Interest Rate of NSC, PPF, KYP, SSY, SCSS For 2023 (Revised on 01-04-2023), Interest rates on Government Savings Scheme applicable from 1st April 2023. Small savings rates hiked: PPF and NSC to give 8%, senior citizens to get 8.7% from 1st April 2023. Find out updated nsc interest rate for 2023, Sukanya Samridhi Yojana Interest Rate 2023, PPF Interest Rate, Kisan Vikas Patra Interest Rate, Senior Citizen Saving Scheme (SCSS) Interest Rate for 2023. Here we are providing All Govt. Small Saving Scheme’s Interest Rates for 2023. Govt. of India Officially Announced Interest Rates for Various Small Savings Schemes effected from 01-04-2023 (1st April 2023).
Ministry of Finance announced the interest rates for Various Post Office Schemes like Public Provident Fund (PPF), National Savings Certificate (NSC), Kisan Vikas Patra (KVP), Senior Citizen Savings Scheme (SCSS), Post Office Monthly Income Scheme (MIS) and for Sukanya Samriddhi scheme. These interest rates apply from 1st April 2023 to 30th June 2023. Now you can scroll down below and check Various “Interest Rate of NSC, PPF, KYP, SSY, SCSS For 2023”
Interest Rate of NSC, PPF, KYP, SSY, SCSS Revised on 01-04-2023
According to a circular issued by the Finance Ministry on 1st April 2023, the interest rates of various small saving schemes have been not changed and same as First quarter of 2023. On the basis of the decision of the Government, interest rates for small savings schemes are to be notified on quarterly basis. Accordingly, the rates of interest on various small savings schemes for the Third quarter of financial year 2022-23 starting on 1st April 2023, on the basis of the interest compounding/payment built-in the schemes, shall be as under:
Latest interest rate on PPF, Sukanya Samriddhi, other Post Office deposits: Interest rates on small savings scheme From 1st April 2023
- The government decides to change the interest rates before every quarter. According to the notification, the reduction in interest rates on National Savings Scheme, Kisan Vikas Patra and PPF has been reduced by 10 basis points.
- The interest rate on PPF will be reduced from 7.9% to 7.1%. Similarly, the 5-year National Savings Scheme will now get 7.9% interest.
- In the Sukanya Samrudhi scheme, 8.0% interest rate will be applicable instead of 8.4%. However, rates of postal savings have been retained 4%.
- Senior Citizen Savings Scheme: The senior citizens scheme will offer 8.2%, from the earlier 8.6%.
- NSC: National Savings Certificate will fetch 7.7% as compared to 7.9% earlier.
- To reduce the interest rates of small savings schemes to the banking sector, the government has reduced interest rates. RBI has reduced policy rates 3 times this year.
| S.No. | Instruments | Interest Rates | Compounding |
|---|---|---|---|
| 01. | Post Office Savings Account | 4.0 | Annually |
| 02. | 1 Year Time Deposit | 6.8 (Annual Interest ₹698 for ₹10,000/-) | Quarterly |
| 03. | 2 Year Time Deposit | 6.9 (Annual Interest ₹708 for ₹10,000/-) | Quarterly |
| 04. | 3 Year Time Deposit | 7.0 (Annual Interest ₹719 for ₹10,000/-) | Quarterly |
| 05. | 5 Year Time Deposit | 7.5 (Annual Interest ₹771 for ₹10,000/-) | Quarterly |
| 06. | 5 Year Recurring Deposit Scheme | 6.2 (Maturity Value ₹7,043 for ₹100/- Dn) (After Extension with Deposits 6 Years – ₹8,731/-, 7 Years – ₹10,526/-, 8 Years – ₹12,435/-, 9 Years – ₹14,465/- & 10 Years – ₹16,623/-) | Quarterly |
| 07. | Senior Citizen Savings Scheme | 8.2 (Quarterly Interest ₹205 for ₹10,000/-) | Quarterly and Paid |
| 08. | Monthly Income Account | 7.4 (Monthly Interest ₹62 for ₹10,000/-) | Monthly and paid |
| 09. | National Savings Certificate (VIII Issue) | 7.7 (Maturity Value ₹14,490 for ₹10,000/-) | Annually |
| 10. | Public Provident Fund Scheme | 7.1 | Annually |
| 11. | Kisan Vikas Patra | 7.5 (will mature in 115 months) | Annually |
| 12. | Mahila Samman Savings Certificate | 7.5 (Maturity Value ₹11,602 for ₹10,000/-) | Quarterly |
| 13. | Sukanya Samriddhi Account Scheme | 8.0 | Annually |
- *Kisan Vikas Patra (KVP) 7.50% (will mature in 112 months)
- All Above New Rates are affected from 01-04-2023
- These Interest Rates apply from 1st April 2023
- Source: Finance ministry website
The Post Office small savings scheme provides a secure, risk free and attractive investment option for the small investors and offers the savings products across its 155000 Post offices.
