Post office schemes are small savings schemes run by the Government of India and sold through post offices across the country. They include the savings account, recurring deposit, time deposit, Monthly Income Scheme, Senior Citizen Savings Scheme, PPF, Sukanya Samriddhi, NSC and KVP. The table below shows the current post office interest rates. pincodeoffice.com is an independent site, not India Post. For official forms and notices, visit the India Post website.
Post office interest rates: how they are set
The table covers every post office saving scheme in one place: the post office savings account interest rate, the post office FD interest rate for each term, the post office RD interest rate and the post office MIS interest rate. The Ministry of Finance reviews post office interest rates every quarter. For most schemes, the rate on the day you open the account stays fixed for the full term. This is true for the time deposit, RD, MIS, SCSS, NSC and KVP. PPF and Sukanya Samriddhi are different. Their rate can change each quarter, and your whole balance earns the new rate. Always see the current rate in the table above before you invest.
Post office savings account
The post office savings account is the base for most other schemes. Interest from MIS and SCSS can be paid straight into it, and RD instalments can be paid from it. You need a small minimum balance to keep it open. Check the exact amount and any charges at your post office. If you want digital banking with doorstep service, also read our guide to the India Post Payments Bank.
Post office RD scheme (recurring deposit)
- Monthly deposit of at least Rs 100, then any amount in multiples of Rs 10. There is no upper limit.
- Runs for 5 years, which is 60 monthly instalments.
- Interest is compounded every quarter and paid with the maturity amount.
- You can close it early after 3 years, but you then get only the savings account rate.
- After 12 instalments and one year, you can take a loan of up to half the balance.
Work out your maturity value with the post office RD calculator.
Post office FD (time deposit)
- Choose a term of 1, 2, 3 or 5 years. Each term has its own post office FD rate.
- Minimum Rs 1,000, then multiples of Rs 100. No upper limit.
- Interest is worked out every quarter and paid once a year.
- No withdrawal in the first 6 months. A 5 year deposit cannot be closed before 4 years.
- Only the 5 year deposit qualifies for the tax deduction under Section 80C (Section 123 under the new Income-tax Act).
Check the returns for any term with the post office FD calculator.
Post office Monthly Income Scheme (MIS)
The post office MIS scheme suits people who want a fixed income every month from a lump sum.
- One lump sum deposit, minimum Rs 1,000, in multiples of Rs 1,000.
- Maximum Rs 9 lakh in a single account and Rs 15 lakh in a joint account.
- Interest is paid every month for 5 years. Your deposit is returned at the end.
- Closing between 1 and 3 years costs 2% of the deposit. After 3 years, the charge is 1%.
- Interest is taxable and there is no 80C benefit.
Find your monthly income with the post office MIS calculator.
Post office senior citizen scheme (SCSS)
- For people aged 60 and above. Some retirees aged 55 to 60, and retired defence staff aged 50 and above, can also join under conditions.
- Minimum Rs 1,000, in multiples of Rs 1,000, and a maximum of Rs 30 lakh in total.
- Runs for 5 years and can be extended in blocks of 3 years.
- Interest is paid every quarter.
- The deposit qualifies under Section 80C (Section 123 under the new Income-tax Act). Interest is taxable.
See your quarterly income with the SCSS calculator.
Public Provident Fund (PPF)
- Deposit Rs 500 to Rs 1.5 lakh in each financial year.
- Runs for 15 years. You can extend it in blocks of 5 years.
- Loans from the 3rd year and partial withdrawals from the 7th year.
- Deposit, interest and maturity amount are all tax free, which is often called EEE. The deposit deduction is available only under the old tax regime.
Plan your PPF with the PPF calculator.
Sukanya Samriddhi Yojana (SSY)
This is the main post office scheme for a girl child. Parents often search for a post office scheme for women, and SSY is the one made only for girls. Other schemes are open to women on the same terms as men.
- Open it for a girl below 10 years of age. Most families can open accounts for up to two girls.
- Deposit Rs 250 to Rs 1.5 lakh each financial year, for 15 years from opening.
- The account matures 21 years after opening.
- Up to half the balance can be withdrawn for education after she turns 18 or passes class 10.
Estimate the maturity amount with the Sukanya Samriddhi Yojana calculator.
National Savings Certificate (NSC) and post office NSC calculator
NSC is a 5 year certificate. You invest once and get the full amount with interest at maturity. Use the NSC calculator below.
- Minimum Rs 1,000, then multiples of Rs 100. No upper limit.
- Interest is compounded every year and paid at maturity.
- Early closure is allowed only on the death of a holder, on forfeiture by a pledgee who is a gazetted officer, or by court order.
- The deposit qualifies under Section 80C (Section 123 under the new Income-tax Act). The yearly interest is taxable, but for the first four years it is treated as reinvested and can also be claimed under 80C.
- You can pledge an NSC to a bank as security for a loan.
Kisan Vikas Patra (KVP) calculator
KVP is a certificate that doubles your money over a fixed number of months. The number of months depends on the rate when you buy it. Use the KVP calculator below.
- Minimum Rs 1,000, then multiples of Rs 100. No upper limit.
- You can cash it early after 2 years and 6 months. Earlier closure is allowed only on death of a holder, forfeiture by a pledgee or by court order.
- There is no 80C deduction and the interest is taxable.
- PAN is needed for larger amounts. Check the current limit at your post office.
Which post office savings scheme should you choose
- Regular monthly saving: RD. Good for building a sum from salary.
- Lump sum for a fixed time: time deposit, NSC or KVP.
- Monthly income: MIS. For seniors, SCSS usually pays more, every quarter.
- Long term and tax free: PPF, or SSY if you have a daughter below 10.
All these schemes are backed by the Government of India, so your money is safe. Compare rates in the table above, and compare tax too. Interest from RD, FD, MIS, SCSS, NSC and KVP is taxable. PPF and SSY are tax free.
How to open a post office scheme account
- Visit your nearest post office. Find it with our pincode of my location tool and check the post office timings first.
- Carry Aadhaar, PAN and two passport size photos.
- Fill the account opening form for the scheme. Forms are also on the India Post website.
- Pay the first deposit by cash or cheque. For most schemes you also need a post office savings account.
- Collect your passbook or certificate and keep it safe. Add a nominee.