Post Office Savings Schemes at a Glance

• It comes with a facility of redeposit on maturity of an account.
• Minimum amount of deposit is Rs 200/- and in multiples of Rs 200/- thereafter. There is no limit on maximum amount being invested.
• Time deposits can be opened for a span of 1 year, 2 years, 3 year and 5 years.
• Investment by Trust, Regimental Fund or Welfare Fund is prohibited.
• Interest income is taxable.
• Group Accounts, Institutional Accounts and Miscellaneous accounts are not allowed.
• Account can be pledged as security against a loan to banks/ Government institutions.
• If you plan for a premature closure of 1 year, 2 Year, 3 Year or 5 Year account on or after 01.12.2011 between 6 months to one year from the date of deposit, simple interest at the rate applicable to from time to time to post office savings account shall be payable.
• This account can be opened and operated by any individual - a single adult or two adults jointly.
• Income Tax Rebate under section 80C of IT Act for an Investment up to Rs 1,00,000/- per annum can be availed.
• 2 year, 3 year or 5 year accounts on or after 01.12.2011 - if closed after one year, interest on such deposits shall be calculated at a discount of 1% on the rate specified for respective period as mentioned in the concerned table given under Rule 7 of Post office Time Deposit Rules.

• One Year       8.2%
• Two Years     8.3%
• Three Years 8.4%
• Five Years     8.5%

• Interest rate of 8.5% per annum payable monthly w.e.f. 01.04.2012
• A single account can hold maximum amount up to Rs. 4.50 lakhs and in case of a joint account a total of Rs.9 lakhs is permissible.
• Maturity period is 5 years.
• w.e.f. 01.12.2011 you cannot claim Bonus on Maturity.
• There is no Tax rebate
• Tax Deduction at Source (TDS) is not applicable.
• Minimum investment amount is Rs.1500/- or in multiple thereafter.
• You can avail a facility of premature closure of account after 1 year but on or before 3 years @ 2.00% discount.
• Account can be opened by an individual, two/three adults jointly, and a minor through a guardian.
• There would be a deduction of 1% if account is closed prematurely at any time after three years.
• It also provides you with auto credit facility of monthly interest to saving account if accounts are at the same post office.
• This scheme provides minors with a separate limit of investment of Rs. 3 lakhs and the same is not compiled with the limit of the guardian.
• Opening of this account by Non-Resident Indian / HUF is not permissible.

• Interest rate of 8.8% per annum w.e.f. 01.04.2012.
• Non-Resident Indians (NRIs) do not qualify for this scheme.
• There is no tax applicable on the interest that gets accrued.
• The time span for which the scheme operates is for 15 years.
• You may opt for this scheme with a Minimum deposit of Rs 500/- per annum and it may range to a Maximum deposit of Rs. 1,00,000/- per annum.
• Investment on behalf of HUF (Hindu Undivided Family) or Association of persons by an individual is not permissible.
• 6^th financial year permits you with withdrawal facility.
• Income Tax Rebate under section 80C of IT Act for Investment up to Rs 1,00,000/- per annum can be earned.
• It is mandatory for you to at least make one deposit with a minimum amount of Rs 500/- in each financial year.
• 3^rd financial year would bring Loan facility to you in the scheme up to 5th financial year. The rate of interest charged on loan taken by the subscriber of a PPF account on or after 01.12.2011 shall be 2% p.a. However, the rate of interest of 1% p.a. shall continue to be charged on the loans already taken or taken up to 30.11.2011.
• You can make deposits in lump sum or in 12 installments.

• Interest @ 9.3% per annum from the date of deposit on quarterly basis w.e.f. 01.04.2012
• There is no age restriction for the retired personnel of Defence services provided they fulfill other specified conditions.
• You may begin with a minimum deposit of Rs 1000 and multiples thereof and carry it forth to a Maximum deposit of 15 lakhs.
• It provides you with premature closure after one year but a deduction of 1.5% of the deposit is made and after 2 years a deduction of 1%.on premature closure becomes applicable.
• The Maturity period in this scheme is 5 years and can be further extended for a period of 3 years.
• Non-resident Indians (NRIs) and Hindu Undivided Family (HUF) are not permitted to open this account.
• If the interest amount is more than Rs 10,000/- per annum, TDS is deducted at source on interest.
• You cannot go for any withdrawal before the expiry of a period of 5 years from the date of opening of the account.
• Your Age should be 60 years or more, and 55 years or more but less than 60 years for those who have retired under a Voluntary Retirement Scheme or a Special Voluntary Retirement Scheme on the date of opening of the account within three months from the date of retirement.
• If your savings account is also held in the same post office then you may get your interest amount automatically credited to the savings account.
• You are entitled to open this account individually or in joint names with your spouse.
• Income Tax Rebate under section 80C of IT Act for Investment up to Rs 1,00,000/- per annum can be earned.

• NSC IX Issue (10 years) - Interest rate of 8.9% per annum w.e.f. 01.04.2012
• NSC VIII Issue (5 years) – Interest rate of 8.6% per annum w.e.f. 01.04.2012
• Investment by Trust and HUF is not permissible.
• There is no Tax Deduction at Source.
• You need to make a Minimum investment Rs. 100/- and there is no limit to maximum amount that you can invest.
• Income Tax Rebate under NSC - section 80C of IT Act for Investment up to Rs 100,000/- per annum can be earned.
• A single holder type certificate can be purchased by an adult for himself or on behalf of a minor or to a minor.
• You can avail secured loans from banks and financial institutions against these certificates.
• NSC - section 80C of IT Act also allows interest accruing annually but deemed to be reinvested for deduction.

• Rate of interest 4.0% per annum
• You can avail cheque facility.
• Anyone can open a savings account in the post office.
• There is a restriction on Group Account, Institutional Account, other Accounts like Security Deposit account & Official Capacity account.
• The interest that earned through this account is tax free.
• You need to put in Minimum amount Rs 50/- in case of non-cheque account and if you wish to avail a cheque account then you need to start with Rs.500/-.
• The Maximum balance that you can hold in a single account is Rs 1,00,000/- and you can hold up to Rs 2,00,000/- in a joint account.