The Post Office savings bank is the oldest and by far the largest banking system in the country, serving the investment need of both urban and rural clientele. These services are offered as an agency service for the Ministry of Finance, Government of India. Several products on offer serve various investment requirements of the customers.
Post Office Time Deposit Account
* In CBS Post offices, when any TD account is matured, the same TD account will be automatically renewed for the period for which the account was initially opened e.g 2 Years TD account will be automatically renewed for 2 Years. Interest rate applicable on the day of maturity will be applied.
Interest payable annually but calculated quarterly.
From 1.04.2023, interest rates are as follows:-
| Period | Rate |
|---|---|
| 1 yr. A/c | 6.8% |
| 2 yr. A/c | 6.9% |
| 3 yr. A/c | 7.0% |
| 5 yr. A/c | 7.5% |
Deposit Amounts are as follows:-
| Type of Account | Minimum Deposit | Maximum Deposit |
|---|---|---|
| 1, 2, 3 & 5 Year TD | INR. 200/- and in multiples of INR. 200/- thereafter | No limit |
Post Office NSC VIII Issue
Benefits
- Scheme specially designed for Government employees, Businessmen and other salaried classes who are Income Tax assesses.
- No maximum limit for investment.
- No Tax deduction at source.
- Certificates can be kept as collateral security to get loan from banks.
- Trust and HUF cannot invest.
Buy National Savings Certificates (NSCs) every month for Five years – Re-invest on maturity and relax – On retirement it will fetch you monthly pension as the NSC matures.
- A single holder type certificate can be purchased by an adult for himself or on behalf of a minor or to a minor.
- Deposits qualify for tax rebate under Sec. 80C of IT Act.
- The interest accruing annually but deemed to be reinvested under Section 80C of IT Act.
*In case of NSC VIII and IX issue, transfer of certificates from one person to another can be done only once from date of issue to date of maturity.
*At the time of transfer of Certificates from one person to another, old certificates will not be discharged. Name of old holder shall be rounded and name of new holder shall be written on the old certificate and on the purchase application(in case of non CBS Post offices) under dated signatures of the authorized Postmaster along with his designation stamp and date stamp of Post office.
Interest Rates
- Rate of interest 7.7 %.
- Minimum of Rs. 1000/- and in multiples of Rs. 100/- No Maximum Limit
Post Office Monthly Income Scheme
Minimum Amount for opening of account and maximum balance that can be retained
- In multiples of INR 1500/-
- Maximum investment limit is INR 4.5 lakh in single account and INR 9 lakh in joint account
- An individual can invest maximum INR 4.5 lakh in MIS (including his share in joint accounts)
- For calculation of share of an individual in joint account, each joint holder have equal share in each joint account.
Salient features including Tax Rebate
- Account may be opened by individual.
- Account can be opened by cash/Cheque and in case of Cheque the date of realization of Cheque in Govt. account shall be date of opening of account.
- Nomination facility is available at the time of opening and also after opening of account.
- Account can be transferred from one post office to another.
- Any number of accounts can be opened in any post office subject to maximum investment limit by adding balance in all accounts.
- Account can be opened in the name of minor and a minor of 10 years and above age can open and operate the account.
- Joint account can be opened by two or three adults.
- All joint account holders have equal share in each joint account.
- Single account can be converted into Joint and Vice Versa.
- Minor after attaining majority has to apply for conversion of the account in his name.
- Maturity period is 5 years from 1.12.2011.
- Interest can be drawn through auto credit into savings account standing at same post office, through PDCs or ECS./In case of MIS accounts standing at CBS Post offices, monthly interest can be credited into savings account standing at any CBS Post offices.
- Can be prematurely en-cashed after one year but before 3 years at the discount of 2% of the deposit and after 3 years at the discount of 1% of the deposit. (Discount means deduction from the deposit.)
A bonus of 5% on principal amount is admissible on maturity in respect of MIS accounts opened on or after 8.12.07 and up to 30.11.2011. No bonus is payable on the deposits made on or after 1.12.2011.
Senior Citizen Savings Scheme (SCSS) Account
- 8.2 % per annum, payable from the date of deposit of 31st March/30th Sept/31st December in the first instance & thereafter, interest shall be payable on 31st March, 30th September, 30th Sept and 31st December.
- There shall be only one deposit in the account in multiple of INR.1000/- maximum not exceeding INR 15 lakh.
- Account can be opened by cash for the amount below INR 1 lakh and for INR 1 Lakh and above by cheque only.
- Premature closure is allowed after one year on deduction of an amount equal to1.5% of the deposit & after 2 years 1% of the deposit.
- TDS is deducted at source on interest if the interest amount is more than INR 10,000/- p.a.
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