Rate of Interest on Government Saving Scheme from October 2020 to December 2020
The Government has announced that the rate of Interest in various instrument of small saving scheme like PPF, KVP, SCCS etc will be same as last quarter and there are no changes in the rate.
The finance ministry made this announcement via a circular dated September 30, 2020. As per the circular, the PPF will continue to earn 7.10 per cent and the Senior Citizen Savings Scheme (SCSS) will earn 7.40 per cent as before.
Similarly, post office time deposits will continue to fetch between 5.5 per cent and 6.7 per cent depending on the tenure of deposits.
This seems to be good news for all the depositors. The below mention rates will be valid till 31 December 2020.
|Instruments||Rate of interest from 01.01.2020 to 31.03.2020||Rate of interest from 01.04.2020 to 30.09.2020||Rate of interest from 01.10.2020 to 31.12.2020||Compounding frequency*|
|1 Year Time Deposit||6.9||5.5||5.5||Quarterly|
|2 Year Time Deposit||6.9||5.5||5.5||Quarterly|
|3 Year Time Deposit||6.9||5.5||5.5||Quarterly|
|5 Year Time Deposit||7.7||6.7||6.7||Quarterly|
|5 Year Recurring Deposit||7.2||5.8||5.8||Quarterly|
|Senior Citizen Savings Scheme||8.6||7.4||7.4||Quarterly and paid|
|Monthly Income Account||7.6||6.6||6.6||Monthly and paid|
|National Savings Certificate||7.9||6.8||6.8||Annually|
|Public Provident Fund Scheme||7.9||7.1||7.1||Annually|
|Kisan Vikas Patra||7.6 (will mature in 113 months)||6.9(will mature in 124 months)||6.9(will mature in 124 months)||Annually|
|Sukanya Samriddhi Account Scheme||8.4||7.6||7.6||Annually|