Period | Rate of Interest |
One Year | 6.25% |
Two years | 6.50% |
Three years | 7.25% |
Five years | 7.50% |
- Interest is calculated quarterly but payable annually.
- No interest is payable on undrawn interest amount.
- Minimum amount of deposit is Rs.200/-. No maximum limit.
- Account can be opened by an individual, two adults jointly and minor through guardian.
- A Minor who has attained the age of 10 years can open the account in his/her own name to be operated directly.
- Non Resident Indian / HUF can not open the account.
- Any number of accounts can be opened.
- Account can be closed after 6 months but before one year without any interest.
- Two, three and Five years accounts can be closed after one year at a discounted rate of interest.
- Facility of redeposit on maturity of an account.
- Deposits not drawn on maturity are eligible to saving account interest rate for a maximum period of two years.
- Account can be pledged as security against a loan to banks/ Government institutions.
- Accounts are transferable from one Post office to any Post office in India.
- Rebate under section 80-C is not admissible.
- Interest income is taxable.
- Deposits are exempt from wealth tax.
- No T.D.S.
- Nomination facility available.
-
Any individual (a single adult or two adults jointly) can open an account.
Group Accounts, Institutional Accounts and Misc. account not permissible.
Trust, Regimental Fund or Welfare Fund not permissible to invest.
1 Year, 2 Year, 3 Year and 5 Year TD can be opened.
2, 3 & 5 Year TD Accounts can be closed after one year at a discount.
Rate of interest - 6.25%, 6.50%, 7.25%, 7.5% compounded quarterly for 1,2,3 &5 years TD account respectively
The investment under this scheme qualify for the benefit of Section 80C of the Income Tax Act, 1961 from 1.4.2007.
Post Office Savings Bank - The safest investment"Pay Day is your Savings Day "
No comments:
Post a Comment