Interest rates mentioned are effective from January 1, 2024
| Scheme Name | Who Can Open | Interest Rate (p.a.) | Min. Deposit / Investment | Max. Deposit Limit | Lock-in / Maturity Period | Key Tax Benefit |
|---|---|---|---|---|---|---|
| Savings Account (SB) | Single adult, Joint (3 adults), Guardian, Minor (10+) | 4.0% | ₹500 to open | No limit | N/A | Interest up to ₹10,000 exempt u/s 80TTA |
| 5-Year Recurring Deposit (RD) | Single adult, Joint, Guardian, Minor (10+) | 6.7% (Quarterly) | ₹100/month | No limit | 5 years | - |
| Monthly Income Scheme (MIS) | Single adult, Joint, Guardian, Minor (10+) | 7.4% (Monthly) | ₹1,000 | ₹9 lakh (Single), ₹15 lakh (Joint) | 5 years | - |
| Sukanya Samriddhi Yojana (SSY) | Guardian for girl child (<10 years) | 8.2% (Yearly) | ₹250/year | ₹1.5 lakh/year | 21 years or marriage (after 18) | E-E-E (80C + Tax-free interest + Tax-free maturity) |
| Public Provident Fund (PPF) | Resident Indian, Guardian for minor | 7.1% (Yearly) | ₹500/year | ₹1.5 lakh/year | 15 years | E-E-E (80C + Tax-free interest + Tax-free maturity) |
| Senior Citizen Savings Scheme (SCSS) | Individuals >60 yrs (or retired earlier) | 8.2% (Quarterly) | ₹1,000 | ₹30 lakh | 5 years | Eligible for deduction u/s 80C |
| Mahila Samman Savings Certificate (MSSC) | Woman for herself, Guardian for minor girl | 7.5% (Quarterly) | ₹1,000 | ₹2 lakh | 2 years | - |
| Time Deposit (TD) | Single adult, Joint, Guardian, Minor (10+) | 6.9% - 7.5% (Yearly)* | ₹1,000 | No limit | 1, 2, 3, or 5 years | 5-year TD eligible u/s 80C |
| National Savings Certificate (NSC) | Single adult, Joint, Guardian, Minor (10+) | 7.7% (Yearly) | ₹1,000 | No limit | 5 years | Eligible for deduction u/s 80C |
| Kisan Vikas Patra (KVP) | Single adult, Joint, Guardian, Minor (10+) | 7.5% (Yearly) | ₹1,000 | No limit | 115 months (Investment doubles) | - |
**TD Interest Varies by Term: 1 Year: 6.9%, 2 Year: 7.0%, 3 Year: 7.1%, 5 Year: 7.5%*
📝 General Rules and Important Highlights
- Eligibility: Most schemes can be opened by single adults, joint account holders (usually up to 3), guardians for minors/unsound mind, and minors above 10 years in their own name.
- Account Limits: Certain schemes like SSY, PPF, and MIS have strict limits on the number of accounts or total investment amounts one person can have.
Premature Closure: Rules vary. For example:
- SCSS allows closure anytime with penalties before 5 years.
- RD allows premature closure only after 3 years.
- MIS allows it after 1 year with a deduction (2% before 3 years, 1% after).
- Default & Revival: RD, SSY, and PPF have rules for handling missed deposits, charging default fees, and reviving accounts within specific periods.
- Payment of Interest: Methods vary (credited annually, quarterly, monthly). MIS and SCSS interest can often be auto-credited to a linked savings account.
Updates:
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