Nri banking services - Banks in india

Selecting a bank for NRI banking services . . . . .

Banking in India has changed considerably in the past decade. Just about every international bank has a presence now in India. I remember the time in India when customers who went to cash a cheque at their local banks, had to first line up to present the cheque to a bank teller and were then given a token to take to a different teller to get their cash.

Fortunately things have changed for the better now. Indian banks are now almost at par with foreign banks when it comes to service. Non resident Indians living abroad often open accounts with Indian banks such as The State Bank of India and ICICI bank that have set up foreign branches abroad to attract NRIs.

ICICI bank vigorously advertises to attract non resident Indians to get their accounts. The reality is that while some banks will go all out and outspend each other to get customers they don't seem to be putting enough thought into customer service. Just check the Internet and NRIs seem to have quite a few complaints about bank customer service.

The competition from foreign banks within India though has resulted in improvements for Indians in the banking sector.

Banks in India now offer services to their customers that are not only comparable to western banks but also some services that are not offered in the west, such as home banking.

Home banking facility is one special customer service that banks in India offer.

Some Indian banks now have also opened branches overseas and while the majority of their overseas customers probably tend to be Non Resident Indians these banks are doing well as they offer attractive rates and services to the thousands of NRIs living abroad.

When it comes to selecting a bank to do business with. NRIs have lots of choices. Here is some information that may help you make an informed decision on selecting a bank in India.

Do remember that when choosing a bank don't let a high interest rate be the only criteria in choosing a particular bank.

In India, banks running into financial problems is not uncommon. Last year 28 financial banking institutions ran into trouble. Check bank account safety page for a list of failed institutions.

Update: During my visit to India in February 2011, I was informed that Axis bank had discontinued the service of sending money to customers at their residence.