Dharamsala Ho Post Office

Post Office Time Deposit Account (TD), This type of accounts arrived in market with Government of India, notification, The National Savings Time Deposit Rules, 1981, and formally established the Time Deposit Account scheme. 
Salient features: 
Account Type: Single, Joint, Minor with guardian, self account minor above 10 years.
Number of Account: No limit, any number of account can be opened.
Deposits : Term variants of account available 1 year, 2 year, 3 year, 5 year.
Minimum Deposit Amount: Rs. 1000 and in multiple of Rs. 100. No maximum limit for investment.
Interest Payment:
Interest rates From 01.01.2024 to 31.03.2024
1yr.A/c    6.9%
2yr.A/c    7.0%
3yr.A/c    7.1%
5yr.A/c    7.5 %
Annual Payment but calculated quarterly, Credited interest will not add to capital for re compounding, to get interest on paid interest, account holder need to withdraw paid amount and reinvest in any financial instrument.
Facility is available to get interest credited to Savings account, one need to put an application for that.
Tax Benefit: Yes, under section 80C, but only 5year TD account.
Maturity: As per the term of Deposit, i.e. on expiry of one, two, three and five years of account opening.
Extension: if depositor want to enjoy the given interest rate at the time of purchase then one need to submit application form to TD extension form. The TD will be extend gain in same interest rate with same term period.
Extension application form should be submitted as following:
1 Year TD: six months before TD maturity
2 year TD: 12 months before maturity
3/5 year TD: 18 months before maturity
One can also open a TD with application of extension on same time.
One can apply for extension of TD even after maturity, however new interest rate, if changed shall be applicable.
Premature closure:
No earlier than six months of opening of account
Closing between six month and one year of opening of account will attract Post office Savings Savings interest rate
Closing after one year of account opening will attract a 2 % less than TD account interest rate.
Pledging Facility: A TD account may be pledged or transferred as security, by submitting prescribed application form at concerned Post Office supported with acceptance letter from the pledgee.
Transfer/pledging can be made to the following authorities.
   The President of India/Governor of the State.
   RBI/Scheduled Bank/Co-operative Society/Co-operative Bank.
   Corporation (public/private)/Govt. Company/Local Authority.
   Housing finance company

Duration: 15 year Public Provident Fund Account (PPF )
Interest Rate: 7.1 % per annum (compounded yearly).
Deposit: Minimum INR. 500/- Maximum INR. 1,50,000/- in a financial year.
Frequency of deposit: Deposits can be made in lump-sum or in ​instalments.
​Eligibility: any single adult, resident Indian
or a guardian on behalf of minor/ person of unsound mind
Limit: Only one account can be opened all across the country either in Post Office or any Bank.
Maximum limit of Rs. 1.50 lakh shall be inclusive of the deposits made in his/her own account and in the account opened on behalf of minor.
Tax Benefit: Yes, Under Section 80C
Minim Deposit: 500/- in a financial Year
Discontinued Account: If fails to achieve minimum deposit of 500/- in a financial year, the account will be discontinued. Discontinued account freezes and no withdrawal or loan facility available.
Revival of account: Discontinued account can be revived before maturity by paying minimum deposit amount of 500/- + 50/- (default fee) per default year.
Interest:- As per the notification of Ministry of Finance, credited to account at the end of financial year, Interest earned is tax free under Income Tax Act.
Loan: Can be availed after completion of one financial year, after opening of account (i.e. A/c open during 2021-22, loan can be taken in 2023-24) with conditions
Withdrawal: A subscriber can take 1 withdrawal during a financial after five years excluding year of account opening, with conditions.
Maturity: Account will be mature after 15 financial years excluding FY of account opening.
On maturity depositor has the following options:-
1. Can take maturity payment by submitting account closure form along with passbook at concerned Post Office
2. Can retain maturity value in his/her account further without deposit, the PPF interest rate will be applicable and payment can be taken any time or can take 1 withdrawal in each FY.
3. Can extend his/her account for further block of 5 years and so on (within one years of maturity) by submitting prescribed extension form at concerned Post Office.

