Post Office Time Deposits

Interest payable Annually but calculated quaterely at following rates:

Duraiton of Amount	Quarterly Compounded Interest
1 year	6.25%
2 year	6.5%
3 year	7.25%
5 year	7.5%

• Minimum amount of deposit is Rs.200/-.
  
  
• No maximum limit.
  
  
• Account can be closed after 6 months but before one year without any interest.
  
  
• Facility of redeposit on maturity of an account.
  
  
• No interest is payable on undrawn interest amount.
  
  
• Account can be opened by an individual, two adults jointly and minor through guardian.
  
  
• A Minor who has attained the age of 10 years can open the account in his/her own name to be operated directly.
  
  
• Non Resident Indian / HUF can not open the account.
  
  
• Any number of accounts can be opened.
  
  
• Two, three and Five years accounts can be closed after one year at a discounted rate of interest.
  
  
• Deposits not drawn on maturity are eligible to saving account interest rate for a maximum period of two years.
  
  
• Account can be pledged as security against a loan to banks/ Government institutions.
  
  
• Accounts are transferable from one Post office to any Post office in India.
  
  
• Rebate under section 80-C is not admissible.
  
  
• Interest income is taxable.
  
  
• Deposits are exempt from wealth tax
  
  
• No T.D.S.
• FAQ's On Small Savings here
• Ask your question's to our Time Deposit's Expert Advisor here