We Design Your Financial Destiny

(Precious) Words of Wisdom : "Rich people have small TVs and big libraries, and poor people have small libraries and big TVs." ~ Zig Ziglar

PO Small Savings Schemes Investors (Again) Happy

The Department of Economic Affairs, Ministry of Finance has announced the latest interest rates on the Post Office Small Savings Schemes for the period Jan to Mar 2020.

Contrary to a rate reduction that many were expecting, the Govt. has decided that such interest rates shall remain unchanged this quarter too, just like the previous quarter.

This has naturally made the investors in Small Savings Schemes very happy. They have already been suffering as the interest rates on Bank FDs have come down in recent months.

By now you would surely be aware that, as per the present policy, interest rates on Small Savings Schemes are reset periodically on a quarterly basis.

The decision to maintain the same interest rates as the last two quarters was notified vide Office Memorandum F.No.1/4/2019-NS dated Dec 31, 2019 on the subject 'Revision of interest rates for Small Savings Schemes'.

Accordingly, the interest rates on various Post Office Small Savings Schemes for the fourth quarter of the Financial Year 2019-20 — i.e. Jan 1st to Mar 31st, 2020 — are detailed below:


Public Provident Fund (PPF) : 7.9% p.a. [compounded annually]

5-year National Saving Certificate (NSC) : 7.9% p.a. [compounded annually]

Monthly Income Scheme : 7.6% p.a. [monthly compounding and paid out]

Senior Citizens Savings Scheme : 8.6% p.a. [quarterly compounding and paid out]

Time Deposits
1-year Deposit : 6.9% p.a.
2-year Deposit : 6.9% p.a.
3-year Deposit : 6.9% p.a.
5-year Deposit : 7.7% p.a.
(All on quarterly compounding basis)

5-year Recurring Deposit : 7.2% p.a. [compounded quarterly]

Kisan Vikas Patra : 7.6% p.a. [compounded annually] 
(The scheme will double your money in 9 years and 5 months)

Sukanya Samriddhi Scheme : 8.4% p.a. [compounded annually]

Savings Deposit : 4% p.a. [compounded annually]

Alternatives to Small Savings Schemes
- Why Debt Mutual Funds AND Which Debt Mutual Funds
- 7.75% RBI Savings (Taxable) Bonds

1. The revised interest rates apply only to the "new accounts" opened during the respective period (except PPF and Sukanya Samriddhi Scheme, where the new rate is applied on the outstanding account balance).

2. For the existing accounts under all other schemes, the contracted interest rate remains unchanged until maturity.

For Information: Interest rates for the previous three quarters
Post Office Small Savings Schemes Investors Happy 
Tiny Cut In Post Office Small Savings Schemes Interest
Latest Post Office Small Savings Schemes Interest Rates

An Investment In Knowledge Pays The Best Interest ~ Benjamin Franklin

101 Classic Tips Money Gyaan

You Learn A Lot By READING... And Even More By SHARING.

Share Button

Ignorance is like a SIGNED BLANK CHEQUE... anyone can MISUSE it.

Subscribe via Email
Powered by Blogger.

... Three VALUABLE Tips ...

1. There Are 'No' Best Mutual Funds For Investment
Best Mutual Funds
Have the 'right' perspective on your mutual fund investment.


2. Insurance Quiz To Make You A Smart Policy Buyer
Insurance quiz.
Insurance, quite surprisingly, can be extremely dangerous.


3. Don't Underestimate The Power Of Financial Literacy
Financial Literacy
Take your lessons in financial literacy very very seriously.