NRE FD Rates - Best NRE Fixed Deposit Interest Rates

Q: If I start an NRE FD account with a monetary gift, is the interest taxable?

NRE FD rates at DBS Treasures are designed to provide you with the maximum earning potential while the interest remains tax-free in India. This is because the amount invested and interest earned is on a sum of money that does not qualify as income from India.

NRE Fixed Deposit (FD) Interest Rates

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Why You Should Consider DBS Treasures NRE Fixed Deposits

Take advantage of the best NRE FD interest rates with DBS Treasures that allow you to earn tax-free interest on your deposits. Here are the key benefits of opening an NRE Fixed Deposit account with us:

Enjoy high NRE account deposit rates of up to 6.5% on your deposits.
Open an NRE Fixed Deposit with a one-year to ten-year term that suits you.
Multiple Non-Resident Indians (NRIs) can jointly hold the NRE FD.
Renewing your NRE Fixed Deposit online is simple and hassle-free.
For extra safety and ease, choose a nominee to your NRE FD.
Take advantage of the complete and cost-free repatriation of your principal and interest.

NRE Account Deposit Rates

DBS Treasures offers attractive NRE Account deposit rates with flexibility in terms of tenure. Refer to the table below to know more about the best NRE FD interest rates that you can earn on your investment duration.

Tenure	Interest Rate p.a.
1 Year to 375 days	6.40%
376 days to 540 days	6.50%
541 days to less than 2 years	6.25%
2 years & less than 2 years 6 months	5.75%
2 Years and 6 Months	5.25%
2 years 6 months 1 day & less than 3 years	5.25%
3 years and less than 4 years	5.00%
4 years to less than 5 years	5.00%
5 Years and above	5.00%

Please note:

Rates w.e.f. 12^th June, 2025 To know NRE Deposit interest rates for deposit of INR 3 Crore and above, please reach out to your Relationship Manager or visit the nearest branch.
For more information about NRE fixed deposit rates, please click here.

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NRE Fixed Deposits Terms and Conditions

NRE (Non-Resident External) Fixed Deposits offer NRIs a secure way to earn tax-free returns on their foreign investments in India. Before investing, it’s important to understand the key terms and conditions applicable to account holders of NRE FDs:

Premature Withdrawal: The Bank allows early withdrawal of your NRE FD upon written request from all depositors.
Interest on Premature Withdrawal: If you withdraw from your NRE FD before the maturity date, then the NRE fixed deposit interest rates will be paid only till the deposit was help with the bank.
Withdrawal Before One Year: If in case the depositor withdraws before one year before completion of the first year since the date of the initial deposit. No NRE deposit interest rates will be paid on the amount.
Pre-closure Charges: A 1% penalty applies to all NRE term deposits booked on or after April 15,2019.

How to Apply

To open an NRE Fixed Deposit with DBS Treasures, click the apply button and complete the online application form. Once submitted, a relationship manager will contact you to guide you through the next steps.

Open an NRI Savings Account

Frequently Asked Questions

If I start an NRE FD account with a monetary gift, is the interest taxable?

NRE account deposit rates at DBS Treasures are designed to provide you with the maximum earning potential while the interest remains tax-free in India. This is because the amount invested and interest earned is on a sum of money that does not qualify as income from India.

Are NRE FD interest rates subject to a penalty for early withdrawal?

Prematurely closed NRE FD accounts may face a penalty for early withdrawal as per the terms and conditions. However, the NRE Fixed Deposit interest rates as such do not change. They are adjusted for the actual time you stay invested.

Are NRE FD rates applicable for Indian residents as well?

Only NRIs can open NRE accounts. However, if an NRI becomes a resident of India (by staying in the country for over 182 consecutive days in a year), then the interest earned will be taxable. They must then also begin the transition process of converting the account to a residential savings account.

Is NRE Fixed Deposit a Good Investment?

Investing in a DBS Treasures NRE Fixed Deposit can be beneficial in terms of growing your funds securely. It offers benefits such as flexible tenures of up to 10 years and best NRE FD interest rates. You can easily manage your NRE FDs online, making it even more convenient.

Is TDS deducted on NRE FD interest rate?

No, Tax Deducted at Source (TDS) is not deducted on the interest rate earned from NRE Fixed Deposits in India. NRE FD interest income is exempt from taxation, thus banks do not deduct TDS on such interest income.