Post Office Saving Schemes Interest Rates Rise, Check Interest Rates Here

On September 29, 2020, the Indian government increased interest rates on a few small savings plans by up to 30 basis points. The hiked interest rate on small savings schemes will be applicable for the 3rd quarter, from October to December. However, not all small savings Schemes have seen a hike in interest rates from the government. For two and three years, the government has raised the interest rate on schemes including the Post Office Monthly Income Account, Kisan Vikas Patra, Senior Citizen Savings Scheme, and Time Deposit Account.

Since May, the Reserve Bank of India (RBI) has increased the benchmark lending rate 4 times by 140 basis points, causing banks and NBFCs also increase interest rates on deposits.

Interest Rate on SCSS, MIS, & KVP

The Senior Citizen Savings Plan (SCSS) will now earn an additional 20 basis points. For the 3rd Quarter, October to December, the SCSS interest rate has been raised to 7.6%. The previous interest rate on the scheme was 7.4%.

While the interest rate on the Post Office Monthly Income Scheme Account (MIS) has increased from 6.6% to 6.7%. The Kisan Vikas Patra (KVP) will now offer 7%, the previous rate was 6.9%.

Sl.No.	Instruments	Rate of interest w.e.f 01.07.2022 to 30.09.2022	Rate of interest w.e.f 01.10.2022 to 31.12.2022	Compounding Frequency*
1	Senior Citizen Savings Scheme​​	7.4%	7.6%	Quarterly and Paid
2	Monthly Income Account​​	6.6%	6.7%	Monthly and paid
3	Kisan Vikas Patra​​	6.9%	7%	Annually

Interest Rate for Post Office Time Deposit Account

The interest rate on the Post Office 2-year Time Deposit (TD) has increased from 5.5% to 5.7%. While, a three-year TD would now earn 5.8% instead of the previous 5.5%, an increase of 30 basis points for the third quarter of the current fiscal year.

Instruments	Rate of interest w.e.f 01.07.2022 to 30.09.2022	Rate of interest w.e.f 01.10.2022 to 31.12.2022	Compounding Frequency*
1 Year Time Deposit	5.5%	5.5%	Quarterly
2 Year Time Deposit​​	5.5%	5.7%	Quarterly
3 Year Time Deposit​​	5.5%	5.8%	Quarterly
5 Year Time Deposit	6.7	6.7	Quarterly

Interest Rate for Other Small Savings Schemes (Not Changed)

The interest rates for the Public Provident Fund (PPF), Sukanya Samriddhi Yojana (SSY), and National Savings Certificate have not changed in the meantime (NSC). Also, there has been no change to the interest rates for Post Office Savings Deposits, Post Office Recurring Deposits, and One Year TD & Five Year TD, The interest rates offered on these saving schemes are as follows:

Sl.No.	Instruments	Rate of interest w.e.f 01.10.2022 to 31.12.2022	Compounding Frequency*
1	Post Office Savings Account​​	4%	Annually
2	5 Year Recurring Deposit Scheme​​	5.8%	Quarterly
3	National Savings Certificate (VIII Issue)	6.8%	Annually
4	Public Provident Fund Scheme​​	7.1%	Annually
5	Sukanya Samriddhi Account Scheme​​	7.6%	Annually