SBI nre recurring deposit


This is a question for all fellow Indians out there.i am planning to open an NRE account with SBI before i move in.i understand that my as employer will be remitting my salary in a Bahrain bank i will have to have an account in there also.please answer my queries in regard to these.

1. will it be wise to shift some amount to recurring deposit in SBI or keep the same in the bahraini bank?.are there RD schemes for banks in bahrain?

2.or is it wise to shift only after a year or so in bulk?

3.if i am shifting monthly is it wise to wait for god exchange rates?

I don't think there are RD schemes in Bahrain (but I haven't looked much beyond one or two banks), they have term deposits, but the rates won't be anything like the ones in India.

I would build up some cash in Bahrain, then move a lump sum to India when the rate is good. Always pays to get a good rate!

Then from that lump sum, set up recurring deposit and term deposit accounts with SBI.

I wouldn't necessarily wait 1 year. It is wise to keep some fallback amount here in case of emergency expense, house, car, medical etc. or just for fun!  :D

As for the bank in Bahrain, you might want to consider SBI for ease of management / transfer or there is also ICICI. The local rates won't be great though. It shouldn't matter which bank you choose in Bahrain, they operate a fast payment service so salary should arrive quickly even if sent from another bank.

The best rate for fixed deposits is usually if held in Aussie or Kiwi Dollars, but you won't want to tie up your money in fixed term accounts in case you want to liquidate fast to take advantage of good rates.

I agree with vikpaw's points!!

thank you vikpaw.great info.cleared the air. :)

Dear Mr.vikpaw,
please advise me on this.if i am saving 1800 BHD per should i go about it.should i transfer it in bulk say after every 3 months or do the transfer when the rates are high? but if i do it so how can i open a term deposit ?

Sorry missed your reply.

Firstly, what job are doing where you can save 1800BD per month? Let me in on the secret ;)

Secondly, I'm no expert, so usual caveats apply; if in doubt seek professional advice.

I would say save your money here until the rate is good and then send it over to India. You should get a good deal with SBI, otherwise there are 3rd party online methods to transfer funds but it's probably not worth the hassle. provide good info on rates and they have an app and alerts if you want.

Once it's in India set up fixed term deposits there. These are set up once and then left for the period you choose, so you don't need to provide regular amounts in like a regular deposit plan.

You'll get great rates and can choose various lengths of time. Plus you can also have multiple accounts so it doesn't matter if you don't send for a few months, when you do, start another account. In fact it can be wise to have a number of term deposits all maturing at regular intervals so you have the option on whether to cash in or re-invest. So you could set one up each month for a smaller amount and then have them rolling over. After the initial period each month you know one will mature in case you need access to the funds.

hey vik paw.great to see your sis is a consultant in salmaniya.she has an above 3000 BHD pay and hence :) thanks bro!

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