Stay on top of your finances while studying abroad: Benefits of an NRI Account

Studying abroad is exciting, but managing your finances back home can be challenging. When pursuing higher education, having an NRI account can make life easier. NRI account benefits include providing a safe and efficient way to manage your money, so you can focus on your studies and enjoy your time abroad. 

Let's explore what are the benefits of an NRI account and why it is a must-have for any student studying outside India.

What are the benefits of an NRI account?

Here are some NRI account benefits you should keep in mind - 

• Convenient transactions

With an NRI account, you can easily pay bills, make online purchases, or transfer money to family and friends in India. This can be done through various channels, such as online, mobile, or phone banking.

• Currency conversion

An NRI savings account also allows you to convert your foreign currency into Indian rupees and vice versa. This is particularly useful when transferring money between your NRI and local accounts in a foreign currency.

For instance, if you have a local bank account in the US and need to transfer money to your NRI account in Indian rupees, it's simple to use funds transfer services provided by the bank.

• Tax benefits

One of the significant NRI account benefits is tax efficiency. As an NRI, you are not liable to pay tax on your global income in India. However, if you have any income generated in India, you may be subject to tax.

The interest earned on your NRO savings account is taxable in India. However, let's suppose you are a country resident with a Double Taxation Avoidance Agreement (DTAA) with India. In that case, you may claim tax benefits for the tax paid in India.

• Easy account management

Finally, an NRI account offers you easy account management. You can manage your account online, check your balance, and track your transactions without hassle. This is particularly useful when you are studying abroad and do not have the time to visit a bank branch for banking needs.

If you have to transfer money to your family members in India, it is internet banking to the rescue again; no need to visit a physical branch.

Conclusion

Having an NRI account is crucial for managing your finances while studying outside India. Depending on your needs and preferences, you can choose from various types - Non-Resident Ordinary (NRO) Savings Accounts or Non-Resident External (NRE) Savings Accounts. However, before opening an account, it is essential to research and compares different banks' offerings.

The NRI account benefits included with IDFC FIRST Bank are specifically created to meet the needs of those studying abroad. The account offers several perks without any fees, attractive interest rates on inward remittances, tax-free interest on NRE savings, simple internet banking, and a Visa Signature card. 

Along with all of that, you might receive enticing interest on your bank balance. IDFC FIRST Bank is a good choice if you're looking for an NRI account with plenty of benefits.

Disclaimer

The contents of this article/infographic/picture/video are meant solely for information purposes. The contents are generic in nature and for informational purposes only. It is not a substitute for specific advice in your own circumstances. The information is subject to updation, completion, revision, verification and amendment and the same may change materially. The information is not intended for distribution or use by any person in any jurisdiction where such distribution or use would be contrary to law or regulation or would subject IDFC FIRST Bank or its affiliates to any licensing or registration requirements. IDFC FIRST Bank shall not be responsible for any direct/indirect loss or liability incurred by the reader for taking any financial decisions based on the contents and information mentioned. Please consult your financial advisor before making any financial decision.