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Foreign Currency Deposits
Foreign Currency Deposits
FCNR Deposits
HSBC India's FCNR Deposit is a deposit maintained in foreign currency in India.
Know more
- Features & Benefits
- Eligibility
- Compare NR Accounts
- How to open your Fixed Deposit Online
- Interest Rates
- Service Charges and Fees
- FAQs
Features & Benefits
- Deposit maintained in foreign currency - You can place an FCNR Deposit with your foreign currency earnings. Your deposit is protected from exchange rate fluctuations since it is maintained in any of the following currencies: Pound Sterling, Japanese Yen, Euros, US Dollars, Canadian Dollars and Australian Dollars.
- Attractive interest rates - Attractive interest rates make FCNR Deposits a preferred choice to park your foreign currency earnings. Interest can be cumulated and received at the time of maturity or can be received half yearly. Click here to check current Interest Rates.
- Freely Repatriable - Since the deposit is held in foreign currency, you can always transfer the funds out of India (both principal and interest earned are Freely repatriable).
- Tax free - Both principal and interest are tax free* in India.
- Joint Account - You can hold the account/deposit jointly with Resident Indians^^ as well as other NRIs.
- SmartMoney International facility - Avail of Overdraft# (subject to a maximum of INR 100 lacs) against your FCNR (B) Deposits.
- Nomination facility is available on your FCNR Deposit.
- Liquidity - You can withdraw your deposit before the maturity period^.
- Range of tenors - Enjoy a wide range of tenors: 1 year - 3 years (USD & GBP), 1 year - 2 years (EURO, JPY, CAD, AUD).
Eligibility
| Minimum deposit required is | |
| Currency | Amounts |
| USD | 1,000 |
| GBP | 500 |
| JPY | 125,000 |
| EUR | 750 |
| CAD | 1,500 |
| AUD | 1,500 |
^^ NRE / FCNR Accounts opened / held jointly with resident close relative (relative as defined in Section 6 of the Companies Act 1956), can be operated only on 'Former or Survivor' basis.
*Indian tax information given herein is for general information only and is not meant to constitute, and therefore should not be construed, as advice on tax matters. Prior professional tax advice analysing individual facts and circumstances should be sought before taking any decision. As the tax laws keep changing by virtue of amendments in law, issue of administrative circulars and notifications and court rulings, there can be no assurance about the validity of the tax information contained in this document subsequent to its release. If you are tax resident in any other country, you should consult your tax advisor regarding the tax treatment of these deposits in your country of residence.
^ Interest on FCNR deposits will be paid on completion of each year. In case of a premature withdrawal within a year, no interest will be payable.
The Bank, on request from a depositor, may at its discretion allow withdrawal of a term deposit before completion of the period of the deposit agreed upon at the time of placement of the deposit. For term deposits that are prematurely encashed, penal interest @1% will be levied. The interest paid will be 1% lower than the rate prevailing on the date of placement of the deposit for the period for which the deposit remained with the bank or the contractual rate, whichever is lower. No interest will be paid on premature withdrawals of deposit which has remained with the Bank for less than the minimum period for which deposits were being accepted for the said currency and deposit type, as on the date of placement of deposit.
# 90% of the Rupee equivalent of the amount in all your FCNR fixed deposit accounts (subject to a maximum of INR 100 lacs) and the renewal (s) thereof, with the Bank, calculated at a rate of exchange as may be determined by the Bank, or such lesser sum and for so long as the bank in its sole discretion may deem fit at the Banks Prime Lending Rate as may be declared by the Bank from time to time plus applicable tax, if any. Overdraft available at the sole discretion of The Hongkong and Shanghai Banking Corporation Limited, India. HSBC India is not regulated in Canada. Terms and Conditions apply.
NRI deposits are under the Reserve Bank of India programme for Non-Resident Indians and are governed by the rules in effect from time to time relating to such programmes. Deposits are subject to the sovereign risk arising from, and governed by the laws of, or any changes to the laws of India. NRI deposits with the Bank in India are not insured by Canada Deposit Insurance Corporation (CDIC), nor by any other insurance company or corporation outside India and are payable only at the branch of the Bank in India where the deposit is made. You should consult your tax advisor for the Canadian treatment of income from these deposits.
HSBC India is the branch of The Hongkong and Shanghai Banking Corporation Limited and not regulated in Canada. NR accounts and NRI Services are offered by HSBC India under the Non-Resident Indian program of the Reserve Bank of India. HSBC India is not a member of the Canada Deposit Insurance Corporation (CDIC) therefore NR accounts with HSBC India are not CDIC insured.
Resident Foreign Currency (RFC) Deposits
If you are returning to India permanently you need not worry about converting your foreign currency savings into Indian Rupees at unfavorable exchange rates. You can retain them in foreign currency by placing a RFC deposit with us and convert them into Indian Rupees at a later date when the exchange rate is favorable.
You can place RFC deposits in any of these 4 currencies: US Dollars, Pound Sterling, Japanese Yen, Euros.
Know more
- Features & Benefits
- Who can Apply?
- Compare NR Accounts
- How to open a Fixed Deposit Online
- Interest Rates
- Service Charges and Fees
- FAQs
Features & Benefits
- Retain funds in 4 global currencies: Continue holding your savings in US Dollar / Pound Sterling / Yen / Euro deposit even after you return to India.
- Shift monies to RFC deposits: Transfer funds currently held in NRE Accounts, FCNR Deposits and overseas remittances accounts into RFC Deposits when you return to India permanently.
- Earn Indian Fixed Deposit Rates: Maintain your funds as a Fixed Deposit in India. The Deposit comes with an auto renewal facility.
- Overseas remittances permitted: The deposits can be used to make bonafide remittances overseas without any prior approval.
Who can apply?
If you are an individual of Indian nationality / origin returning to India permanently after being resident outside India for at least one year, you can place an RFC Deposit.
| Minimum deposit required is | |
| Currency | Amounts |
| USD | 5,000 |
| GBP | 3,500 |
| JPY | 500,000 |
| EUR | 5,000 |
1 For NRIs in UK: The NRI can instruct HSBC Bank plc / first direct to transfer funds from his/her GBP account with HSBC Bank plc/first direct in UK using the bill payment module available through Phone Banking and through Personal Internet Banking offered by HSBC Bank plc / first direct, to his or her account with HSBC in India(NR account) and this will be done free. HSBC Bank plc/first direct customers can also give these instructions using the direct debit form on www.hsbc.co.in or by sending a cheque drawn on the NR's account with HSBC Bank plc/first direct in UK.
2 For NRIs in UAE: Transfers from the UAE are free only if the funds are transferred from your AED account with HSBC Bank Middle East Limited to your own NR account with HSBC India.
3 For NRIs in HK: The transfers are free only if done from your HKD account with HSBC Hong Kong to your NR account with The Hongkong and Shanghai Banking Corporation Limited in India. Only transfers to an NR savings/current account can be done instantly. Also, only transfer requests submitted before 3:55 p.m. for Monday to Friday or 11:55 a.m. for Saturday ( Hong Kong time) will be processed on the same day. All transfer requests submitted afterwards will be processed on the next working day. The term 'working day' refers to a bank working day in both Hong Kong and India.
All foreign currency transactions through HSBC India are subject to Service Tax. Please Click here for details.
# As per current local regulations the permissible remittance from the balances in NRO accounts is up to USD 1 million, per financial year for all bonafide purposes. The remittances (net of applicable taxes) will be allowed to be made on production of an undertaking by the remitter and a Certificate from a Chartered Accountant in the prescribed formats.
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