5-Year Post Office Recurring Deposit Account (RD)
Interest rates: 6.7​ % per annum (quarterly compounded)
Minimum amount: 100/- per month
Maximum Amount: any amount in multiple of 10/-. No maximum limit.
Account Type: Individual, Joint Account, Guardian on behalf of Minor, Minor above 10 years
Number of Accounts: any number of accounts can be opened
Default: If subsequent deposit is not made up to the prescribed day for a month, a default is charged for each defaulted month, default @ 1 rupee shall be charged for 100 rupee denomination account (proportionate amount for other denomination) shall be charged.
If in any RD account, there is monthly default, the depositor has to first pay the defaulted monthly deposit with default fee and then pay the current month deposit.
After 4 regular defaults, the account becomes discontinued and can be revived within two months from 4th default, however, the account is not revived within this period, no further deposit can be made in such account and account became discontinued.
Advance deposit: If an RD account is not discontinued can made advance deposit up to 5 years in an account.
Rebate on advance deposit of at least 6 instalments (inclusive of month of deposit), for Rs. 100 denomination rebate Rs. 10 for 6 month , Rs. 40 for 12 month.
The advance deposit may be made at the time of opening of the account or any time thereafter.
Loan: After 12 instalments deposited and account is continued for 1 year not discontinued. depositor may avail loan facility up to 50% of the balance credit in the account.
Loan can be repaid in one lump-sum or in equal monthly installments.
Interest on loan will be applicable as 2% + RD interest rate applicable to the RD account.
Interest will be calculated from date of withdrawal to date of repayment.
In case loan is not repaid till the maturity, loan plus interest will be deducted from the maturity value of the RD account.
Premature Closure: RD Account can be closed prematurely after 3 years from the date of account opening by submitting prescribed application form at concerned Post Office.
PO Savings Account interest rate will be applicable if the account is closed prematurely even one day before maturity.
No premature closure of account shall be permissible until the period for which the advance deposits have been made.
Maturity: 5 years (60 monthly deposits) from the date of opening.
Extension: Account can be extended for further 5 years by giving application at concerned Post Office. Interest rate applicable during extension will be the interest rate at which account was originally opened.

Interest: 7​.4​ % per annum payable monthly.
Subscription amount: In multiples of INR 1000/-
Maximum Limit: Maximum investment limit is INR 9 lakh in single account and INR 15 lakh in joint account. An individual can invest maximum INR 9 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.
Account Type: Individual, Joint, Guardian on behalf of Minor, Minor above 10 years in his/her name.
Interest payment: Interest shall be payable on completion of a month from the date of opening and so on till maturity. If the interest payable every month is not claimed by the account holder such interest shall not earn any additional interest.
Interest can be drawn through auto credit into savings account standing at same post office, or ECS. 
Interest is taxable in the hand of depositor.
Pre-mature closure of account: No deposit shall be withdrawn before the expiry of 1 year from the date of deposit.
If account is closed after 1 year and before 3 year from the date of account opening, a deduction equal to 2% from the principal will be deducted and remaining amount will be paid.
If account closed after 3 year and before 5 year from the date of account opening, a deduction equal to 1% from the principal will be deducted and remaining amount will be paid.
Account can be prematurely closed by submitting prescribed application form with pass book at concerned Post Office.
Maturity: Account may be closed on expiry of 5 years from the date of opening by submitting prescribed application form with pass book at concerned Post Office.

Senior Citizen Savings Scheme (SCSS)
This scheme is ensuring social security for elderly well to do senior citizens since 2004. This scheme was first introduced by government of India to deliver it via post offices.
Interest Rate: 8.2 % per annum
Deposit : one time lump sum
Minimum Subscription amount: 1000/-
Maximum: in multiple of 1000/- up to 30 lakh.
Eligibility: 
a). any individual above 60 years of age.
b). any individual who was civilian staff, aged between 55 to 60 years, with a condition to invest the money in scheme within a month from receiving retirement benefit.
c). any individual who was defense staff, aged between 50 years to 60 years,  with a condition to invest the money in scheme within a month from receiving retirement benefit.
d). account can be individual or joint with spouse only, however capital amount will be attributed to first account holder only.
Income tax benefit: Yes, under section 80C
Interest payment: quarterly 31st March/1st April, 30th June/1st July, 30th September/1st October, 31st December/1st January. Payment will be transferred in post office savings account.
Tax: interest is Taxable at source, if it exceeds 50000/- in a financial year. To stop TDS one need to submit form 15 G/15H.
Premature closure: yes, Can be closed anytime on demand with conditions
a). If account closed prior of anniversary of account, no interest payable and paid interest any will be recovered.
b). If account closed after first anniversary but before second anniversary of account, 1.5% will be deducted from principal.
c). If account closed after second anniversary but before fifth anniversary of account, 1% will be deducted from principal.
d). after fifth year extended account can be closed without any extra charge, however account should compete 6th anniversary.
e). 5th anniversary of account is date of maturity, account holder need to submit either account closing application or application to extend it prior to date of anniversary.
d). after 5th anniversary account will be extended for set of three years, means one need to extend the account within the subsequent third anniversary of account.
e). spouse can continue the scheme after death of first account holder, whoever subject should be eligible for the scheme, without another account in his/her name.
d). after maturity account will pay savings account interest rate, however it can be extended within one year of maturity. Therefore one need to remember the maturity date, however one year is there for bad memory to gain get the benefit of scheme.

Note: For any other query please visit nearest post office or post comments in jomerchant for community discussion.

