Chirag,
for the interest reporting , you treat is just like interest earned in an account in the USA -- i.e. you convert the income using exchange rate on the day the amount was credited to you ( or since Indian banks often do not provide a printout showing details of transactions, you can use the US Treasury published average yearly rate of exchange.
Form 114 is the new version of the old FBAR form -- accounts that has the highest value in the tax year of $10,000 or more to be reported . This can can be done online at the treasury site --- FINCEN site .
The FATCA form applies ( and is turned in with your return to the IRS ) to US citizzens and residents in the USA at around $90,000 or more and higher if you are stationed abroad. The trigger point also changes with your filing status. From your post it does not appear you would ned to file this.
Please note the FBAR form is to be turned in by April 18th. from this year.
