What Is The Full Form Of RFC In Banking?

RFC full form in banking is the Resident Foreign Currency. Indian residents are allowed to maintain RFC accounts, which are bank accounts denominated in foreign currencies. For Non-Resident Indians (NRI) who wish to bring foreign currency from their abroad bank accounts back to India, these accounts are quite helpful.

Features of an RFC Account

• To open an RFC account, a person must have returned to India after spending a continuous year or longer overseas.
• Any Indian bank that offers these services can open an RFC account, which can be a savings or fixed deposit account.
• Money received in an RFC account from various foreign sources is acceptable.
• The RFC account may be maintained either individually or jointly, on a “former or survivor” basis, with any resident relative.

What Else Should You Know About RFC?

Returning non-resident individuals can increase the returns on their foreign currency savings by opening a resident foreign currency account. One of the 6 currencies may be opened by the account holder, who can use it in the same manner as their rupee account. Additionally, as long as you receive the currency through authorized sources, there is no cap on the amount you can deposit into the RFC account.