This Article is From Mar 30, 2019

Investment In Small Savings Schemes To Fetch These Returns In April-June Quarter

Currently, the government revises the interest rates on small savings schemes on a quarterly basis.

Investment In Small Savings Schemes To Fetch These Returns In April-June Quarter

Investment in the nine small savings schemes earns interest at the rate of 4-8.7 per cent.

The government has kept interest rates of small savings schemes unchanged for the first quarter of the financial year 2019-20, starting from April 1, 2019 and ending on June 30, 2019 , tweeted Ministry of Finance on its official handle- @FinMinIndia. The rates of interest on saving schemes will continue to be same as notified for the fourth quarter of the financial year 2018-19, it said. Currently, the government revises the interest rates on small savings schemes on a quarterly basis. (Also read: How Senior Citizen Savings Scheme Compares With PPF)

Here's a comparison of the interest rate and investment limits applicable to these small savings schemes (including Public Provident Fund):

Small savings schemeInterest rateMinimum amount required for opening accountMaximum investment allowed
Savings account4%Rs 20
Five-year recurring deposit account7.30%Rs 10 per monthNo limit
One-year time deposit (fixed deposit) account7%Rs 200No limit
Two-year time deposit (fixed deposit) account7%Rs 200No limit
Three-year time deposit (fixed deposit) account7%Rs 200No limit
Five-year time deposit (fixed deposit) account7.80%Rs 200
Monthly income scheme7.70%Rs 1,500Rs 4.5 lakh
Senior citizen savings scheme (SCSS)8.70%Rs 1,000Rs 15 lakh
15-year public provident fund8%Rs 500Rs 1.5 lakh per financial year
National savings certificate (NSC)8%Rs 100No limit
Kisan Vikas Patra (KVP)7.70%Rs 1,000No limit
Sukanya Samriddhi8.50%Rs 1,000Rs 1.5 lakh per financial year


The finance ministry had in January this year raised interest rate on 1-year post office time deposits by 10 basis points (bps) for the January-March, 2019 quarter to 7 per cent. In September, government announced an increase of up to 0.4 per cent in interest rates applicable to small savings schemes for the October-December quarter.

.