Post Office Small Saving Schemes Interest rates Jan – Mar 2020 | Q4 of FY 2019-20

The Reserve Bank of India (RBI) has recently released its fifth bi-monthly rate review of financial year 2019-20. Though the key interest rates have been kept unchanged, the RBI has been cutting the rates since February 2019.

There have been five consecutive rate cuts from RBI – in February, April, June & August of calendar year 2019. Also, the central bank has indicated that there is a possibility of further rate cuts in the near future. This signals a further downtrend in bank deposit and lending rates in India.

In view of the above, most of the banks and financial institutions have been reducing the interest rates on their deposits schemes, Bonds, NCD Public Issues etc.,

Contrary to some rate reduction that many were expecting, the Central Govt. has decided to keep ‘Post Office Small Saving Schemes Interest rates Jan – Mar 2020‘ unchanged.

GoI Notification on Latest Interest Rates of Small Savings Schemes (Q4 FY 2019-20)

The National Savings Schemes (NSSs) are one of the very popular saving schemes in India. These are regulated by the Ministry of Finance. They offer complete security of investment combined with attractive returns.

These schemes also act as instruments of financial inclusion especially in the geographically inaccessible areas due to their implementation primarily through the Post Offices, which have reach far and wide.

It is estimated that nearly $137 billion or over Rs. 9 lakh crore are tied up in small savings schemes.

Some of the very popular schemes which fall under NSS are as below;

  • PPF (Public Provident Fund)
  • Sukanya Samriddhi Scheme
  • Monthly Income Scheme (Monthly Income Account)
  • Senior Citizen Savings Scheme
  • KVP (Kisan Vikas Patra)
  • NSC (National Savings Certificate)
  • Time Deposits &
  • Recurring Deposits

Latest Post Office Small Saving Schemes Interest rates Jan – Mar 2020

The latest rates of interest applicable on various small savings schemes for the quarter from January to March 2020 effective from 1.1.2020 would be as below;

Latest Post office Small Saving Schemes Interest Rates Table (Jan – Mar 2020)

Latest Interest Rate on Sukanya Samriddhi Scheme, PPF, MIS, NSC

The latest rates of interest applicable on various small savings schemes for the last quarter from January to March 2020 effective from 1-1-2020 would be as below;

  • The latest interest rate on Sukanya Samriddhi Scheme (SSA ) is 8.4%.
  • The new rate of Interest on PPF (Public Provident Fund) would be 7.9%.
  • The interest rate on Senior Citizen Savings Scheme (SCSS) has been retained same at 8.6%.
  • New interest rate on Kisan Vikas Patra (KVP) would be 7.6%.
  • The rate of interest on 5 year National Savings Certificate (NSC) is 7.9%.
  • New interest rate on post office MIS (Monthly Income Scheme) is 7.6%.
  • The rate of interest on a 5 year Post Office RD (Recurring Deposit) would be 7.2%.

Kindly note that interest rates of Small Savings Schemes are now reviewed and reset (if any) on a quarterly basis.

The revised rates (if any) are applicable for all the new investments MADE during the respective period.

For the existing investments under all the schemes (EXCEPT PPF & SUKANYA SAMRIDDHI SCHEME), the contracted interest rate remains unchanged until maturity.

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(Post first published on : 31-Decemer-2019)

This post was last modified on July 12, 2023 4:35 pm

Sreekanth Reddy

Sreekanth is the Man behind ReLakhs.com. He is an Independent Certified Financial Planner (CFP), engaged in blogging & property consultancy for the last 14 years through his firm ReLakhs Financial Services . He is not associated with any Financial product / service provider. The main aim of his blog is to "help investors take informed financial decisions." "Please note that the views given in this Blog/Comments Section/Forum are clarifications meant for reference and guidance of the readers to explore further on the topics/queries raised and take informed decisions. The information provided, therefore, should not be viewed as financial, legal, accounting, tax or investment advice."

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  • Sir I have gifted a land to my through a lawyer's help. But now I find that there one check boundary
    Is typed as 26 instead of 28. The errors is found both in power of attorney and gift deed how to correct it. Property is in Bangalore.

    • Dear rsatyasekaran,
      To whom have you gifted the property?
      Any error detected after registration of the concerned sale deed / gift deed, can be rectified by the execution of a supplementary document called “Rectification Deed”. This is also known as a Confirmation Deed or Correction Deed.
      Kindly check with the concerned Sub-Registrar office..

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