Transfers can be done by online banking instantly from USA easily.
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© Copyright 2006 Nriinformation.com
NRI - OCI - PIO Guide & Information
180. NRO joint account to help
parents in India - NRI Banking .
. .
Q: I have a working NRE (Rupee Account) account which was opened when I was still holding my Indian Passport. Now, I an an US Citizen and was wondering if I need to change the status of this account to something else. My family (mom and dad) still lives in India and the 'Rupee Account' works best for sending money back home that they can use. Please advice. Thanks. SM A. You need not do anything about your NRE account. Whether you are a non resident holding an Indian passport or a foreign citizen, NRE accounts are the same. I suggest you keep your NRE account and also open a separate NRO account jointly with your parents. This way they can withdraw form the NRO account easily. On NRE accounts no TDS is deducted for interest income. On the other hand from NRO accounts TDS is deducted. So keep most of your funds in your NRE account and transfer as required to NRO account which your parents can access. Transfers can be done by online banking instantly from USA easily.
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