HSBC India's NRE Term Deposit is a fixed term deposit held in India, in Indian Rupees.

You can place an NRE Term Deposit with your foreign currency earnings.

The deposit is maintained in Indian Rupees. Therefore the money you deposit in foreign currency is converted into Indian Rupees, as per the prevailing foreign exchange rate^**.

Key features ? NRE Term Deposit:

• Attractive interest rates
  Attractive interest rates make NRE Term Deposits a preferred choice to park your foreign currency earnings converted in Indian Rupee.
  
  Interest can be cumulated and received at the time of maturity or can be received in your NRE account every quarter. Check the current fixed deposit interest rates.
• NRE Term Deposits are freely repatriable
  You can always convert the funds back to foreign currency and transfer it out of India, since both principal and interest earned are freely repatriable.
• Tax free
  Both principal and interest are completely tax free* in India.
• Joint Term Deposit
  You can hold the account/deposit jointly with Resident Indians^{^^} as well as other NRIs.
• NRE nomination
  Nomination facility is available on the NRE Term Deposit.
• Minimum Deposit
  Minimum deposit required is INR 25,000.
• Liquidity
  You can break your deposit before the maturity period^.
• Overdraft Facility
  Avail of overdraft^# (subject to a maximum of INR 100 lacs) against your NRE deposits.
• Range of fixed tenors
  Tenors range from 1 year to 3 years

^{^^} 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.

** Exchange rates are subject to change on a daily basis.

*Indian tax information given herein is general and is not meant to constitute, and therefore should not be construed, as advice. The tax consequences are also based on individual facts and circumstances. As such, prior professional tax advice should be sought to fully understand and appreciate the Indian tax implications. We assume no obligation or liability of any nature whatsoever by issuing this document. For US Citizens and US Residents, if necessary, you should consult your tax advisor for questions regarding the US tax treatment of these deposits. If you are 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 NRE 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.

# Overdraft available at the sole discretion of The Hongkong and Shanghai Banking Corporation Limited, India. 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, 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 Federal Deposit Insurance Corporation (FDIC) of the U.S.A., 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. Under current U.S. tax laws, U.S. citizens and residents are subject to tax on their worldwide income. You should consult your tax advisor for the U.S. treatment of income from these deposits.