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Small Savings
Small Savings schemes are designed to provide safe and attractive investment options to the public and at the same time to mobilise resources for development. These schemes are operated throught about 1.54 lakh post offices throughout the country. Public Provident Fund Sacheme is also operated about 8000 branches of public sector banks in addition to the post offices. Deposit Schemes for Retrining Employess are operated though selected brances of public sector banks only.
  • Post Office Savings Schemes
  • What are small savings?
  • FAQ's
Salient Features:
  • Account can be opened by cash only
  • Cheque facility can be taken in an existing account also
  • Nomination facility is available at the time of opening and also after opening of an account
  • Account can be transferred from one post office to another
  • One account can be opened in one post office
  • Account can be opened in the name of minor and a minor of 10 years and above age can open and operate the account
  • Joint account can be opened by two or three adults
  • At least one transaction of deposit or withdrawal in three financial years is necessary to keep the account active
  • Single account can be converted into Joint and Vice Versa
  • Minor after attaining majority has to apply for conversion of the account in his name
  • Deposits and withdrawals can be done through any electronic mode in CBS Post offices
  • Inter Post office transactions can be done between CBS post offices
  • ATM/Debit Cards can be issued to Savings Account holders( having prescribed minimum balance on the day of issue of card) of CBS Post offices
  • Suitable scheme for retired employees/ senior citizens and for those who need regular monthly income.
Salient Features:
  • Account may be opened by an individual. Account can be opened by cash/cheque and in case of cheque the date of realization of cheque in Govt. account shall be date of opening of account
  • Nomination facility is available at the time of opening and also after opening of account
  • Account can be transferred from one post office to another. Any number of accounts can be opened in any post office subject to maximum investment limit by adding balance in all accounts
  • Account can be opened in the name of minor and a minor of 10 years and above age can open and operate the account
  • Joint account can be opened by two or three adults. All joint account holders have equal share in each joint account. Single account can be converted into Joint and Vice Versa
  • Minor after attaining majority has to apply for conversion of the account in his name. Maturity period is 5 years from 1.12.2011
Salient Features:
  • Deposits can be made in lump-sum or in 12 installments
  • Joint account cannot be opened
  • Account can be opened by cash/cheque and in case of cheque, the date of realization of cheque in Govt. account shall be date of opening of account
  • Nomination facility is available at the time of opening and also after opening of account. Account can be transferred from one post office to another
  • The subscriber can open another account in the name of minors but subject to maximum investment limit by adding balance in all accounts
  • Maturity period is 15 years but the same can be extended within one year of maturity for further 5 years and so on
  • Maturity value can be retained without extension and without further deposits also
  • Premature closure is not allowed before 15 years
  • Deposits qualify for deduction from income under Sec. 80C of IT Act.
  • Interest is completely tax-free
  • Withdrawal is permissible every year from 7th financial year from the year of opening account
  • Loan facility available from 3rd financial year
  • No attachment under court decree order
  • The PPF account can be opened in a Post Office which is double handed and above
Salient Features:
  • Scheme specially designed for Government employees, businessmen and other salaried classes who are income tax assesses
  • No maximum limit for investment
  • No tax deduction at source
  • Certificates can be kept as collateral security to get loan from banks
  • Trust and HUF cannot invest
  • Buy National Savings Certificates (NSCs) every month for Five years Re-invest on maturity and relax - On retirement it will fetch you monthly pension as the NSC matures
  • A single holder type certificate can be purchased by an adult for himself or on behalf of a minor or to a minor
  • Deposits qualify for tax rebate under Sec. 80C of IT Act.
  • The interest accruing annually but deemed to be reinvested under Section 80C of IT Act.
  • In case of NSC VIII and IX issue, transfer of certificates from one person to another can be done only once from date of issue to date of maturity
  • At the time of transfer of certificates from one person to another, old certificates will not be discharged. Name of old holder shall be rounded and name of new holder shall be written on the old certificate and on the purchase application (in case of non-CBS Post offices) under dated signatures of the authorized Postmaster along with his designation stamp and date stamp of Post office.
Salient Features:
  • An individual of the age of 60 years or more may open the account
  • An individual of the age of 55 years or more but less than 60 years who has retired on superannuation or under VRS can also open account subject to the condition that the account is opened within one month of receipt of retirement benefits and amount should not exceed the amount of retirement benefits
  • Maturity period is 5 years
  • A depositor may operate more than one account in individual capacity or jointly with spouse (husband/wife)
  • In case of cheque, the date of realization of cheque in Govt. account shall be date of opening of account
  • Nomination facility is available at the time of opening and also after opening of account
  • Account can be transferred from one post office to another
  • Any number of accounts can be opened in any post office subject to maximum investment limit by adding balance in all accounts
  • Joint account can be opened with spouse only and first depositor in Joint account is the investor
  • Interest can be drawn through auto credit into savings account standing at same post office, through PDCs or Money Order
  • Quarterly interest of SCSS accounts standing at CBS Post offices can be credited in any savings account standing at any other CBS post offices
  • After maturity, the account can be extended for further three years within one year of the maturity by giving application in prescribed format. In such cases, account can be closed at any time after expiry of one year of extension without any deduction
  • Investment under this scheme qualifies for the benefit of Section 80C of the Income Tax Act, 1961 from 1.4.2007


