Will the new interest rates be applicable on these small savings schemes including PPF, SSY, SCSS, NSC from October? This is the update so far

Public Provident Fund Scheme

The Public Provident Fund Scheme of the Post Office is getting 7.1% interest for the July-September quarter. The government last changed the interest rate on this scheme in April. It was reduced from 7.90 to 7.10 percent from 2020. Since then the same rate is applicable till this quarter. Post Office Public Provident Fund Scheme The interest is compounded annually. The investor can make 1 withdrawal during the financial year on completion of 5 years excluding the year of account opening. For example, if the account is opened during the financial year 2017-18, then withdrawal can be made during or after 2013-14. PPF account comes in “E-E-E” category where deposits up to Rs 1.5 lakh in a year, interest earned etc. are free from tax.

monthly income account

Post Office is paying 7.4 percent interest on its monthly income account for the July-September quarter of the current financial year. The government had last increased the rate on MIS from 7.10 percent to 7.4 percent in April 2023. Since then, the same rate is applicable for July-September 2024 also. Investors who open an account under Monthly Income Scheme (MIS) will get interest payment every month. Interest is paid at the end of every month from the date of account opening till maturity. The interest income earned by the account holder will be taxable. The government revises the interest rate of the scheme on a quarterly basis.

Post Office Time Deposit Scheme

Post Office Time Deposit Scheme is also known as Post Office Fixed Deposit Scheme. There are 4 options available for investors in this scheme. They can invest by choosing fixed deposit schemes with different tenures as per their capacity. Interest on FD from the post office ranges from 6.9 percent to 7.5 percent. 6.9 percent interest is being given on FDs maturing in one year, whereas the post office is giving 7.5 percent interest on FDs maturing in 5 years. Whereas 2 year and 3 year FDs are getting 7 percent and 7.1 percent interest respectively.

Kisan Vikas Patra

The government is giving 7.5 interest on Post Office Kisan Vikas Patra for July-September 2024. The maturity time of this scheme is 115 months. The government last reduced the maturity time from 10 years i.e. 120 months to 115 months in April 2023. Interest on KVP account is compounded annually.

Mahila Samman Saving Certificate

The government is giving 7.5 interest on Mahila Samman Saving Certificate of Post Office for July-September 2024. Interest on MSSC account is compounded quarterly. Post Office Mahila Samman Saving Certificate Scheme Started from April 2023. This scheme will be available for subscription of women and girls till 31 March 2025.

National Savings Certificate

The post office is offering 7.7 percent interest on the National Savings Certificate (NSC) scheme. The government last increased the interest rate on this scheme from 7 percent to 7.7 percent in April 2023. Since then, the same rate is applicable for July-September 2024. The maturity of National Savings Certificate Account is 5 years. In this, the interest is compounded annually, but it is paid on maturity.

Senior Citizen Saving Scheme

Post Office Senior Citizen Saving Scheme is giving 8.2% interest on quarterly basis. The government last increased SCSS rates from 8 percent to 8.2 percent in April 2023. From then onwards it is applicable for the quarter of July-September 2024. SCSS account can be opened with a minimum deposit of Rs 1000. Investors can invest up to Rs 30 lakh in this account. Retired citizens above 55 years of age but below 60 years get three months time to open a SCSS account.

Sukanya Samriddhi Account Scheme

The interest rate applicable on Post Office’s Sukanya Samriddhi Account Scheme for July-September 2024 is 8.2 percent. The government last increased the interest rate from 8 percent to 8.2 percent in January this year. Interest on SSAC account is compounded annually.

Let us tell you that the government revises the interest available on post office schemes every three months. In the last two quarters, the government has not made any change in the interest rates of any post office scheme. In such a situation, people have a lot of expectations from the month of October which starts about 20 days from today.

Which scheme is getting the highest returns?