Interest rates for Post Office Small Savings Schemes are notified by the Government of India every quarter. Please verify the latest applicable rates before investing.

1. Post Office Savings Account (POSB)

• Eligibility:
  • Resident individuals (single), Joint account (up to 3 adults), Minors aged 10 years and above (self-operated), or Guardian on behalf of minor below 10 years.
  • NRIs cannot open new accounts. Existing accounts held before becoming NRI may continue till maturity/closure as per FEMA rules.
• Interest Rate: 4.0% per annum (calculated monthly and credited annually at the end of the financial year)
• Deposit Limits:
  • Minimum: ₹500
  • Maximum: No limit
  • NOTE: If balance falls below ₹500 at end of financial year → ₹50 account maintenance fee deducted → account auto-closed if balance becomes zero. If account is inactive for 3 consecutive financial years, it becomes silent/dormant; reactivate with KYC update and passbook at your post office.
• Tax Treatment:
  • Interest is taxable under "Income from Other Sources"
  • Exemption up to ₹10,000 under Section 80TTA (non-seniors) / ₹50,000 under Section 80TTB (senior citizens aged 60+)
  • No TDS deducted at source
• Opening Procedure: Submit the prescribed account opening form along with Aadhaar, PAN, address proof, photograph and the initial deposit at a CBS-enabled Post Office. Eligible customers may use India Post Internet Banking or Mobile Banking for supported account services after account opening.
• Detailed Features:
  • Passbook facility; cheque book and withdrawal slips available on request
  • ATM/Debit card facility via India Post Payments Bank (IPPB) - where available
  • Internet banking and mobile banking via IPPB app (ippbonline.com)
  • ECS (Electronic Clearing Service) for auto-credit of interest/dividends
  • Nomination facility available
  • Account transfer between post offices permitted
    

2. National Savings Time Deposit Account (TD / POTD)

• Eligibility:
  • Resident individuals (single or joint - up to 3 adults), Minors aged 10+ (self-operated), Guardian on behalf of minors below 10 years.
  • HUF (Hindu Undivided Family) not permitted. NRIs cannot open new accounts.
• Interest Rates p.a. (Q2 FY 2026-27):
  • 1 Year TD: 6.9%
  • 2 Year TD: 7.0%
  • 3 Year TD: 7.1%
  • 5 Year TD: 7.5%
• Deposit Limits:
  • Minimum: ₹1,000 (and in multiples of ₹100 thereafter)
  • Maximum: No limit
• Tax Treatment:
  • Interest is taxable as per income slab
  • 5-year TD investment eligible for deduction under Section 80C (up to ₹1.5 lakh per year, old tax regime only)
  • TD can be pledged as collateral/security for loans at banks and financial institutions
• Opening Procedure: Submit Form-A with KYC documents (Aadhaar, PAN, address proof, photo) and deposit via cash or cheque. A passbook or certificate is issued on account opening. Online opening available via IPPB portal (existing SB account required).
• Detailed Features:
  • Interest calculated quarterly but paid/credited annually
  • Account transferable between post offices across India
  • Multiple TDs can be opened at any time
  • Premature Closure Rules:
    • Before 6 months from opening: No interest paid (only principal refunded)
    • Between 6 months to 1 year: Interest paid at Post Office Savings Account (POSA) rate (4.0%)
    • After 1 year (for 2-year or 3-year TD): Interest paid at the applicable TD rate minus 2% for completed years
    • 5-year TD: Premature closure allowed only after 4 years; interest paid at POSA rate for remaining period
  • The account may be renewed on maturity as per the applicable India Post rules.
    

3. National Savings Recurring Deposit Account (RD / PORD)

• Eligibility: Resident individuals (single or joint - up to 3 adults), Minors aged 10+ (self-operated), Guardian on behalf of minors below 10 years.
• Interest Rate: 6.7% per annum (quarterly compounding)
• Deposit Limits:
  • Minimum: ₹100 per month (and in multiples of ₹10 thereafter)
  • Maximum: No limit
• Tax Treatment:
  • Interest is fully taxable under "Income from Other Sources". No Section 80C benefit.
  • No TDS deducted at source
• Opening Procedure: Submit Form-A with KYC documents. First deposit due on account opening date; subsequent deposits due by the 15th of each month (or last working day of the month if opened after the 15th). Online deposits possible via IPPB app/portal for linked accounts.
• Detailed Features:
  • Tenure: 5 years (60 monthly installments)
  • Default/Missed Deposit Penalty:
    • Up to 4 missed deposits: Account continues; free maturity extension by equivalent number of months
    • More than 4 missed deposits: ₹1 penalty per ₹100 per month of default charged
    • Account discontinued if defaults exceed 4 after 4 years
  • Advance Deposit Rebate: ₹10 rebate for 6-11 advance deposits; ₹40 rebate for 12 or more advance deposits
  • Premature Closure: Allowed after 3 years; interest paid at POSA rate (4.0%) if closed before maturity
  • Loan Facility: Loan up to 50% of balance available after 12 regular monthly deposits have been made; interest charged at RD rate + 2%
  • Maturity Extension: Account can be extended for a further 5 years on maturity
    