Sukanya Samriddhi Accounts can be opened in post office, this type of special account is covered under Government of India, Sukanya Samriddhi Yojna, that entitles special interest rate and features.
Interest Rate: 8.2% annual compounding
Minimum Deposit: 250/- per financial year
Maximum Deposit: 150000/- per financial year
Opening account: One account can be opened in a name of a girl child by any guardian of child
and maximum two accounts for two girls per family with exception of twins, triplet born.
Deposit period: maximum 15 years from date of opening of account
Penalty for not depositing minimum amount a year: if minium amount of 250/- not deposited in a year then account becomes defaulted account.

Revival:  defaulted account can be revived before completion of 15 years of account by paying 250/- + 50/- (penalty) per year unpaid
Income Tax benefit: 80C deduction can be availed for deposited amount.
Account operation: by the guardian till the girl child attains 18 years
Withdrawal:
  a. Withdrawal Condition 1: after girl child attains age of 18 or passed 10th standard.
withdrawal condition 2: up to 50% of balance available at the end of preceding F.Y.
withdrawal Condition 3: lump sum or in instalments, once a year, maximum upto five years, subject to the ceiling specified and subject to actual requirement of fee/other charges.
Premature closure: after 5 years of account opening on the following conditions : -
condition 1: death of account holder. (from date of death to date of payment PO Savings Account interest rate will be applicable).
Condition 2: On extreme compassionate grounds 
a). Life threatening decease of a/c holder.
b). Death of account operator guardian
Maturity and closure:
   Condition 1: completion of 21 years from the date of account opening.
   Condition 2: marriage of girl child after attaining age of 18years. (closure is allowed within 1 month or after 3 months from the date of marriage).
Note: For more and specific detail consult some competent authority either in post office or scheme offering bank. Or you may post your queries in jomerchant for community discussion.

Kisan Vikas Patra (KVP) is one of the available saving certificate scheme in India that one can subscribe from Post Office. It is more like fixed deposit scheme of any bank, however differs significantly due to its distinguished feature and authority of scheme.
It was first launched in 1988 in India then withdrawn in 2011 and again launched in 2014.
Interest Rate: 7.5% annual compounding
100 percent capital gain: money doubles in 9 year 7 month (115 Months)
Minimum face value: 1000/- and then unlimited on 100/- blocks

account type: single, minor, joint
Maturity Period: Ministry of Finance prescribed time frame at the time of purchase.
Transfer/Pledging facility: yes, with conditions
Premature: yes, with conditions

Post offices in India offering banking services since 1882, after establishment of The Post Office Savings Bank of India (POSB) in 1882.

earlier post office savings bank account passbook entry where manual with typical post office date stamping method what we used to see in postal stamp above our postal delivery envelops.

Now, it is modernised with e-passbook, m-passbook, printed passbook, online statements, Core banking Facilities, ATM card, chequebook etc.

Eligibility: accounts can be opened by visiting nearest post office, organisation offers almost all type of savings account - single, joint, minor, etc.
Minimum Deposit: 500/-
Interest: 4.0% per annum
Facilities: following facilities are available on demand – one need to fill a separate form to activate any of this services or facilities
(i)Cheque book
(ii)ATM Card
(iii)ebanking/mobile banking
(iv)Aadhaar Seeding
(v)Atal Pension Yojana (APY)
(vi)Pradhan Mantri Suraksha Bima Yojana (PMSBY)
(vii)Pradhan Mantri Jeevan Jeevan Jyoti Bima Yojana (PMJJBY)

This scheme is for the child who has lost both parents or legal guardian to COVID – 19. The scheme fixed a period of such incidence between 11.03.2020 to 31.12.2021 (extended till 28.02.2022 by MWCD).
Child should not have attained age of 18 years.
In such case, Joint Account Holder will be concerned District Magistrate, who shall act as the guardian for the purpose of operation of the account under the scheme.
Scheme guidelines: issued by the Ministry of Women and Child Development on PM CARES for Children Scheme, 2021.
Opening of Account: Account will be opened in the name of a beneficiary with concerned District Magistrate as joint account holder for an eligible beneficiary who has not attained the age of 18 years on the date of event.
Provided that a single account may be opened for a beneficiary who has turned 18 years or more on the date of opening of the account
Deposit: The upfront lump-sum contribution shall be made in the account. For the purposes of computation of lump-sum contribution from PM CARES Fund, age of eligible beneficiary shall be the number of completed years on the upcoming date of birth on the date of opening of account.
On attaining age of 18 years of beneficiary the said upfront lump-sum will become ₹ 10 lakh and the account converted in a single account of the beneficiary.
The beneficiary will earn interest applicable to Monthly Income Account Scheme on ₹ 10 lakh and beneficiary would get monthly stipend in her/his savings account till she/he attains 23 years of age.
The beneficiary would receive a sum of ₹ 10 lakh on attaining 23 years of age.