We describe systematic studies on Nd and Mn co-doped BiFeO 3 , i.e., (Bi 0.95 Nd 0.05 ) (Fe 0.97 Mn 0.03 )O 3 (BNFM) polycrystalline electroceramics. Raman spectra and X-ray diffraction patterns revealed the formation of rhombohedral crystal structure at room temperature, and ruled out structural changes in BiFeO 3 (BFO) after low percentage chemical substitution. Strong dielectric dispersion and a sharp anomaly around 620 K observed near the Neel temperature (T N $ 643 K of BFO) support strong magneto-dielectric coupling, verified by the exothermic peak in differential thermal data. Impedance spectroscopy disclosed the appearance of grain boundary contributions in the dielectric data in the region, and their disappearance just near the Neel temperature suggests magnetically active grain boundaries. The resistive grain boundary components of the BNFM are mainly responsible for magneto-dielectric coupling. Capacitive grain boundaries are not observed in the modulus spectra and the dielectric behavior deviates from the ideal Debye-type. The ac conduction studies illustrate short-range order with ionic translations assisted by both large and small polaron hopping. Magnetic studies indicate that the weak antiferromagnetic phase of BNFM ceramics is dominated by a strong paramagnetic response (unsaturated magnetization even at applied magnetic field of 7 T). The bulk BNFM sample shows a good in-plane magnetoelectric coupling (ME) coefficient. V C 2015 AIP Publishing LLC. [http://dx