4. Post Office Monthly Income Scheme Account (MIS / POMIS)

• Eligibility: Resident individuals (single or joint - up to 3 adults). Minors aged 10+ can open a self-operated account. Joint account holders share the investment limit.
• Interest Rate: 7.4% per annum (paid monthly)
• Deposit Limits:
  • Minimum: ₹1,000 (and in multiples of ₹1,000)
  • Maximum: ₹9 lakh (single account) / ₹15 lakh (joint account)
  • NOTE: In a joint account, each holder's share is considered equal. An individual's combined investment limit across all MIS accounts (single + joint share) must not exceed ₹9 lakh.
• Tax Treatment:
  • Interest is taxable as per income slab under "Income from Other Sources"
  • No Section 80C benefit on investment
  • No TDS deducted at source
• Opening Procedure: Submit Form-A with KYC documents (Aadhaar, PAN, address proof, photo), deposit amount, and link a Post Office Savings Account (POSB) for monthly interest credit. Certificate or passbook issued on opening.
• Detailed Features:
  • Tenure: 5 years
  • Monthly interest is auto-credited to linked POSB/savings account
  • If monthly interest is not withdrawn, it does not earn further interest (non-cumulative)
  • Premature Closure Rules:
    • Before 1 year: Not permitted
    • After 1 year but before 3 years: 2% of principal amount deducted as penalty
    • After 3 years but before 5 years: 1% of principal amount deducted as penalty
    • On maturity (5 years): Full principal refunded; no penalty
  • Account transferable between post offices
    

5. Senior Citizens Savings Scheme Account (SCSS)

• Eligibility:
  • 60 years of age and above
  • 50 years and above (retired Defence/paramilitary personnel) - account must be opened within 3 months of receiving retirement benefits
  • 55-60 years (civilian VRS/superannuation retirees) - account must be opened within 1 month of receiving retirement benefits
  • Joint account permitted with spouse only; first/primary holder must be the qualifying senior citizen
• Interest Rate: 8.2% per annum (paid quarterly on 1st April, 1st July, 1st October, 1st January)
• Deposit Limits:
  • Minimum: ₹1,000 (and in multiples of ₹1,000)
  • Maximum: ₹30 lakh (revised upward in Budget 2023; earlier limit was ₹15 lakh)
• Tax Treatment:
  • Investment eligible for deduction under Section 80C (up to ₹1.5 lakh, old tax regime)
  • Interest is fully taxable as per income slab
  • Senior citizens exempt up to ₹50,000 interest income under Section 80TTB
  • TDS applicable if total interest in a financial year exceeds ₹50,000; submit Form 15H to avoid TDS if income is below taxable limit
• Opening Procedure: Submit Form-A along with age proof, retirement/pension proof (for 55-60 age group), identity proof (Aadhaar/PAN), address proof, and photograph at a designated post office or authorised bank branch.
• Detailed Features:
  • Tenure: 5 years, extendable by 3 years (apply within 1 year of maturity)
  • Quarterly interest auto-credited to linked savings account
  • Premature Closure:
    • Before 1 year: No interest paid; principal returned
    • After 1 year but before 2 years: 1.5% of deposit deducted
    • After 2 years but before 5 years: 1% of deposit deducted
    • During 3-year extension period: 1% of deposit deducted if closed prematurely
  • Multiple SCSS accounts permissible, subject to overall ₹30 lakh limit across all accounts
    

