INSUBCONTINENT EXCLUSIVE:
Premature closure facility is also available in some of the post office saving schemes.India Post or Department of Post, which runs the
postal network of the country, also offers nine types of government-sponsored savings schemes
These include savings account, five-year recurring deposit (RD), time deposit or fixed deposit (FD), monthly income scheme (MIS) account,
senior Citizens Savings Scheme (SCSS), 15-year Public Provident Fund (PPF) and National Savings Certificates (NSC), according to India
Post's official website - indiapost.gov.in
(Post office saving schemes that offer income tax benefits)Account nameMinimum amount required to open accountSavings account (Cheque
account)Rs 20Savings account (non Cheque account)Rs 20Monthly Income Scheme (MIS)Rs 1,500Fixed Deposit (FD) AccountRs 200Public Provident
Fund (PPF)Rs 500Senior Citizen Savings Scheme (SCSS)Rs 1,000(As mentioned on India Post's official website)Here are the interest rates and
premature closure periods provided by different post office saving schemes:Interest rates on these post office saving schemes move in line
This account can be closed at any time.Post office Monthly Income Scheme (MIS)Investment in the post office Monthly Income Scheme (MIS)
fetches interest at the rate of 7.6 per cent for the current quarter
The deposit can be prematurely encashed after one year but before three years at a discount of two per cent of the deposit, and after three
years, at a discount of one per cent of the deposit
Discount here means deduction from the deposit, according to India Post's website.Post office Recurring Deposit (RD)The recurring deposit
account offers an interest rate of 7.3 per cent per annum, compounded quarterly
One withdrawal up to 50 per cent of the balance is allowed after one year
However, it should be repaid in lump-sum along with interest at the prescribed rate at any time during the currency of the account,
according to India Post.Post office Fixed Deposit (FD)The post office fixed deposit account offers interest in the range of 6.9-7.7 per cent
for a period of 1-5 years
Premature closure in this case is allowed after 6 months.Post office Senior Citizen Savings Scheme (SCSS)The scheme offers an interest rate
of 8.6 per cent per annum
Premature closure is allowed after one year on deduction of an amount equal to 1.5 per cent of the deposit and after 2 years 1 per cent of
the deposit.Get Breaking news, live coverage, and Latest News from India and around the world on TheIndianSubcontinent.com
Catch all the Live TV action on TheIndianSubcontinent 24x7 and TheIndianSubcontinent India
Like us on Facebook or follow us on Twitter and Instagram for latest news and live news updates.
