As a Non Resident Indian (NRI), you are still connected to your motherland in more ways than personal bonds. In the interests of yourself and your family, managing your financial concerns in India is a priority. So it is important to familiarize yourself with the options. The RBI (Reserve Bank of India) Regulations allow you to open the following types of NRI accounts in India NRE Accounts, NRO accounts, and FCNR (B) account.

NRE Account Non Resident (External) Account

This account accepts deposits only through foreign currency remittances from outside India. Such accounts cannot receive any rupee credits, thus they are not suitable if you have any income sources within India. However, NRE accounts are beneficial when you wish to repatriate funds, as the account holder can transfer the funds outside India without any restrictions. Furthermore, Indias Income Tax laws provide an exemption to the account holders in respect of interest income on NRE accounts. You can invest in such accounts to earn tax-exempt returns and then repatriate the funds back. NRE accounts can be held by the NRI as the sole account holder or jointly with another NRI or Resident Indian.