There is good news for senior citizens and common investors, the government on Friday increased the interest rates on Post Office Savings Scheme, National Savings Certificate (NSC), Senior Citizen Savings Scheme and Kisan Vikas Patra (KVP).
New Delhi: There is good news for senior citizens and common investors, the government on Friday increased the interest rates on Post Office Savings Scheme, National Savings Certificate (NSC), Senior Citizen Savings Scheme and Kisan Vikas Patra (KVP).
Know how much interest has been increased in government schemes?
According to a notification of the Finance Ministry, the rates of NSC, Senior Citizen Saving Scheme and KVP have been increased by up to 1.1 percent along with deposits up to 5 percent. The changed interest rates will be applicable from January 1, 2023 to March 31, 2023.
There is no change in the interest rates of these schemes.
However, interest rates for more popular savings instruments like PPF and Sukanya Samriddhi Yojana (SSY) have been kept unchanged at 7.1 per cent and 7.6 per cent, respectively, ie no changes have been made. This is the second consecutive quarter when interest rates have been increased for select schemes. Before October 1, 2022, there was no change in the interest rates of these schemes for nine consecutive quarters.
This much interest will be available on fixed deposits in post offices
Generally, the interest rates for small savings schemes are revised every quarter. The notification said- With the latest amendment, one-year fixed deposit in post offices will get 6.6 percent interest, two-year deposit will get 6.8 percent interest, three-year deposit will get 6.9 percent interest, while five The interest earned for the year will be 7 per cent.
This much interest will be available on Senior Citizen Saving Scheme
Senior Citizen Saving Scheme will get interest at the rate of 8 percent during the period January-March. For KVP, the government has increased the interest rates to 7.2 per cent, though on a shorter maturity period of 120 months. Currently, KVP has an interest rate of 7 per cent with a maturity period of 123 months. The monthly income plan will earn 40 basis points higher at 7.1 per cent, while the NSC interest rate has been raised by 20 basis points to 7 per cent.
Interest will continue to be earned on savings deposits at the rate of 4 percent per annum. The Reserve Bank of India has increased the repo rate five times since May this year, thus allowing banks to increase the interest rate on deposits.