Non-resident Indians (NRIs) and Hindu Undivided Family (HUF) are not eligible to open an account.
Salient Features:
  • A legal Guardian/Natural Guardian can open account in the name of girl child
  • A guardian can open only one account in the name of one girl child and maximum two accounts in the name of two different girl children
  • Account can be opened up to age of 10 years only from the date of birth. For initial operations of scheme, one year grace has been given. With the grace, girl child who is born between 2.12.2003 & 1.12.2004 can open account up to 1.12.2015
  • Account can be closed after completion of 21 years
  • Normal premature closure will be allowed after completion of 18 years provided that girl is married


Non-resident Indians (NRIs) and Hindu Undivided Family (HUF) are not eligible to open an account.
Salient Features:
  • Account can be opened by cash/cheque and in case of cheque, the date of deposit shall be date of presentation of cheque
  • Nomination facility is available at the time of opening and also after opening of account
  • Account can be transferred from one post office to another
  • Any number of accounts can be opened in any post office
  • Account can be opened in the name of minor and a minor of 10 years and above age can open and operate the account
  • Joint account can be opened by two adults
  • Subsequent deposit can be made up to 15th day of next month if account is opened up to 15th of a calendar month and up to last working day of next month if account is opened between 16th day and last working day of a calendar month
  • If in any RD account, there is monthly default(s) the depositor has to first pay the defaulted monthly deposit with default fee and then pay the current month deposit. This will be applicable for both CBS and non-CBS Post offices
  • There is rebate on advance deposit of at least 6 installments
  • Single account can be converted into Joint and Vice Versa
  • Minor after attaining majority has to apply for conversion of the account in his name
  • One withdrawal upto 50% of the balance allowed after one year
  • Full maturity value allowed on R.D. accounts restricted to that of INR. 50/- denomination in case of death of depositor subject to fulfillment of certain conditions
  • In case of deposits made in RD accounts by cheque, date of credit of cheque into Government accounts shall be treated as date of deposit


Non-resident Indians (NRIs) and Hindu Undivided Family (HUF) are not eligible to open an account.
Salient Features:
  • Account may be opened by individual
  • Account can be opened by cash/cheque and in case of cheque the date of realization of cheque in Govt. account shall be date of opening of account
  • Nomination facility is available at the time of opening and also after opening of account
  • Account can be transferred from one post office to another
  • Any number of accounts can be opened in any post office
  • Account can be opened in the name of minor and a minor of 10 years and above age can open and operate the account
  • Joint account can be opened by two adults
  • Single account can be converted into Joint and Vice Versa
  • Minor after attaining majority has to apply for conversion of the account in his name
  • The investment under 5 Years TD qualifies for the benefit of Section 80C of the Income Tax Act, 1961 from 1.4.2007
  • In CBS Post offices ,when any TD account is matured, the same TD account will be automatically renewed for the period for which the account was initially opened
  • e.g TD account of 2 years will be automatically renewed for 2 Years. Interest rate applicable on the day of maturity will be applied


Non-resident Indians (NRIs) and Hindu Undivided Family (HUF) are not eligible to open an account.
Salient Features:
  • Amount Invested matures in 112 months
  • Rate of Interest 7.7%
  • Certificate can be purchased by an adult for himself or on behalf of a minor or by two adults
  • KVP can be purchased from any Departmental Post office
  • Facility of nomination is available
  • Certificate can be transferred from one person to another and from one post office to another
  • Certificate can be encashed after 2 & 1/2 years from the date of issue


Non-resident Indians (NRIs) and Hindu Undivided Family (HUF) are not eligible to open an account.
Small savings schemes are designed to provide safe and attractive investment options to the public and at the same time to mobilise resources for development. These schemes are operated through about 1.54 lakh post offices throughout the country. Public Provident Fund Scheme is also operated through about 8000 branches of public sector banks in addition to the post offices. Deposit Schemes for Retiring Employees are operated through selected branches of public sector banks only.
Can Monthly Income Scheme (MIS) interest be credited to Recurring Deposit (RD) account?
No. There is no provision. Interest amount can be credited to SB account and after that from SB to RD is permissible.

How can I claim payment of deceased account / certificate holder?
The claimant may be the nominee or legal heir. If there is nomination, the nominee can prefer the claim in the prescribed form along with death certificate. If there is no nomination, any one of the legal heirs can prefer the claim in the prescribed form [SB84]. For this death certificate and consent statements of all legal heirs are required. Claim upto one lakh can be settled. If the claim is exceeding one lakh, claims can be settled by legal evidence ie, by probate of will or succession certificate.

How I can get encashment of certificates / account before maturity?
National Savings Certificate - No premature encashment possible. Maturity period is 5 Years. Different Savings Accounts Savings Bank - Can be closed at any time Recurring Deposit - Premature closure permissible after 3 years - only SB rate is permissible Time Deposit - Premature closure permissible after 6 months Monthly Income Scheme - Premature closure permissible after 1 year

How I get duplicate passbook?
Application in the prescribed form or manuscript application may be given by affixing prescribed fee in the form of postage stamp. New duplicate Passbook will be issued by sub post offices only.