How to Open an NRO Savings Account: A Step-By-Step Guide

If you are a Non-Residential Indian having an income stream in India and want a hassle-free way to manage your earnings, opening an NRO Savings Account may help. As a matter of fact, your Savings Account in India will be converted to an NRO Savings Account once you’re recognised as an NRI – consider this a mandatory activity. 

In this comprehensive guide, we have walked you through the step-by-step process of opening an NRO Savings Account, covering everything from eligibility criteria to the documents required. However, before we take you through the account opening process, let us give you a checklist that you may consider before opening your NRO Account.

Checklist to Open an NRO Savings Account

1. Check Interest Rates

Consider banks that offer higher interest rates on NRO Savings Accounts. Generally, Small Finance Banks provide better interest rates compared to traditional banks.

2. Know the Tax Implications

The interest earned on NRO Savings Account is subject to Tax Deduction at Source (TDS) - deducted at 30% plus applicable surcharge and cess. However, if your country of residence has a DTAA (Double Taxation Avoidance Agreement) with India, you can enjoy tax credit at the time of tax filing. To avail this benefit, you have to provide Tax Residency Certificate (TRC), Form 10 F, , PAN Card, and DTAA Annexure. You may contact your bank for better clarity.

3. Repatriation Rules

As per FEMA (Foreign Exchange Management Act) NRIs can repatriate only up to USD 1 million per financial year after tax deductions.

4. Understand the Eligibility Criteria

You are eligible to open an NRO Savings Account if:

• You are a Non-Resident Indian. or Person of Indian Origin
• You have a valid visa or work permit for residing abroad
• You have taxable income in India

5. Documents Required

To open an NRO Savings Account, you may need to submit the following documents:

• Passport with a valid visa or work permit.
• Overseas address proof (such as utility bills or rental agreement)
• Indian address proof (such as Aadhaar card or utility bills)
• Passport-size photographs
• PAN Card.

6. Fees and Charges

Take note of the service charges associated with NRO Accounts, if any. This will help you get a better understanding of the additional expenses.

How to Open an NRO Savings Account Online

For your ease of understanding, we have considered the steps involved in opening an NRO Savings Account with Ujjivan SFB.

Step 1: Visit Ujjivan SFB Website

Step 2: Go to 'NRI' section

Step 3: From the 'Savings Account' dropdown menu select 'NRO Savings Account'

Step 4: Click on 'Apply Now'. You will be redirected to the Form page

Step 5: Fill out the form and click on 'Submit'. Once done, our representatives will contact you to help you with the account opening process. 

Why Choose an NRO Savings Account with Ujjivan SFB?

As an NRI or a foreign national earning income in India, opening an NRO savings account with Ujjivan SFB offers several benefits:

• Secure inward and outward remittance facility in foreign currency.
• Free remittance facilities through NEFT and RTGS.
• Competitive exchange rates for remittances.
• No minimum Monthly Average Balance requirement.
• Mandate facility available.
• Repatriation of funds as per the FEMA (Foreign Exchange Management Act) Guidelines.