Post Office Interest Rates From October 2026: Check the Latest Rates of All Schemes

Savings Account 

• Interest Rate: 4.0% per annum.
• Deposit Limit: Minimum ₹500, Maximum no limit.
• Tax Benefit: Interest earned up to ₹10,000 is tax free u/s 80TTA for individuals and HUFs. Deduction up to ₹50,000 u/s 80TTB for resident senior citizen.

Time Deposit

• Tenure and Interest Rate: For 1 Year - 6.9%, 2 Years - 7.0%, 3 Years - 7.1% and 5 Years - 7.5%.    
• Deposit Limit: Minimum ₹1,000 per annum, Maximum no limit.
• Interest Calculation: Quarterly i.e. interest every three months.
• Interest Credit: Annually.
• Eligible For: Resident Indians.
• Tax Benefit: Deduction up to ₹1.5 lakh u/s 80C.
• Premature Withdrawal: Allowed subject to conditions.
• Extension: Allowed but up to 2 times must be applied within 6–18 months before maturity.

Recurring Deposit

• Interest Rate: 6.7% per annum.
• Deposit Limit: Minimum ₹100 per month, Maximum no limit.
• Tenure: 5 Years
• Loan Facility: Yes, available up to 50% of balance but after 12 months.
• Tax Benefit: There is no tax benefit u/s 80C, interest earned is fully taxable under the head "Income from Other Sources".

Monthly Income Scheme

• Interest Rate: 7.40% per annum.
• Tenure: 5 years (60 months)
• Deposit Limit: Minimum ₹1,000, maximum is ₹9 lakh for single account and ₹15 lakh joint account.    
• Interest Credited: Monthly.
• Eligible For: Resident Indians.
• Tax Benefit: Not available, interest earned is fully taxable.
• Premature Withdrawal: Allowed after 1 year but deduction applicable on deposit.

National Savings Certificate (NSC)

• Interest Rate: 7.70% per annum.
• Tenure: 5 years (60 months)
• Deposit Limit: Minimum ₹1,000, maximum no limit
• Interest: Compounded annually
• Eligible For: Resident Indians
• Tax Benefit: Up to ₹1.5 lakh u/s 80C
• Premature Withdrawal: Not allowed

Public Provident Fund (PPF)

• Interest Rate: 7.1% per annum.
• Tenure: 15 years
• Interest Credited: Compounded annually and credited on 31st March every year. Interest calculation is based on the lowest balance between the 5th and the last day of each month.
• Deposit limit: Minimum ₹500 and maximum ₹1.5 lakh per year.
• Tax Benefit: Up to ₹1.5 lakh under section 123 of Income Tax Act, 2025.
• Partial Withdrawal: Allowed from 6th financial year.
• Premature Closure: After 5 years, subject to conditions.
• Loan Facility: Available from 2nd to 6th financial year.

Kisan Vikas Patra (KVP)

• Interest Rate: 7.5% per annum.
• Deposit Limit: Minimum ₹1,000, maximum no limit.
• Interest: Compounded annually.
• Maturity: 115 months.
• Eligible for: Resident Indian individuals.
• Lock-in Period: 30 months (i.e., 2 years and 6 months).
• Tax Benefit: Not available, interest is fully taxable.

Sukanya Samriddhi Yojana

• Interest Rate: 8.2% per annum, compounded annually.
• Eligible for: Resident Indian girl child below 10 years.
• Deposit Limit: Minimum ₹250 per financial year and maximum ₹1.5 lakh per financial year.
• Tenue: 15 years.
• Maturity: 21 years from account opening.
• Accounts: Maximum 2 accounts per family, with exceptions for twins/triplets.
• Partial Withdrawal: Up to 50% can be withdrawn for higher education after Class 10 or after age 18.
• Tax Benefit: Section 80C deduction up to ₹1.5 lakh under the old tax regime.
• Interest & Maturity: Fully tax-free.

Senior Citizen Savings Scheme (SCSS)

• Interest Rate: 8.2% per annum.
• Deposit Limit: Minimum ₹1,000 and maximum ₹30 lakh per individual.
• Interest Credited: Quarterly (1st of April, July, October, January)
• Tenure: 5 years.
• Extension: Allowed in 3-year blocks.
• Tax Benefit: Investment eligible for deduction up to ₹1.5 lakh u/s 80C but interest earned is fully taxable under Income from Other Sources.
• Eligible for: Residents Indians aged above 60 years or above.

In Short

Investors should not choose a scheme solely as it offers the highest interest rate but you must also check investment tenure, liquidity, eligibility, taxation, premature withdrawal rules and financial goals as these are equally important.