October 2024 Small Savings Schemes Interest Rates, Explore Benefits of Top 10 Government Schemes – News18

Last Updated:October 01, 2024, 16:29 IST

Check newest small financial savings schemes rates of interest and all options of ten government-backed schemes in India

Small Savings Schemes Interest Rates: Government financial savings plans give individuals a protected and dependable method to economize, serving to them and their households keep financially safe sooner or later. These plans often supply higher rates of interest than common financial savings accounts. By investing in varied small financial savings schemes, you may earn curiosity on deposits and develop your cash over time.

The finance ministry on September 30 reviewed the rates of interest on small financial savings schemes, together with public provident fund (PPF), National Savings Certificates (NSC) and Kisan Vikas Patra (KVP).

Small Savings Scheme Interest Rate October 2024

Here’s an inventory of ten government-backed schemes which might be availed from banks/submit places of work throughout the nation.

1. National Savings (Monthly Income Account) Scheme

• Minimum Rs 1000 within the multiples thereof. Maximum Rs 9 lakhs in a single account and Rs 15 lakhs in a joint account.
• The account matures in 5 years.
• A depositor might function multiple account beneath this scheme topic to the ceiling of the utmost quantity, which can be invested in a single, or joint account.
• The account might be closed prematurely after one yr however earlier than the expiry of three years on deduction of two% of the deposit. In case the account is closed after the expiry of three years, 1% of the deposit shall be deducted.
• National saving account rate of interest: (October 01 to December 31, 2024)- 7.4%

2. National Savings Time Deposit Account

• Four classes of Time Deposit Accounts can be found – 1 yr, 2 years, 3 years and 5 years
• Minimum deposit of Rs 1000 and thereafter within the multiples of Rs 100.
• No most deposit restrict.
• An account might be closed after six months. Where deposits within the account are withdrawn prematurely after six months however earlier than one yr, easy curiosity on the POSA fee shall be payable.
• Deposits in 5-year Time Deposit qualify for deduction u/s 80-C of Income Tax Act.
• Interest: (October 01 to December 31, 2024)- 6.90 (1 yr) 7 (2 years) 7.10 (3 years) and seven.5% (5 years).

3. Senior Citizens Savings Scheme

• Minimum deposit of Rs 1000 within the multiples thereof with a most deposit of Rs 30 lakhs.
• An particular person who has attained the age of 60 years or above on the date of opening of an account or a person who has attained the age of 55 years or extra however lower than 60 years and has retired beneath Superannuation, VRS, or Special VRS, can open an account.
• Retired personnel of Defence Services (excluding Civilian Defence Employees) might open an account upon attaining the age of fifty years topic to the fulfilment of different specified circumstances.
• A depositor might open an account individually or collectively with a partner.
• Interest shall be payable from the date of deposit to thirty first March/ thirtieth June/thirtieth September/thirty first December on 1st working day of April/July/October/January because the case could also be, within the first occasion and thereafter, curiosity shall be payable on 1st working day of April/July/October/January.
• The account might be closed after the expiry of 5 years from the date of opening of the account.
• The depositor might prolong the account for an additional interval of three years.
• Premature closure is permissible topic to sure circumstances.
• Deposits in SCSS qualify for deduction u/s 80-C of the Income Tax Act.
• Senior Citizens Savings Scheme Interest fee: (October 01 to December 31, 2024)- 8.20%

4. National Saving certificates (VIII problem)

• Minimum deposit Rs 1000/- and thereafter in a number of of Rs 100.
• Account matures in 5 years
• No most deposit restrict.
• A single-holder sort account could also be opened by an grownup for himself or on behalf of a minor.
• A single-holder sort account may additionally be opened by a minor on attaining the age of 10 years.
• Joint ‘A’ Type accounts could also be opened by as much as three adults payable to each the holders collectively or to the survivor.
• Joint ‘B’ Type accounts could also be opened by as much as three adults payable to both of the survivors.
• Loan facility accessible by pledging with the banks.
• Interest: (October 01 to December 31, 2024)- 7.7%.

