NRE and NRO Accounts comparison

NRE and NRO accounts serve different purposes for NRIs. NRE accounts do not accept rupee credits from within India; they are meant for depositing foreign income and are ideal for those who do not expect Indian-sourced credits. In contrast, NRO accounts accept both Indian and foreign currency credits, making them suitable for managing income earned in India, such as rent or dividends.  

Regarding repatriability, funds in an NRE account, including both principal and interest, are fully and freely repatriable. However, in NRO accounts, only the interest is freely repatriable, while the principal can be repatriated up to $1 million annually with documentation.