Post Office Saving Schemes: Interest Rates, Minimum Deposit Rules Explained
India Post or Department of Posts, offers nine types of small saving schemes ranging from fixed deposit (FD) account to Senior Citizen Savings Scheme (SCSS), as mentioned on its official website- indiapost.gov.in. Interest rates on post office saving schemes move in line with the government's interest rates on small saving schemes, which are revised on a quarterly basis. Customers are required to invest a certain sum of money as the minimum deposit in these small saving accounts to ensure operability.
Here are the interest rates and minimum investment required in different types of post office saving accounts:
Interest rates of Post office small saving schemes:
| Post office small saving scheme | Rate of interest with respect to January 1, 2019 to March 31, 2019 | Compounding frequency |
|---|---|---|
| Savings Deposit | 4.00% | Annually |
| 1-Year Time Deposit | 7.00% | Quarterly |
| 2-Year Time Deposit | 7.00% | Quarterly |
| 3-Year Time Deposit | 7.00% | Quarterly |
| 5-Year Time Deposit | 7.80% | Quarterly |
| 5-Year Recurring Deposit | 7.30% | Quarterly |
| 5-Year Senior Citizen Savings Scheme | 8.70% | Quarterly and paid |
| 5-Year Monthly Income Account | 7.70% | Monthly and paid |
| 5-Year National Savings Certificate | 8.00% | Annually |
| Public Provident Fund Scheme | 8.00% | Annually |
| Kisan Vikas Patra | 7.7% (will mature in 112 months) | Annually |
| Sukanya Samriddhi Account Scheme | 8.50% | Annually |
(As mentioned on India Post's official website)
Minimum investment required in different types of post office saving accounts:
| Account name | Minimum amount required to open account |
|---|---|
| Savings account (Cheque account) | Rs 20 |
| Savings account (non Cheque account) | Rs 20 |
| Monthly Income Scheme (MIS) | Rs 1,500 |
| Fixed Deposit (FD) Account | Rs 200 |
| Public Provident Fund (PPF) | Rs 500 |
| Senior Citizen Savings Scheme (SCSS) | Rs 1,000 |
(As mentioned on India Post's official website)
Customers should note here that the minimum amount required to open a savings account in the post office is Rs 20 only. However, after opening of account, the customer is required to maintain a minimum of Rs 500 and Rs 50 as balance in the account with and without cheque facility respectively.
