Moving To Uk? 5 Reasons Why You Should Consider Opening An Nre Account

By Author: Joseph Mathew
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The United Kingdom (UK) is a dream destination for a lot of Indians looking for a professional opportunity abroad. Now that you are finally moving to the UK soon, you might be busy with your to-do list, including documentation, packing, and other important things that you should complete before moving.

Apart from this, you should also consider opening an NRE bank account before moving to the UK. Here are some of the most important reasons that make NRE bank account a must for every Indian moving to a foreign country-

1. Transfer Foreign Earnings to India

With an NRE bank account, you can transfer all of your GBP earnings to India in INR. As per the FEMA guidelines, NRIs are not allowed to operate a resident savings bank account in India. Thus, an NRE bank account is a simple way to transfer your foreign earnings to India.

Fund transfers are completely free, and you also get to earn a high-interest rate on the deposits made to an NRE bank account.

2. Multiple Types of Accounts Available

With an NRE bank account, you get numerous account options just like resident Indians. You can choose from savings, current, fixed deposit (FD), and recurring deposit (RD) NRE accounts. You can select one as per your requirement.

NRE bank accounts are tax-free and fully repatriable. This means that you are not required to pay any tax on the interest earnings, and the principal amount. Moreover, the interest earned from the account can be transferred back to the UK if required.

3. Access to 24x7 Banking Services

You also get access to 24x7 online banking facilities with an NRE bank account. Just like a standard resident bank account, you get access to all the basic banking facilities like net-banking, e-statements, bill payments, open FD/RD accounts, order cheque books, and more.

Moreover, some of the banks also have their mobile banking apps to provide on-the-go banking convenience.

4. Family Banking

With an NRE bank account, you also get to pick a PoA (Power of Attorney). The PoA can be your family member who is a resident Indian. This will allow your family member to use your account as and when required.
Some banks also offer debit cards to the PoA with the help of which they can easily withdraw funds from your NRE bank account. They can issue cheques for any kind of payment in India and also deposit cheques in foreign currency to the account in your name.

5. Low Minimum Balance Requirements

Gone are the days when NRE account used to have high minimum balance requirements. Most banks now offer low balance NRE bank accounts so that you are not required to block a considerable amount of money in the account just to keep it operational.

Even if you are looking to open an NRE FD/RD account, you can open one with as little as Rs. 10,000. This ensures that you can get yourself an NRE bank account even if you are just about to start your professional career.

Open an NRE Account Today

As you can see, several reasons make NRE bank accounts a must for every individual moving to the UK or any other foreign country.

Check things like the reputation of the bank, operations in foreign countries, interest rate, banking services, and additional facilities to select the best bank for your NRE bank account.