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Top Features of RERA Account
Easy fund transfer from Collection Account to RERA and Utilization Account effortlessly.
Get a customized account as per your requirement.
Enjoy the best services minus any hassles courtesy of our dedicated RERA team.
RERA or Real Estate (Regulation and Development) Act, 2016 applies to residential and commercial projects. It is mandatory for promoters/developers/builders to register their projects before advertising or selling them and to deposit 70 percent of customer advances or project funds into a separate dedicated account so that funds are utilized for the related project only.
Features of a RERA Bank Account
- 100% of the project collection shall be deposited into a project collection account
- 70% of the amount from the project collection account shall be transferred to the designated RERA Account
- Balance 30% of the amount from the project collection account shall be transferred to the Utilization Current Account
Benefits of RERA Bank Account
- Easy transfer of funds from project collection account to RERA and Utilization Accounts
- Customized account to deal with different mechanisms with or without project loan
- Dedicated RERA team to facilitate smooth operations
Eligibility to open a RERA Account
To open a RERA Account, an applicant needs to be engaged in one of the following businesses:
- Residential projects
- Commercial infrastructure projects, including godowns, shops, offices, etc.
- Ongoing projects for which the completion certificate is still pending
- Projects entailing the development of different phases, with each phase requiring a separate registration
- Development of plots
- Projects with a space of 500 square meters or more, or consisting of at least eight units
Exemptions from RERA
- Projects under development having a built-up space of less than 500 square meters
- Number of units that do not exceed eight phases in all
- Repairs and renovations of a project, provided this does not entail advertising and selling of apartments, commercial spaces, buildings, or plots
- Instances where a completion certificate has been obtained before notification
- Resale property
Documents required to open a RERA Account
The documents needed for opening a RERA Account with us are:
- Duly filled account opening form
- PAN of entity (In sole proprietorships, same is required of the proprietor)
- KYC documents of the entity as per customer type
- Address proof in the name of the entity if different from ID proof
- Official valid documents of authorized signatories & beneficial owners*
- Beneficial ownership* declaration
- Copies of documents submitted by the builder to RERA at the time of registration, including RERA registration document
- RERA agreement
- Project details
*Not applicable for individuals and sole proprietorships
For more details regarding product features and documentation, please contact your nearest branch or call us toll-free at 1800 1200 1200.
Q1. What is RERA?
RERA is the abbreviation for Real Estate Regulatory Authority. This authority makes it mandatory for promoters/developers to open a RERA Account in accordance with the provisions of the Real Estate (Regulation and Development) Act, 2016. The objective behind such a requirement is to ensure that the funds collected for a project from its allottees are utilized for the same without diversifying or utilizing it toward other projects. Accordingly, 70% of the amount realized needs to be deposited into a RERA account to cover the cost of acquisition of land and the construction costs of the project in hand.
Q2. What is a RERA Bank Account?
A RERA Bank Account is a special purpose account wherein the promoter/developer of a particular project needs to deposit 70 percent of customer advances or project funds into this account to ensure that these funds are utilized to acquire land and construction of the land-related project. Withdrawals from these accounts must be certified by an architect, project engineer, or chartered accountant.
Q3. Who can open a RERA bank account?
A RERA Bank Account is mandatory for real estate entities/developers/promoters engaged in the construction and selling of residential/commercial projects, development of plots, etc.