NRE vs NRO Fixed Deposits: Key differences explained — compare FD rates of SBI, HDFC Bank, PNB and Axis Bank

NRE accounts are for income earned outside India and offer tax-free interest in India, while NRO accounts are for income earned within India and are taxable.

NRE fixed deposits have a minimum tenure of one year, whereas NRO fixed deposits can be opened for as short as seven days.

Funds in NRE accounts are freely repatriable; NRO accounts allow repatriation up to USD 1 million per financial year with taxes.

State Bank of India, HDFC Bank, Punjab National Bank and Axis Bank offer identical interest rates on NRE and NRO fixed deposits for comparable tenures.