The Reserve Bank of India (RBI), has allowed non-resident Indians (NRIs) to operate resident bank accounts on “either or survivor” basis. According to RBI, banks may include an NRI close relative in existing/new resident bank accounts as joint holder with the resident account holder on an “either or survivor” basis, subject to fulfillment of a few conditions. Such accounts will be treated as resident bank accounts, and will be subject to all the regulations applicable to such accounts. Cheques, instruments, remittances, cash, card or any other proceeds belonging to the NRI relative shall not be eligible for credit to this account. Besides, the NRI relative shall operate such account only for and on behalf of the resident for domestic payment and not for creating any beneficial interest for himself.

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