• Any individual can open an account.
•  Cheque facility available.

• Group Account, Institutional Account, other Accounts like Security Deposit account & Official  Capacity account are not permissible
• Rate of interest 3.5% per annum

Savings Bank Act

Small Savings Schemes

Interest Rates 

Features:

Only one account can be opened in the name of a person. Twelve deposits can be made in a financial year.

Minimum deposits in a year is INR.500 and maximum is INR. 70,000/-.

Loan is admissible from the third year. Loan amount is limited to 25 % of    at the end of two years preceding.    

Fresh loan is not allowed when previous loan or interest thereof is outstanding.

Interest is charged at the rate of 1% if prepaid within 36 months and at 6% on the outstanding loan after 36 months.

Withdrawal is permissible from seventh financial year from the year of opening, limited to one in a financial year. 

Amount of withdrawal is limited to 50 % of balance at the end of the fourth preceding year less amount of outstanding loan or 50% of balance at the end of immediate preceding year of withdrawal less amount of outstanding loan, if any whichever is less.

  A subscriber can close the account in the 16^th financial year.  The account can also be continued with or without subscription, for further blocks of 5 years.

Deposits are qualified for Income Tax rebate under section 88 of Income Tax Act.

Deposits completely exempted from wealth tax. Interest is completely tax free under section 80 of IncomeTax Act.

• Interest exempt from wealth tax. No TDS
• Accounts in the name of minors can be opened through guardians
• Any number of accounts can be opened
• One withdrawal upto 50% of the balance allowed after one year

Default / Revival:

• If there are more than 4 defaults in monthly deposits, the account shall be treated as discontinued. Revival of the account is permitted only within a period of 2 months from the month of fifth default. The account, in which defaulted installments are deposited along with default fee, is not treated as discontinued. Penalty: Rs. 20/- per Rs. 1000/- p.m.

Premature withdrawal:

• Account can be prematurely closed after 3 years from the date of opening of account and on such premature closure of the account, interest at the rate applicable from time to time on Post Office Savings Account shall be payable. However no premature closure of account is permissible until the period for which the advance deposits made is over.

• 9% interest per annum payable quarterly.
• Minimum Deposit: Rs 1000 and multiples thereof.
• Maximum Limit : 15 Lakhs.
• The scheme is for 5 years and can be extended for a further period of 3 years.
• Premature closure facility is available after 1 year with nominal penelaty.
• Risk free investment.
• Individual aged of 60 years and above can invest.
• Retiring employees aged 55 years and above can invest under scheme.
• No TDS.
• Joint account can be opened with spouse.

To Read FAQ’s on Senior Citizen Saving Scheme Click here.

To Apply Invest in Senior Citizen Saving Shemes Planning for Investment Ask our Experts here by Government of India Post Office/ Postal Department New Latest Schemes Interest Rates.

Interest payable Annually but calculated quaterely at following rates:

        Duration            Interest Rates

• 1 Year                      6.25%
• 2 Years                   6.50%
• 3 Years                   7.25%
• 5 years                    7.50%

1. Minimum amount of deposit is Rs.200/-.
2. No maximum limit.
3. Account can be closed after 6 months but before one year without any interest.
4. Facility of redeposit on maturity of an account.
5. No interest is payable on undrawn interest amount.
6. Account can be opened by an individual, two adults jointly and minor through guardian.
7. A Minor who has attained the age of 10 years can open the account in his/her own name to be operated directly.
8. Non Resident Indian / HUF can not open the account.
9. Any number of accounts can be opened.
10. Two, three and Five years accounts can be closed after one year at a discounted rate of interest.
11. Deposits not drawn on maturity are eligible to saving account interest rate for a maximum period of two years.
12. Account can be pledged as security against a loan to banks/ Government institutions.
13. Accounts are transferable from one Post office to any Post office in India.
14. Rebate under section 80-C is not admissible.
15. Pledged as security against a loan to banks/ Government institutions
16. Interest income is taxable.
17. Deposits are exempt from wealth tax
18. No T.D.S.

FAQ’s On Time Deposit Small Savings Click here

Ask your question’s to our Time Deposit’s Expert Advisor here to Invest Buy Purchase online New Interest Rates on Post Office Time Deposit Scheme.

