How to open a US bank account from India

Simran Shahid Simran Shahid
Jan 22, 2021 3 min read
How to open a US bank account from India

Indians can now open an Indian passport bank account in the U.S with an app. "The bank account may be opened with Indian passports and other KYC (know your client) local documents," said Aeldra founder and CEO Sukeert Shanker in a statement, "We are in beta phase, opening some 30 accounts a day and we have a waitlist of about 5,000 customers wishing to open a US bank account."

Indians can now open an Indian passport bank account in the U.S

In2020, Aeldra began bridges between India and the United States. Indians can now open a US bank account insured by FDIC with an Indian Mastercard Debit Card on their mobile devices. A valid Indian Passport and Aadhaar number are required for all customers. It takes less than 10 minutes for the mobile account to unlock. As with any other American bank, money may be transferred to the Aeldra account from India through the Indian Government's Liberalized Remittance Scheme. Customers can make account-to-account transfers, real-time peer-to-peer transfers, deposit checks, lock/unlock the debit card with one click, review transactions, and much more through the Aeldra mobile banking app, in addition to transacting with the global Mastercard Debit Card.

The FDIC, short for Federal Deposit Insurance Corporation, is an independent agency of the United States government. He is sponsored by the US government's full confidence and credit. No custodian has ever lost one penny of FDIC-insured funds since the FDIC started in 1934. FDIC insurance protects funds of up to $250,000 per depositor of bank accounts. There is no fee paid by Aeldra. The ones Aeldra is targeting are clients who want to invest in the US.

Aeldra is a neo-bank, meaning it doesn't have a license for banking. It provides banking services to its customers with the help of existing banks. The business plans to provide similar services in Canada, the United Kingdom and Australia for bank accounts. Using your passport and other local documents, customers from every part of the world should be able to open a bank account in these markets.

Shanker said, "There are many Indians who invest in the US for different reasons. They may want to take an exposure to the market. They could be traveling to the country for business or because they have relatives. There are others who start remitting money abroad as they want to send their children for further studies to the US."

For consumers, there is a high-yield savings account, dedicated concierge, investment and trading service, credit card, and home loans. Apart from wealthy Indians, the bank also targets students, freelancers who get jobs from the US, and micro, small and medium enterprises. Shanker said, "There are many Indians who invest in the US for different reasons. They may want to take an exposure to the market. They could be traveling to the country for business or because they have relatives. There are others who start remitting money abroad as they want to send their children for further studies to the US."

For consumers, there is a high-yield savings account, dedicated concierge, investment and trading service, credit card, and home loans. Apart from wealthy Indians, the bank also targets students, freelancers who get jobs from the US, and micro, small and medium enterprises.

Conclusion

It is worth adding that under the Reserve Bank of India (RBI) Liberalized Remittance Scheme, an Indian citizen is restricted to remit amount abroad. Each financial year, up to $250,000 can freely be remitted to a foreign country under this scheme.

The regulations allow remittance for specific purposes. For example, an individual can remit funds to another country for private or business travel, gift or donation, employment, emigration, maintenance of close relatives, medical treatment, and education. Individuals can also remit money to invest abroad.

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