Pension payment to India from Uk

AnnieG · May 22nd, 2005, 16:00

Quote:

Originally Posted by shang

Is there some one who have already moved to India on a permanent basis as a retiree ? If so could you give me some information regarding the pension payment direct to a Bank account in India.
Are there any deductions from the pension before it goes into the account if so how much? Percentage wise how much will I lose from the amount?
I have a state pension and a works pension, enaugh to live in a basic comfort in India but the same amount which will not give me a basic comfort living in Uk, well, nearly impossible to meet all my expenses here as the cost of living in Uk is going to get worse as years pass by. that is the reason I want to retire to India. For a start it will save me a hefty amount in central heating bill. Oil prices are getting out of hand so everything is going to be expensive and my pension will not be able to cope.
Any advise or suggestions will be of great help and will be highly appreciated from folks who have successfully retired in India and enjoying their twilight years.
Regards.

Why do you want to have it paid into an Indian bank account?
If you have it paid in to a UK bank account, you can use your ATM card to draw down the money.
AnnieG

john.sw · May 28th, 2005, 00:59

I do not have resident status, but having a bank account in India has many advantages for me.

ADVANTAGES OF NON-RESIDENT (EXTERNAL) ACCOUNTS

The advantages of opening non-resident (external) accounts are:

1. I can send Indian cheques from the UK to people and businesses in India.
2. The income accruing on the balance in the accounts is free of Indian income-tax.
3. Balances held in the accounts are exempt from wealth tax
4. Gifts made from NRE / FCNR accounts are exempt from gift tax
5. I can repatriate the balances along with the interest accrued thereon, outside India at any time without reference to the Reserve Bank
6. Balances in NRE accounts can be utilised for getting priority allotment of motor vehicles, etc. For this the required amount has to be transferred to a separate nonconvertible account to be opened in the name of the applicant.

FOREIGN CURRENCY (NON-RESIDENT) ACCOUNT SCHEME (FCNR)

You can open FCNR account in US $, Pound Sterling, Japanese Yen and DM for periods from 6 months to 3 years.

Interest is paid at the rates stipulated by RBI from time to time. Principal and interest can be repatriated in the same currency without tax liability.

You are not affected by the fluctuations in the exchange value of these currencies.

All the tax exemptions allowed for NRE (Re) deposits are also applicable for FCNR deposits.

Transfer of accounts from one branch to another is permitted.

With online banking you can pay bills to may companies in India.

I can transfer monies from the UK in £ Sterling to the Indian Bank account through an arrangement my bank has with Barclays in the UK.

All the best,

John.

Nick-H · May 28th, 2005, 03:11

Thanks John. I'll go and talk to the ICICI bank on the corner of my road before I come back to London. It would be nice to have something in place before returning in September. Having an account at ICICI here, along with a chunk of capitol from my house sale (fingers crossed) might get me into ICICI bank in London, despite having income=0.

I think ICICI might be the answer to my problems, and to Shang's

May 28th, 2005, 00:59	#17
john.sw Up in the hills with my head in the clouds... Join Date: Mar 2005 Location: India/UK Posts: 1,021	To answer Nick's question... I do not have resident status, but having a bank account in India has many advantages for me. ADVANTAGES OF NON-RESIDENT (EXTERNAL) ACCOUNTS The advantages of opening non-resident (external) accounts are: 1. I can send Indian cheques from the UK to people and businesses in India. 2. The income accruing on the balance in the accounts is free of Indian income-tax. 3. Balances held in the accounts are exempt from wealth tax 4. Gifts made from NRE / FCNR accounts are exempt from gift tax 5. I can repatriate the balances along with the interest accrued thereon, outside India at any time without reference to the Reserve Bank 6. Balances in NRE accounts can be utilised for getting priority allotment of motor vehicles, etc. For this the required amount has to be transferred to a separate nonconvertible account to be opened in the name of the applicant. FOREIGN CURRENCY (NON-RESIDENT) ACCOUNT SCHEME (FCNR) You can open FCNR account in US $, Pound Sterling, Japanese Yen and DM for periods from 6 months to 3 years. Interest is paid at the rates stipulated by RBI from time to time. Principal and interest can be repatriated in the same currency without tax liability. You are not affected by the fluctuations in the exchange value of these currencies. All the tax exemptions allowed for NRE (Re) deposits are also applicable for FCNR deposits. Transfer of accounts from one branch to another is permitted. With online banking you can pay bills to may companies in India. I can transfer monies from the UK in £ Sterling to the Indian Bank account through an arrangement my bank has with Barclays in the UK. All the best, John. __________________ www.nilgiris.asia your guide to the Nilgiris, Ooty, Coonoor, Kotagiri and Gudalur

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May 28th, 2005, 03:11	#18
Nick-H This is just a cameo appearance Join Date: Oct 2004 Location: Chennai, India Posts: 36,189	Thanks John. I'll go and talk to the ICICI bank on the corner of my road before I come back to London. It would be nice to have something in place before returning in September. Having an account at ICICI here, along with a chunk of capitol from my house sale (fingers crossed) might get me into ICICI bank in London, despite having income=0. I think ICICI might be the answer to my problems, and to Shang's