6. Public Provident Fund Account (PPF)

• Eligibility:
  • Resident individuals only (no joint accounts permitted)
  • One account per individual; a separate account can be opened on behalf of a minor child (guardian operates it until the minor turns 18)
  • NRI Rule (w.e.f. October 1, 2024): NRIs cannot open new PPF accounts. If an account was opened as a resident Indian and the holder later became an NRI, the account can continue until its 15-year maturity - but no extension beyond maturity is allowed. Accounts irregularly extended post-maturity by NRIs earn nil interest effective October 1, 2024.
• Interest Rate: 7.1% per annum (compounded annually; credited on 31 March each year)
• Deposit Limits:
  • Minimum: ₹500 per financial year
  • Maximum: ₹1.5 lakh per financial year (across all PPF accounts held by the individual)
  • Deposits can be made in lump sum or up to 12 instalments per year
• Tax Treatment:
  • EEE status: Investment (up to ₹1.5 lakh) deductible under Section 80C; interest earned is tax-free; maturity amount is fully exempt from tax (old tax regime)
• Opening Procedure: Submit Form-1 with KYC documents (Aadhaar, PAN, address proof, photo) and initial deposit at any post office or authorised bank. Online opening available via IPPB and internet banking portals of authorised banks.
• Detailed Features:
  • Tenure: 15 years (extendable in blocks of 5 years with or without further deposits)
  • Loan Facility: Loan against PPF balance available from the 3rd financial year up to the end of the 6th financial year; maximum loan is 25% of the balance at the end of the 2nd preceding financial year; loan interest at PPF rate + 1%
  • Partial Withdrawal: Permitted from the 7th financial year onwards; maximum 50% of balance at the end of the 4th preceding financial year or the immediately preceding year, whichever is lower
  • Premature Closure: Allowed after 5 years only on specific grounds (serious illness of account holder/spouse/dependent children, or for higher education of account holder or minor child); penalty of 1% interest rate reduction applied
  • Updated Rules (Oct 2024): Multiple PPF accounts - only the designated primary account earns scheme interest; excess balance from secondary account merged into primary (within annual ceiling); any remaining excess refunded without interest
    

7. National Savings Certificates - VIII Issue (NSC)

• Eligibility: Resident individuals (single or joint - up to 3 adults), Guardian on behalf of minors, Minors aged 10+ (self-operated). NRIs cannot purchase new NSC; existing NSC bought as resident Indian may be held till maturity.
• Interest Rate: 7.7% per annum (compounded annually; paid at maturity)
• Deposit Limits:
  • Minimum: ₹1,000 (and in multiples of ₹100)
  • Maximum: No limit
• Tax Treatment:
  • Investment eligible for deduction under Section 80C (up to ₹1.5 lakh, old tax regime)
  • Annual accrued interest is taxable but deemed reinvested - qualifies for 80C deduction in years 1 to 4; only the final year's interest (payable at maturity) is fully taxable without re-investment benefit
  • No TDS deducted at source
• Opening Procedure: Purchase NSC certificate with KYC documents (Aadhaar, PAN, photo) and deposit at any post office. Certificates are now issued in electronic (passbook/e-mode) form.
• Detailed Features:
  • Tenure: 5 years
  • Guaranteed government-backed returns
  • NSC can be pledged as collateral/security for bank loans
  • Transfer of NSC from one individual to another is permitted (limited circumstances - death, court order, pledge)
  • Premature encashment: Not permitted before maturity except on death of holder, forfeiture by a pledgee (being a Gazetted Officer), or on court order
  • Nomination facility available
    

8. Kisan Vikas Patra (KVP)

• Eligibility: Resident individuals (single or joint - up to 3 adults), Guardian on behalf of minors, Minors aged 10+ (self-operated). NRIs and HUF not eligible.
• Interest Rate: 7.5% per annum (compounded annually) - money doubles in approximately 115 months (9 years 7 months)
• Deposit Limits:
  • Minimum: ₹1,000 (and in multiples of ₹100)
  • Maximum: No limit
  •  NOTE: PAN card mandatory for investment of ₹50,000 or more. Aadhaar mandatory for all investments. Source of funds declaration may be required for large investments.
• Tax Treatment:
  • No Section 80C benefit on investment
  • Interest is fully taxable as per income slab under "Income from Other Sources"
  • No TDS deducted at source; interest must be self-declared in ITR each year on accrual basis
• Opening Procedure: Purchase KVP certificate with KYC documents (Aadhaar, PAN mandatory) and deposit via cash or cheque at any post office. Certificate issued in electronic/passbook form.
• Detailed Features:
  • Maturity: On doubling of principal at prevailing rate (currently 115 months)
  • Premature Closure: Allowed after 2.5 years (30 months) lock-in period at applicable interest rates; before 2.5 years - closure permitted only on death of holder, forfeiture by a Gazetted Officer pledgee, or court order
  • Interest paid as per the rate applicable till the date of closure (not the full maturity rate if closed early)
  • Transferable: KVP certificate can be transferred from one person to another in permitted circumstances (death, court order, joint-to-single conversion)
  • Transferable between post offices across India
    