• Minimum Investment Rs. 500/- No maximum limit.
• Rate of interest 8.40% compounded annually.
• Money doubles in 8 years and 7 months.
• Two adults, Individuals and minor through guardian can purchase.
• Companies, Trusts, Societies and any other Institution not eligible to purchase.
• Non-Resident Indian/HUF are not eligible to purchase.
• Facility of encashment from 2 ½ years.
• Maturity proceeds not drawn are eligible to Post office Savings account interest for a maximum period of two years.
• Facility of reinvestment on maturity.
• Patras can be pledged as security against a loan to Banks/Govt. Institutions.
• Patras are encashable at any Post office before maturity by way of transfer to desired Post office.
• Patras are transferable to any Post office in India.
• Patras are transferable from one person to another person before maturity.
• Duplicate can be issued for lost, stolen, destroyed, mutilated and defaced patras.
• Nomination facility available.
• Facility of purchase/payment of Kisan vikas Patras to the holder of Power of attorney.
• Rebate under section 80 C not admissible.
• Interest income taxable but no TDS.
• Deposits are exempt from Wealth tax.

Faq’s on KVP here.

For Buy Prchase Renew Online Kisan Viksa Patra here. Ask for New Latest Interest Rates and Returns on KVP.

• Interest rate of 8% per annum payable monthly.
• Maturity period is 6 years.
• Minimum investment amount is Rs.1500/- or in multiple thereof.
• Maximum amount is Rs. 4.5 lacs in single account and Rs. 9 lacs in a joint account.
• Account can be opened by an individual, two/three adults jointly and a minor through a guardian.
• A minor having attained 10 years of age can open an account in his/her own name directly.
• Non-Resident Indian / HUF cannot open the Account.
• Minor has a separate limit of investment of Rs. 3 lacs and the same is not clubbed with the limit of guardian.
• A separate account is opened for each deposit.
• Any number of accounts can be opened subject to the maximum prescribed limit.
• Facility of automatic credit of monthly interest to saving account if accounts are at the same post office.
• Facility of premature closure of account after one year @ 3.50% discount.
• No deduction of 3.5% if account is closed on completion of three years.
• Facility of reinvestment on maturity of an account.
• Interest not with-drawan does not carry any interest.
• Maturity proceeds not drawn are eligible to saving account interest rate for a maximum period of two years.
• Account is transferable from one post office to any Post office in India free of cost.
• Nomination facility available.
• Rebate under section 80 C not admissible.
• Interest income is taxable, but no TDS
• Only scheme in Post office where monthly interest is payable.
• Most suitable scheme for senior citizens and for those who need regular monthly income.
• Deposits are exempt from Wealth Tax

FAQ’s on MIS Click Here.

For Buy Purchase online Post office Mothly Income Schemes Small Savings Postal Saving Schemes by Goverment of India.

• Minimum investment Rs. 500/- No maximum limit.
• Rate of interest 8% compounded half yearly.
• Rs. 1000/- grow to Rs. 1601/- in six years.
• Two adults, Individuals, and minor through guardian can purchase.
• Companies, Trusts, Societies and any other Institutions not eligible to purchase.
• Non-resident Indian/HUF can not purchase.
• No pre-mature encashment.
• Annual interest earned is deemed to be reinvested and qualifies for tax rebate for first 5 years under section 80 C of Income Tax Act.
• Maturity proceeds not drawn are eligible to Post Office Savings account interest for a maximum period of two years.
• Facility of reinvestment on maturity.
• Certificate can be pledged as security against a loan to banks/ Govt. Institutions.
• Facility of encashment of certificates through banks.
• Certificates are encashable any Post office in India before maturity by way of transfer to desired post office.
• Certificates are transferable from one Post office to any Post office.
• Certificates are transferable from one person to another person before maturity.
• Duplicate Certificate can be issued for lost, stolen, destroyed, mutilated or defaced certificate.
• Nomination facility available.
• Facility of purchase/payment to the holder of Power of attorney.
• Tax Saving instrument – Rebate admissible under section 80 C of Income Tax Act.
• Interest income is taxable but no TDS
• Deposits are exempt from Wealth tax.

Read out Some FAQ’s on NSC Click here.

Contact our Small Savings Latest New Interest Rates on National Savings Certificates NSC Agent for Buy/ Purchase New NSC online here..