Small savings schemes, such as the 15-year Public Provident Fund (PPF), the Kisan Vikas Patra and the Monthly Income Scheme, currently provide annual returns to the tune of 4-7.6 per cent. These rates are applicable till December 31. The government currently provide nine small savings schemes including the Public Provident Fund, which comes with a maturity period of 15 years. The government reviews the interest rates applicable to these savings schemes on a quarterly basis.
Here's a comparison of the interest rates and other important features of these small savings schemes, in the third quarter of current financial year:
| Small Savings Scheme | Interest Rate | Minimum Amount Required For Opening Account |
|---|---|---|
| Post Office Savings Account | 4% | Rs 500 |
| 5-Year Post Office Recurring Deposit (RD) Account | 5.8% | Rs 100 per month |
| Post Office Time Deposit (TD) Account - One Year | 5.5% | Rs 1,000 |
| Post Office Time Deposit Account (TD) - Two Years | 5.5% | Rs 1,000 |
| Post Office Time Deposit Account (TD) - Three Years | 5.5% | Rs 1,000 |
| Post Office Time Deposit Account (TD) - Five Years | 6.7% | Rs 1,000 |
| Post Office Monthly Income Scheme Account (MIS) | 6.6% | Rs 1,000 |
| Senior Citizen Savings Scheme (SCSS) | 7.4% | Rs 1,000 |
| 15-Year Public Provident Fund Account (PPF) | 7.1% | Rs 500 |
| National Savings Certificates (NSC) | 6.8% | Rs 1,000 |
| Kisan Vikas Patra (KVP) | 6.9% | Rs 1,000 |
| Sukanya Samriddhi Account | 7.6% | Rs 250 |
| (Source: indiapost.gov.in) | ||
Of these schemes, the time deposit or term deposit scheme comes in four maturity options, ranging from one to five years.