9. Sukanya Samriddhi Account (SSA / SSY)

• Eligibility:
  • Opened by parent or legal guardian for a girl child below 10 years of age
  • Maximum 2 accounts per family (one per girl child); exception for twins/triplets born in second birth
  • Only one account per girl child is permitted
• Interest Rate: 8.2% per annum (compounded annually; credited on 31 March) - highest interest rate among all Post Office Savings Schemes alongside SCSS
• Deposit Limits:
  • Minimum: ₹250 per financial year
  • Maximum: ₹1.5 lakh per financial year
  • Deposits required for first 15 years from account opening; account continues to earn interest till maturity even without deposits after 15 years
• Tax Treatment:
  • EEE status: Investment (up to ₹1.5 lakh) deductible under Section 80C; interest earned is tax-free; maturity amount fully exempt from tax (old tax regime)
• Opening Procedure: Submit birth certificate of the girl child, KYC documents of parent/guardian (Aadhaar, PAN, address proof, photo), and initial deposit at any post office or authorised bank. Account in the name of girl child; operated by guardian till she turns 18.
• Detailed Features:
  • Maturity: After 21 years from the date of account opening, or on marriage of the girl after she turns 18 (whichever is earlier)
  • Partial Withdrawal: Up to 50% of balance (as of end of preceding financial year) permitted after the girl turns 18 or after passing Class 10 - for higher education expenses; documentary proof required
  • Premature Closure:
    • On death of the girl child: Full balance with accrued interest paid to guardian
    • On account holder's marriage after age 18: Closure permitted
    • On extreme compassionate grounds (medical emergency, life-threatening illness of account holder) - after 5 years: Allowed at POSA rate
  • Updated Rules (Oct 2024): SSA accounts opened by grandparents who are not legal guardians are treated as irregular; guardianship must be transferred to parent/legal guardian to regularise
  • Account operable by girl child herself after turning 18

10. Mahila Samman Savings Certificate (Closed for New Investments)

• Eligibility: Women/girls (Indian residents only); guardian could open on behalf of minor girl child. NRIs were not eligible. (Scheme closed; for reference only)
• Interest Rate: 7.5% per annum (quarterly compounded; paid at maturity or closure)
• Deposit Limits:
  • Minimum: ₹1,000
  • Maximum: ₹2 lakh (total across all MSSC accounts in the investor's name; 3-month gap required between account openings)
• Tax Treatment:
  • Interest is taxable under "Income from Other Sources" as per income slab
  • No TDS deducted (since max interest below ₹40,000/₹50,000 threshold)
  • No Section 80C benefit
• Detailed Features (for existing account holders):
  • Tenure: 2 years from date of deposit
  • Partial withdrawal of up to 40% of eligible balance allowed after 1 year
  • Premature closure allowed after 6 months with 2% interest deduction penalty; closure on death of account holder without penalty
  • Maturity amount (principal + accrued interest) credited to linked savings account at the end of 2 years

11. PM CARES for Children Scheme (2021)

• Eligibility: Children under 18 years of age who lost both parents, or surviving parent/legal guardian, to COVID-19 during the period 11 March 2020 to 28 February 2022.
• Interest Rate: MIS rate applicable at the time of deposit on ₹10 lakh corpus (monthly stipend paid from age 18 to 23)
• Deposit Limits: ₹10 lakh lump-sum corpus deposited from PM CARES Fund when the child turns 18
• Tax Treatment: Amount received under PM CARES for Children Scheme is fully exempt from income tax under Section 10(46) of the Income Tax Act.
• Opening Procedure: Account opened by the District Magistrate (DM) as joint account holder using prescribed Form along with death certificates and eligibility proof. Individual account held in child's name; DM operates it until child turns 18.
• Detailed Features:
  • Account converts to a single/individual account when child turns 18
  • Monthly income (MIS interest on ₹10 lakh) paid as stipend from age 18 until age 23
  • On attaining 23 years: Full ₹10 lakh corpus paid to the beneficiary as lump sum
  • Free health insurance coverage under Ayushman Bharat PM-JAY up to ₹5 lakh annually provided simultaneously