What is the process to close an NRE/NRO account?

An NRE or NRO account can be closed by submitting a closure request form to the bank or by filling up a redesignation form to convert the existing NRE/NRO account to a resident savings account or Resident Foreign Currency account.

An NRI may want to close an existing NRE/NRO account under below 2 scenarios:

1. To open NRE/NRO accounts in another bank
2. On return back to India.

Steps to close the NRE/NRO account:

1. Download the Account closure form from the bank website.
2. Fill up the entire form and sign it.
3. Send the form to the bank for processing. [ You may also require to send the unused cheque leaves along with the closure form]

For NRIs returning to India, you are required to inform the bank about the change of your residency status. The bank may ask for a declaration in writing or ask to fill up a form for the redesignation of accounts. The existing NRE/NRO account can be redesignated to a resident savings account or the NRI also has an option to convert the existing NRE account to Resident Foreign Currency Account wherein an NRI can maintain funds in foreign currency with full repatriation benefits. This may help an NRI in case his residency status changes back to NRI and the funds in the RFC account can be easily transferred to any NRE account without any issues.

It is important to note that the process of each bank may vary a bit. Some banks may require an in-person visit to the bank for the closure process. Some banks may close the existing bank accounts and open a new savings account while some may redesignate the same accounts to resident accounts. Thus, it would be best to approach your bank for guidance to know the exact process followed at their end.