Important points to be observed while opening and maintaining the NRE account-

1. The account should be opened on a specific written application from the Non-
resident , together with his or her photograph.
2. The most important KYC document is the passport, for which clear photocopies of
the relevant pages of passport should be received.
3. The accounts should be opened by the Non-resident account-holder himself and
not by the Power of Attorney holder on behalf of the NRI.
4. Besides complying with the other formalities/information/documents, branches
should obtain an undertaking from the account-holder that he would intimate the
branch about his coming back to India for permanent residence. This undertaking
should be obtained in the account opening form itself.
5. Branches should ascertain the country from which the remittance is made for
opening the account.
6. They should also obtain details such as permanent address, local address in India,
and country of residence of the account-holder as required under the rules as also
the type of account to be opened (i.e. Current, Savings, Fixed Deposit, Cash
Certificate, etc.)
7. Special operating instructions, if any (i.e. operations by holder of Power of Attorney
or Letter of Authority (OG78 NRE), standing instructions for regular payments etc.)
should be obtained and recorded.
8. Details like name, address, passport particulars including validity, issuing office,
etc. as reflected in the Account Opening Form should be incorporated for the
purpose of easy reference.
9. The Account Opening Forms, Specimen Signature Cards should be kept
separately for distinguishing them from other accounts maintained by the branch
and for better control over these deposits. The Account should be opened under
product code 204 under savings bank.
10. When the prospective customer calls on the Branch and a/c is opened on the basis
of original passport such application forms should be signed jointly by the Dept.
Officer and concerned Dy. Branch Manager/Head of Branch.
11. Accounts should be opened under appropriate product code depending on
whether it is NRE CA, NRESB, NREFD etc in the CBS system
12. Cheque books meant for NRE Accounts must be sent to the account-holder abroad
only by registered air-mail and a watch should be kept till the acknowledgement of
the account-holder is received.
13. In case cheque books/cheque leaves are reported to be lost, suitable note must
be promptly made in the system.
14. The distinctive serial numbers of Fixed Deposit Receipts issued to the account
holder should bear the prefix NR (E). The Deposit Receipt may be sent abroad by
registered air-mail or held in safe custody or delivered to the local person against
proper authority (if so desired by the account-holder).
15. Standing instructions issued by the account-holder must be noted in the system
for prompt execution.
16. Letters/Mails of Non-Resident Account-holders should be attended to on priority.
17. Details of nomination to the Account should be specifically recorded in the System,
account opening form and Deposit Receipt.
18. Opening of NRE accounts in the names of entities of Bangladesh and
individuals/entities of Pakistan nationality/ownership requires prior approval of
Reserve Bank.