Hello, I was looking into putting away a few hundred dollars into my indian bank account.I was wondering if the banks in india need proof as to where the money is coming from and if there are any restrictions.I know you cannot have more than $10,000 if it is then it needs to reported when ur filling the taxes here in US.So if any of you have done this i would appreciate ur input . TIA!!!
How are you planning to deposit the money?. If its online transfer (deposit in US and converted money will land in india bank account), there is no proof required. If you are depositing in India(equivalent or more than 50000 rs), you need only ID card proof (PAN or driving license or passport etc). Banks wont ask for where did you get this money. Thanks.
Im planning to deposit by sending it through someone going to india , any idea about what are the interest rates and the account types??
Interest on Saving accounts was regulated by RBI and it was 4.00% p.a. on daily balance basis. Interest rates are any where between 6.5% to 8% for 1 yrs and above for Fixed deposits. For ex : Interests that are calculated by banks are Simple interests, it means only rate of interest is calculated on the Principal amount for every period of time. Amount of simple interest = Rate of interest*Principal amount*No of years. For example If Bank announces 4.0 % of interest per Anum, and for bank savings account balance is 100000/-. one year interest is = 0.04*100000*1 = Rs 4000/- as interest amount by the Bank. After two years = 0.04*100000*2 = 8000/-. Where as FD will give good returns . PPF is the best (max 1 lak) for annum and will fetch 9%(i think). Thanks.
Are you a citizen? If not do not worry. 10K limit is for US Citizens and Perm Residents. Try to move to your parent's accounts. No need to file taxes, it will come on their returns. If it is an $ acct in India, you will have to pay taxes in US. I have moved $200K in the last two years, might do another 100K this year. I am sure yours is not big deal.