Financial literacy quiz for NRIs managing money in India

NRE (Non-Resident External) accounts are crucial for managing money, allowing NRIs to park their foreign earnings in Indian Rupees with tax-free interest on deposits.

An NRO (Non-Resident Ordinary) account helps NRIs manage money earned in India, such as rent or dividends.

Foreign currency deposited into an NRO account is converted into Indian Rupees, making it an essential part of efficient money management as an NRI.

Both principal and interest in NRE accounts are fully repatriable, aiding NRIs in managing their money across borders.

NRIs can invest in mutual funds using NRE or NRO accounts, which are among the best investment options in India for diversification.

ELSS (Equity Linked Savings Scheme) provides tax-saving opportunities and is among the best investment options in India for long-term wealth creation.

While NRIs can invest in real estate, agricultural land is excluded from the investment plan guidelines for NRIs.

Government bonds are secure investment options in India and are available to NRIs under specific routes.

NRIs are only taxed on income earned or accrued in India. This is an essential part of money management for NRIs to avoid unnecessary tax liabilities.

Interest earned in NRO accounts is subject to TDS (Tax Deducted at Source), making it important for NRIs to know how to manage money effectively.

Filing tax returns is necessary if taxable income in India exceeds the basic exemption limit, an important aspect of financial management for NRIs.

DTAA ensures that NRIs are not taxed twice on the same income in both India and their country of residence, a key concept in financial management.

Repatriation of property sale proceeds is allowed up to $1 million per year, helping NRIs invest and manage money effectively.

NRIs can apply for loans to purchase properties in India, and this is often part of their investment plans to create wealth.

REITs are innovative investment options in India for NRIs, providing indirect exposure to real estate without the hassle of property ownership.

As of the latest guidelines, NRIs are not allowed to invest in Sovereign Gold Bonds (SGBs).

SIPs are a disciplined approach to investing money, ideal for NRIs wanting to build wealth systematically.

Diversifying across asset classes ensures stability and is a crucial part of financial management for NRIs.

NRE fixed deposits provide tax-free interest, making them among the most sought-after investment options for NRIs.

FCNR deposits allow funds to be maintained in the specified currencies chosen at the time of booking deposit and help safeguard from exchange rate fluctuations.