This plan permits
persons of Indian nationality or origin who have
returned to India for permanent settlement
(Returning Indians) after being resident outside
India for a continuous period of not less than one
year, to open foreign currency accounts against the
proceeds held in NRE/FCNR accounts of Funds remitted
from abroad.
Features
Minimum
Deposit Amount: USD 5000 or equivalent.
Eligible Currencies: USD, GBP, JPY &Euro.
Joint
Accounts: The account can be held jointly
with another person resident in India who is
eligible to open an RFC account.
Repatriation : The balance in RFC account is
fully repatriable.
Conversion into NRE/FCNR Accounts: Account
balances can be transferred to NRI Accounts
(Rupee / Foreign Currency), on regaining NRI
status.
Nomination facility: Nominations can be made
in favour of residents as well as non-
residents.
Permissible
Credits & Debits
The entire
amount of foreign exchange assets acquired or
held while a person was resident outside India.
These include deposits in banks outside India,
investments in foreign currency, shares and
securities or immovable properties situated
outside India or investments in business etc.
outside India, foreign exchange earnings through
employment, business or vocation outside India.
All
balances standing to the credit of the NRE/FCNR
Fixed Deposit accounts at the time of return can
be paid prematurely without penalty and credited
to RFC Fixed Deposit accounts provided the
maturity period of the RFC Deposit is equal to
or longer than the remaining maturity of the NRE/FCNR
Deposit account.
NRIs
bringing Foreign Currency Notes & Traveler’s
Cheques will have to submit a Currency
Declaration Form (CDF) to the customs
authorities on arrival in India if the foreign
currency notes exceed USD 5,000/- or combined
value of Traveler’s Cheques and notes exceed USD
10,000/-. Currency Declaration Form must also be
produced for endorsement by the bank when a
person submits money for opening/credit to an
account.
RFC funds
can be freely drawn in Indian rupees for use
locally.
