SMALL SAVING SCHEME: Important news for people investing in Government Small Savings Schemes! The government has decided not to make any change in the interest rates on these schemes for the July-September quarter.
This means that the interest rates that are currently being offered on schemes like PPF, Sukanya Samriddhi Yojana, Senior Citizen Savings Scheme, National Savings Certificate (NSC), Post Office Term Deposit (POTD), Mahila Samman Savings Certificate will be the same in the coming quarters as well.
Official Announcement by Government
The Ministry of Finance informed through a press release on 28 June 2024 that the interest rates on several government small savings schemes for the second quarter of the financial year 2024-25 will be kept the same as the rates notified for the first quarter of the financial year 2024-25.
Current Interest Rates on Government Schemes
Savings Account – 4%
1 year time deposit – 6.9%
2-year time deposit – 7%
3-year time deposit – 7.1%
5 year time deposit – 7.5%
5 year RD – 6.7%
Senior Citizen Savings Scheme (SCSS) – 8.2%
Monthly Income Account Scheme (MIS) – 7.4%
National Savings Certificate (NSC) – 7.7%
Public Provident Fund – PPF – 7.1%
Kisan Vikas Patra (KVP) – 7.5%
Sukanya Samriddhi Yojana – 8.2%
Interest rates were changed in the last quarter
It is worth noting that the Ministry of Finance changes these small savings schemes every three months. Changes the interest rates on savings schemes.
A methodology was proposed by the Shyamala Gopinath Committee to determine these rates. The central government last increased the interest rates on some small savings schemes in the December quarter.
However, except for the interest rate on RD, there has been no change in the rates of all other schemes. At the same time, the interest rate on the Jan Vidyalaya Account (PPF) has remained at 7.1 percent since the April-June 2020 quarter.
