Master Circular on Non-Resident Ordinary Rupee (NRO) Account

RBI Master Circular Link

Master Circular on Non-Resident Ordinary Rupee (NRO) Account

This circular outlines the guidelines for Non-Resident Ordinary Rupee (NRO) accounts, which can be held by Non-Resident Indians (NRIs) and Persons of Indian Origin (PIOs).

Eligibility: NRIs and PIOs are eligible to open NRO accounts.

Types of Accounts: NRO accounts can be opened in the form of savings, current, or fixed deposits.

Joint Accounts: Joint accounts can be held with residents or non-residents, but the account holder must be an NRI or PIO.

Permissible Credits: Credits can be made from legitimate sources, such as remittances from abroad, interest on NRO accounts, and proceeds from the sale of assets.

Permissible Debits: Debits can be made for local disbursements, remittances abroad, and investments in India.

Remittance of Assets: NRIs and PIOs can remit assets acquired in India, subject to certain restrictions.

Loans and Overdrafts: Authorised banks can grant loans and overdrafts to account holders and third parties, subject to certain conditions.

Change of Residential Status: The account holder’s residential status change from resident to non-resident or vice versa affects the account’s operation.

Payment to Non-Resident Nominee: Payment of funds to a non-resident nominee is permitted, subject to certain conditions.

Facilities for Students: Special facilities are available for individuals going abroad for studies.

International Credit: International credit cards can be issued to NRO account holders, subject to certain conditions.

Chat with the Master Circular:

Download: Master Circular on Non-Resident Ordinary Rupee (NRO) Account

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