- Government amends rules on small savings schemes NSC, PPF
- Interest payable would be up to date of account closure, says government
- NRIs aren't allowed in instruments like NSC, PPF, Post Office deposits
The interest payable would be up to the date of the account closure, it said.
A separate notification on NSCs said that in case of a similar change of status of the certificate holder before the maturity period, "the certificate will be encashed, or deemed to be encashed on the day he becomes non-resident" and interest will be paid accordingly.
NRIs are not allowed in instruments like the National Savings Certificates, Public Provident Fund, Monthly Income Schemes and other time deposits offered by the Post Office.
Asked to comment in this regard, an investment consultant said that it is unclear why NRIs are not allowed to invest in Post Office schemes.
Last month, the government had retained the interest rate on Public Provident Fund for October-December unchanged at 7.8 per cent, in line with the rates for small savings schemes.