Post Office RD accounts : Relaxations on deposits end this month

Relaxation End this month for 

• RD Deposits
• SSA Account Opening
• PPF/SCSS Extension
• Fee Collection for transferring account for the purpose of maturity

Post Office RD accounts have a maturity period of 5 years

• Post Office RD accounts currently offer interest rate of 5.8% per annum, quarterly compounded
• ​There is rebate on advance deposit of at least six installments

In view of the coronavirus lockdown restrictions, the subscribers of Post Office recurring deposit or RD accounts can deposit the instalment of four months - March, April, May and June - in their accounts till July 31. In addition no revival or default fee will be charged, India Post said.

Also read :Post Office Savings Account (Amendment) Scheme, 2023 : DoEA dtd 03-07-2023

"If the account is to be continued as per paragraph 7(2) of RD Scheme' 1981 or paragraph 6(2) of RD scheme, 2019 the same shall be done by the depositor till July 31st by submitting the pending monthly installments. In such cases no default fee shall be charged for the period of March, April, May and June 2020," India Post said.

India Post also said that the Post Office RD subscribers who could not deposit the advance instalments to get the benefit of rebate during the lockdown period can deposit the same up to 31st July. "The rebate admissible as per the scheme provisions will be available at the time of deposit of advance instalments," it said.

The popular post office RD accounts have maturity period of five years. Accounts can be extended for further five years by giving application at account office.

Also read :Maximize your earnings through invest in POSB Schemes - India Post

They currently offer interest rate of 5.8% per annum (quarterly compounded).

​There is rebate on advance deposit of at least six installments, Rs. 10 for 6 month and Rs. 40 for 12 months. Premature closure is allowed after three years from the date of opening of the account. Online Deposit facility is available through IPPB Saving Account.

In view of the lockdown restrictions, the government has also eased the time limit for Public Provident Fund or PPF investors who want to extend their account.

The government has announced some relaxation in the eligibility norms for opening of Sukanya Samriddhi accounts due to the coronavirus lockdown. According to the latest guidelines from the postal department, Sukanya Samriddhi account may be opened in the name of girl child on or before 31st July, 2020, who have attained the age of 10 years during the period of lockdown from 25th March, 2020, to 30th June, 2020.