I live in India, and I'm considering opening a resident foreign currency account, to receive dollars from outside India.
Is the balance (in dollars, say) automatically converted to rupees when I try to:
- Transfer money to someone using IMPS, RTGS or NEFT?
- Use a debit card to pay in rupees at a shop?
- Use an ATM card to withdraw rupees at an Indian ATM?
- Write a rupee-denominated cheque?
- Have a biller withdraw rupees from my account using ECS?
In other words, can I pretend that a resident foreign currency account is a rupee account when I want to withdraw rupees? Or are there restrictions on what rupee transactions I can perform on a resident foreign currency account that don't exist on a rupee-denominated savings account?
Am I correct in understanding that a resident foreign currency account cannot have deposits made into it in rupees, say if someone wants to transfer money to me using IMPS?