IDBI-FX-LU4-RFC,RFC (D) EEFC

Mr. Anand had purchased Forex exchange in the form of Currency notes and TCs for USD 4000/- for his visit to California. He returns to India with unspent forex of USD 2000/- and wants to retain for his next trip. Advise him.

• Can retain without surrendering as per RBI guidelines in RFC (D) account

• Should surrender to AD within 180 days from date of return

• Can not bring back any forex unspent abroad

One of the pre-requisites for opening Resident Foreign currency account is.........

• Has to be currently a NRI

• Must be a foreign citizen

• Must be an erstwhile NRI who has come back to India for good

Keeping foreign currency without surrendering after making a trip overseas is a serious violation of the ............... Act

• NI

• RBI

• FEMA

Acronym EEFC account stands for..........

• Exchange Eligibility Foreign currency account

• Exchange Earners' Foreign Currency Account

• Exchange Earners' Fixed currency Account

EEFC account can be opened for............

• any resident receiving remittance from abroad

• Units located in Special economic zones

• Only 100% Export Oriented Units (EOUs)

Maximum amount that can be held in EEFC account is.............. percent of Forex earned.

• 75%

• 100%

• 90%

RFC accounts are meant for..........

• A resident in India who wants to convert his Rupee earnings into Foreign currency

• a foreigner who comes for permanent settlement in India

• a resident in India who has sources of income/assets in Foreign currency

For opening RFC account by an erstwhile NRI, the minimum stay abroad is.......

• 24 months

• 12 months

• 6 months

RFC accounts can be opened in the form of..............

• Demand and Term deposits

• Only SB accounts

• Only Term deposit accounts

Mr. Ram, Director of M/s Ram Industries had availed forex from your branch for USD 8000 in the form of Currency notes, TCs and preloaded forex card out of the Rupee balance in the company account. On his return he requests you to open a Foreign currency account for the unspent forex of USD 1300/- in the name of his company. How will you respond?

• Can open RFC (D) in the company's name

• Can not open RFC (D) account as it can be opened only by individuals

• Can open RFC (D) account as the rupee source is from the company's account