Post Office Savings Schemes — Complete Guide 2026
Updated June 2026 · Rates verified for Q1 FY2026-27 (April–June 2026)
A complete guide to all Post Office Savings Schemes — verified interest rates, features, eligibility, tax benefits and how to open accounts at India Post.
⚠ Disclaimer: SpeedPostLive.com is an independent informational website. This page is for general guidance only and is not financial advice. Interest rates are reviewed quarterly by the Government of India. Always verify current rates at the official India Post website or your nearest post office before investing.
Quick Comparison — Popular Post Office Schemes
Highest Rate (General)
NSC
7.7% p.a.
Best for Seniors
SCSS
8.2% p.a.
Best Monthly Income
MIS
7.4% p.a.
Best Tax Saving
PPF
EEE Status
What Are Post Office Savings Schemes?
Post Office Savings Schemes are government-backed financial products offered by India Post. They are some of the safest investment options in India, known for:
Interest Rates — Q1 FY2026-27 (April–June 2026)
Rates are unchanged from previous quarter. Government reviews quarterly — rates may change from July 2026.
| Scheme | Interest Rate | Tenure |
|---|---|---|
| Savings Account | 4.0% p.a. | No lock-in |
| Recurring Deposit (RD) | 6.7% p.a. | 5 years |
| Time Deposit — 1 Year | 6.9% p.a. | 1 year |
| Time Deposit — 2 Year | 7.0% p.a. | 2 years |
| Time Deposit — 3 Year | 7.1% p.a. | 3 years |
| Time Deposit — 5 Year | 7.5% p.a. | 5 years |
| Monthly Income Scheme (MIS) | 7.4% p.a. | 5 years |
| National Savings Certificate (NSC) | 7.7% p.a. | 5 years |
| Kisan Vikas Patra (KVP) | 7.5% p.a. | ~115 months |
| Public Provident Fund (PPF) | 7.1% p.a. | 15 years |
| Senior Citizens Savings Scheme (SCSS) | 8.2% p.a. | 5 years |
| Sukanya Samriddhi Yojana (SSY) | 8.2% p.a. | Till girl turns 21 |
* Rates are for Q1 FY2026-27. PPF, SCSS, POMIS and RD rates may be revised from July 2026. NSC and TD rates are locked in at purchase. Always verify at indiapost.gov.in before investing.
Scheme-by-Scheme Guide
Public Provident Fund (PPF)
One of India's most popular long-term tax-saving schemes. Investment, interest earned and maturity amount are all fully tax-free (EEE status). Lock-in is 15 years but partial withdrawals and loans are allowed after specified periods.
- • 15-year lock-in (extendable in 5-year blocks)
- • Min ₹500/yr, Max ₹1.5 lakh/yr
- • Quarterly interest, credited annually
- • Loan allowed from Year 3, partial withdrawal from Year 7
- • Best for: Long-term wealth creation and tax saving
Monthly Income Scheme (MIS)
Provides guaranteed monthly interest income. Ideal for retirees and others seeking regular monthly income from a lump-sum investment.
- • 5-year tenure
- • Max investment: ₹9 lakh (single), ₹15 lakh (joint)
- • Interest paid monthly
- • Premature withdrawal allowed after 1 year (with penalty)
- • Best for: Retirees, monthly income seekers
Senior Citizens Savings Scheme (SCSS)
Offers the highest interest rate among all government schemes (for eligible investors). Exclusively for Indian residents aged 60 and above (or 55+ for retired government/defence employees).
- • 5-year tenure, extendable by 3 years
- • Max investment: ₹30 lakh
- • Quarterly interest payout
- • Only for residents aged 60+ (or 55+ for retired defence)
- • Best for: Senior citizens seeking high safe returns
National Savings Certificate (NSC)
Safe 5-year fixed investment. Interest is compounded annually and paid at maturity. Interest is taxable but is deemed reinvested each year, qualifying for 80C deduction annually.
- • 5-year fixed tenure
- • No maximum investment limit
- • Interest compounded annually, paid at maturity
- • Can be pledged as collateral with banks
- • Best for: Tax-saving investors, low-risk appetite
Recurring Deposit (RD)
Designed for disciplined monthly savings. Interest is compounded quarterly. A fixed amount is deposited every month for 5 years.