5. Public Provident Fund Scheme

• The minimal deposit is Rs 500 and the utmost deposit is Rs 1,50,000 in a monetary yr.
• Loan facility is on the market from third monetary yr upto sixth monetary yr.
• Withdrawal is permissible yearly from the seventh monetary yr.
• Account matures on completion of fifteen full monetary years from the top of the yr through which the account was opened.
• After maturity, the account might be prolonged for any quantity for a block of 5 years with additional deposits.
• Account might be retained indefinitely with out additional deposit after maturity with the prevailing fee of curiosity.
• The quantity within the PPF account will not be topic to attachment beneath any order or decree of a courtroom of legislation.
• Deposit qualifies for deduction beneath Sec.80-C of I.T.Act.
• Interest earned within the account is free from Income Tax beneath Section -10 of I.T.Act.
• PPF rate of interest 2024-25: 7.1%

6. Sukanya Samriddhi Account

• Minimum deposit Rs 250 and most deposit Rs 1.5 lakhs in a monetary yr.
• The account might be opened within the identify of a lady youngster until she attains the age of 10 years.
• Only one account might be opened within the identify of a lady youngster.
• Accounts might be opened in submit places of work and authorised banks.
• Withdrawal shall be allowed for increased training of the account holder to fulfill training bills.
• The account might be prematurely closed in case of marriage of a lady youngster after she attains the age of 18 years.
• The account might be transferred wherever in India from one Post workplace/Bank to a different.
• The account shall mature on completion of a interval of 21 years from the date of opening of the account.
• Deposit qualifies for deduction beneath Sec.80-C of I.T.Act.
• Interest earned within the account is free from Income Tax beneath Section -10 of I.T.Act.
• Sukanya Samriddhi Account Interest fee October 01 to December 31, 2024: 8.20%

7. Mahila Samman Saving Certificate

Mahila Samman Saving Certificate scheme is a one-time new small financial savings scheme of the federal government of India introduced within the Budget 2023.

This gives a deposit facility upto Rs.2 lakh within the identify of ladies or ladies for a tenure of two years at a set rate of interest of seven.5% with a partial withdrawal choice.

8. Kisan Vikas Patra

• Minimum Rs 1000 and thereafter in multiples of Rs 100.
• No most deposit restrict.
• A single-holder sort account could also be opened by an grownup for himself or on behalf of a minor.
• A single-holder sort account may additionally be opened by a minor upon attaining the age of 10 years.
• Joint ‘A’ Type accounts could also be opened by as much as three adults payable to each the holders collectively or to the survivor.
• Joint ‘B’ Type accounts could also be opened by as much as three adults payable to both of the survivors.
• Accounts might be opened in submit places of work and authorised banks.
• Kisan Vikas Patra might be transferred from one particular person to a different and from one submit workplace to a different.
• Kisan Vikas Patra might be encashed after 2 and half years from the date of funding on the following charges.
• Money doubles on maturity.
• Interest fee: 7.5 % (115 months maturity)

9. Recurring Deposit Account Scheme

• In this scheme, a minimal of Rs 100 per 30 days might be deposited with no most restrict fastened.
• Advance deposits might be made on the choice of the depositor for six months or 12 months and earn a rebate.
• The scheme account matures in 5 years. Withdrawal to the extent of fifty% of the quantity of the present stability is permissible after one yr of the opening of the account.
• The account might be closed prematurely after 3 years with easy curiosity on the fee of a Post Office Savings Account (POSA).
• Currently, the speed of curiosity is 6.7% on 5 years of RD

10. Post Office Saving Account

• In this scheme, a minimal deposit of Rs 500 is required and there’s no most deposit restrict.
• An individual can open the account in his identify individually or collectively with an grownup particular person. The account might be opened on behalf of a minor.
• Also, a minor who has attained the age of 10 years might open the account independently.
• Interest within the account as much as Rs 10,000 qualifies for deduction from Income in a monetary yr beneath the Income Tax Act.
• The scheme is providing an rate of interest of 4%

The rates of interest for the present quarter October-December 2024 are as follows:

• Savings Deposit: 4%
• 1-Year Post Office Time Deposits: 6.9%
• 2-Year Post Office Time Deposits: 7.0%
• 3-Year Post Office Time Deposits: 7.1%
• 5-Year Post Office Time Deposits: 7.5%
• 5-Year Recurring Deposits: 6.7%
• National Saving Certificates (NSC): 7.7%
• Kisan Vikas Patra: 7.5% (will mature in 115 months)
• Public Provident Fund: 7.1%
• Sukanya Samriddhi Account: 8.2%
• Senior Citizens Savings Scheme: 8.2%
• Monthly Income Account: 7.4%

Disclaimer: The views and funding suggestions by specialists on this News18.com report are their very own and never these of the web site or its administration. Readers are suggested to verify with licensed specialists earlier than making any funding choices.