{"id":8305,"date":"2025-08-12T09:25:57","date_gmt":"2025-08-12T09:25:57","guid":{"rendered":"https:\/\/lemonn.co.in\/blog\/?post_type=banking&#038;p=8305"},"modified":"2025-08-12T09:25:57","modified_gmt":"2025-08-12T09:25:57","slug":"nre-deposit-components-eligibility-and-interest-rates","status":"publish","type":"banking","link":"https:\/\/lemonn.co.in\/blog\/banking\/nre-deposit-components-eligibility-and-interest-rates\/","title":{"rendered":"NRE Deposit: Components, Eligibility and Interest Rates"},"content":{"rendered":"\n<p>Non\u2011Resident External (NRE) FDs allow NRIs to deposit foreign earnings in India in rupees. Principal and interest are fully repatriable, and interest is tax\u2011free in India. Interest rates vary by bank and tenure. For example, Union Bank offers around <strong>6.80\u00a0%<\/strong> for a 1\u2011year NRE FD and up to <strong>7.30\u00a0%<\/strong> for 1\u00a0year\u00a01\u00a0day to 3\u00a0years. Punjab National Bank provides <strong>6.80\u00a0%<\/strong> for 1\u00a0year and up to <strong>7.00\u00a0%<\/strong> for >1\u00a0year\u20133\u00a0years.<\/p>\n\n\n\n<h2 id='nre-fd-snapshot'  id=\"boomdevs_1\" class=\"wp-block-heading\">NRE FD Snapshot<\/h2>\n\n\n\n<figure class=\"wp-block-table\"><table><thead><tr><th>Bank<\/th><th>1\u2011year rate<\/th><th>1\u20133&nbsp;years<\/th><th>3\u20135&nbsp;years<\/th><th>5\u201310&nbsp;years<\/th><\/tr><\/thead><tbody><tr><td>Union Bank of India<\/td><td>6.80\u00a0%<\/td><td>6.40\u00a0%\u20137.30\u00a0%<\/td><td>6.50\u00a0%<\/td><td>6.50&nbsp;%<\/td><\/tr><tr><td>Punjab National Bank<\/td><td>6.80\u00a0%<\/td><td>6.80\u00a0%\u20137.00\u00a0%<\/td><td>6.50\u00a0%<\/td><td>6.50&nbsp;%<\/td><\/tr><tr><td>Canara Bank<\/td><td>6.90\u00a0%<\/td><td>6.90&nbsp;%\u20137.00&nbsp;%<\/td><td>6.75&nbsp;%<\/td><td>6.75&nbsp;%<\/td><\/tr><tr><td>IDBI Bank<\/td><td>6.80\u00a0%<\/td><td>6.80&nbsp;%\u20137.10&nbsp;%<\/td><td>6.50&nbsp;%<\/td><td>6.50&nbsp;%<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<p>To open an NRE FD, one must be an NRI or Overseas Citizen of India (OCI) holding a valid passport. Funds must be transferred from abroad via normal banking channels. Compare rates and check if premature withdrawal is allowed, as some banks impose higher penalties on NRE deposits.<\/p>\n","protected":false},"featured_media":0,"template":"","class_list":["post-8305","banking","type-banking","status-publish","hentry"],"blocksy_meta":[],"_links":{"self":[{"href":"https:\/\/lemonn.co.in\/blog\/wp-json\/wp\/v2\/banking\/8305","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/lemonn.co.in\/blog\/wp-json\/wp\/v2\/banking"}],"about":[{"href":"https:\/\/lemonn.co.in\/blog\/wp-json\/wp\/v2\/types\/banking"}],"wp:attachment":[{"href":"https:\/\/lemonn.co.in\/blog\/wp-json\/wp\/v2\/media?parent=8305"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}