- • 5-year tenure
- • Min ₹100/month, no maximum
- • Quarterly compounding
- • Premature closure allowed after 3 years
- • Best for: Salaried individuals, monthly disciplined savers
Kisan Vikas Patra (KVP)
Doubles your invested money in approximately 115 months (9 years 7 months) at the current rate. No maximum limit. Premature withdrawal allowed after 2 years 6 months.
- • Doubles in ~115 months at 7.5%
- • No maximum investment limit
- • No tax benefit — interest is fully taxable
- • Premature withdrawal after 2 yr 6 months
- • Best for: Long-term capital growth without market risk
Sukanya Samriddhi Yojana (SSY)
Only for girl children below 10 years. Offers the highest interest rate (8.2%) with full EEE tax exemption. Account matures when the girl turns 21.
- • Opened for girl children below 10 years
- • Min ₹250/yr, Max ₹1.5 lakh/yr
- • Partial withdrawal for higher education allowed at 18
- • EEE tax status — fully tax-free
- • Best for: Parents saving for daughter's education/marriage
Which Post Office Scheme Is Best for You?
For Long-Term Wealth Creation
PPF is one of the most popular long-term options due to tax-free maturity and 15-year government backing.
For Monthly Income
MIS is designed for investors looking for regular monthly income from a lump-sum deposit.
For Senior Citizens
SCSS offers 8.2% — the highest rate available for general senior investors. Quarterly payouts provide predictable income.
For Tax Saving + Growth
NSC qualifies for 80C deduction and compounds annually for 5 years. PPF gives full EEE tax-free status for 15 years.
For Girl Child Savings
SSY offers 8.2% with full EEE status — the best government-backed scheme for parents saving for daughters.
For Safe Medium-Term Investment
Time Deposits (1–5 year) and NSC are suitable for predictable returns without market risk.
How to Open a Post Office Savings Scheme
🏤 Option 1 — Visit Post Office
Walk into any Head Office or Sub Office with your documents and fill out the account opening form at the savings counter.
💻 Option 2 — India Post Internet Banking
PPF, RD, MIS and other schemes can be opened and managed online through the India Post internet banking portal (ippbonline.com).
✅ Documents Required
Frequently Asked Questions
SCSS (Senior Citizen Savings Scheme) and SSY (Sukanya Samriddhi Yojana) both offer 8.2% p.a. — the highest among all post office schemes in Q1 FY2026-27. SCSS is for senior citizens aged 60+ and SSY is for girl children below 10 years. For general investors aged 18-59, NSC at 7.7% and KVP at 7.5% are the next-best rates.
The PPF interest rate remains 7.10% per annum for Q1 FY2026-27 (April-June 2026). It offers EEE tax status — investment, interest and maturity are all fully tax-free.
Post Office NSC at 7.7% is generally higher than most bank FD rates for the same 5-year tenure, and is 100% government backed. Additionally, NSC interest is deemed reinvested each year and qualifies for 80C deduction annually, which bank FD interest does not.
No. Post Office small savings schemes including PPF, NSC, KVP, SCSS and MIS are exclusively for resident Indians. NRIs cannot open new accounts in these schemes.
Visit your nearest post office with Aadhaar card, PAN card, a passport-size photograph and address proof. Some schemes like PPF and RD can also be opened online through India Post internet banking.
It depends on the scheme. NSC (5-year) and Post Office TD (time deposit) rates are locked in for the full tenure once invested. KVP rate is also fixed at purchase. However, PPF, SCSS, MIS and RD rates are revised quarterly by the Ministry of Finance.
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This guide is maintained by the SpeedPostLive Editorial Team. Interest rates shown are for Q1 FY2026-27 (April–June 2026) as verified from publicly available government and financial sources. Rates are reviewed quarterly by the Ministry of Finance and may change from July 2026. Always verify current rates at indiapost.gov.in before investing. SpeedPostLive is not a financial advisor. Last reviewed June 2026.