Post Office deposits are considered to be a safe and secure mode of savings. A Post Office Savings Account is similar to a regular savings account.
Post Office accounts offer a specified return on investment and preferred by senior citizens and individuals who wants risk free investments. People in rural and semi-rural areas are the major beneficiaries of Post Office accounts.
How to open an account in a post office?
To open an account with Post Offices, that is Savings Bank(SB), Recurring Deposit(RD), Time Deposit(TD), Monthly Income Scheme(MIS) SB3, SB103 (pay-in-slip) and specimen signature slip for SB and TD are required. For senior citizen accounts, separate forms are to be used.
Different Post Office savings schemes
Following are the major savings schemes offered by Post Offices.
- Post Office Savings Account
- 5-Year Post Office Recurring Deposit Account (RD)
- Post Office Time Deposit Account (TD)
- Post Office Monthly Income Scheme Account (MIS)
- Senior Citizen Savings Scheme (SCSS)
- 15 year Public Provident Fund Account (PPF)
- National Savings Certificates (NSC)
- Kisan Vikas Patra (KVP)
- Sukanya Samriddhi Accounts
Benefits of Post Office savings account
These are the benefits of Post Office savings account:
- Account can be opened by cash only
- Cheque facility can be taken in an existing account also.
- Nomination facility is available at the time of opening and also after the opening of the account.
- The account can be transferred from one post office to another.
- One account can be opened in one post office
- The account can be opened in the name of the minor and a minor of 10 years and above age can open and operate the account.
- A joint account can be opened by two or three adults.
- At least one transaction of deposit or withdrawal in three financial years is necessary to keep the account active.
- A single account can be converted into Joint and Vice Versa.
- Minor after attaining majority has to apply for conversion of the account in his name.
- Deposits and withdrawals can be done through any electronic mode in CBS Post offices.
- Inter Post office transactions can be done between CBS post offices.
- ATM/Debit Cards can be issued to Savings Account holders( having prescribed minimum balance on the day of issue of the card) of CBS Post offices.