India Post runs a family of small-savings schemes, from a basic savings account to fixed-return certificates, monthly-income options and long-term children's plans. They share government backing and rates the government sets and revises every quarter, but they differ sharply on tenure, tax benefit and how much you can hold. This page maps all of them and links to the detailed guide for each.
None of these are market products. The return is fixed and known, the risk to your capital is low, and the trade-off is that they are not built to outpace a strong market. Choosing between them is really about matching a scheme's shape to a specific goal.
What are the current post office interest rates?
The Ministry of Finance sets these rates every quarter. This table is drawn from the latest notification and is updated when the next one is issued.
| Scheme | Interest rate |
|---|---|
| Public Provident Fund (PPF) | 7.1% |
| Senior Citizens Savings Scheme (SCSS) | 8.2% |
| Sukanya Samriddhi Account (SSY) | 8.2% |
| National Savings Certificate (NSC VIII Issue) | 7.7% |
| Kisan Vikas Patra (KVP) | 7.5% |
| Post Office Monthly Income Scheme (POMIS) | 7.4% |
| Post Office Time Deposit – 1 year | 6.9% |
| Post Office Time Deposit – 2 years | 7.0% |
| Post Office Time Deposit – 3 years | 7.1% |
| Post Office Time Deposit – 5 years | 7.5% |
| Post Office Recurring Deposit – 5 years | 6.7% |
Source: Department of Economic Affairs, Ministry of Finance – small-savings notification archive (Q3 FY 2026-27 rates). Verified 2026-10-24.
For every small-savings rate on one dated page, with the effective quarter and the official notification linked, see the small-savings interest rates table.
What schemes does the post office offer?
Here is each scheme in one line. Rates are for the current quarter and are revised quarterly.
- Savings account: a basic account paying around 4%, with a small tax exemption on interest and no lock-in.
- Recurring Deposit (RD): a fixed monthly deposit for five years at 6.7%, for building a habit rather than parking a lump sum.
- Time Deposit (TD): a lump-sum deposit for one, two, three or five years, rate rising with tenure to 7.5% on the five-year, which alone qualifies for 80C.
- Monthly Income Scheme (POMIS): a five-year deposit at 7.4% that pays interest monthly, capped at ₹9 lakh single and ₹15 lakh joint.
- National Savings Certificate (NSC): a five-year certificate at 7.7%, interest compounded and paid at maturity, with an 80C benefit.
- Kisan Vikas Patra (KVP): a certificate at 7.5% that doubles your deposit in roughly 115 months, with no cap and no 80C.
- Senior Citizen Savings Scheme (SCSS): a five-year scheme for those 60 and above at 8.2%, paying quarterly, capped at ₹30 lakh, with 80C.
- Sukanya Samriddhi Yojana (SSY): a long-term scheme for a girl child under ten at 8.2%, tax-free at maturity, with 80C.
- Mahila Samman Savings Certificate: a two-year scheme for women at about 7.5%, now closed, its deposit window ended on 31 March 2025.
How do the post office schemes compare?
| Scheme | Tenure | Rate (current quarter) | 80C on deposit | Deposit cap |
|---|---|---|---|---|
| Savings account | Open-ended | ~4% | No | None |
| Recurring Deposit | 5 years | 6.7% | No | None |
| Time Deposit | 1–5 years | 6.9%–7.5% | 5-year only | None |
| POMIS | 5 years | 7.4% | No | ₹9L single / ₹15L joint |
| NSC | 5 years | 7.7% | Yes | None (80C up to ₹1.5L) |
| KVP | 115 months | 7.5% | No | None |
| SCSS | 5 years (+3) | 8.2% | Yes | ₹30 lakh |
| SSY | Until 21 yrs from opening | 8.2% | Yes | ₹1.5 lakh/year |
| Mahila Samman (closed) | 2 years | ~7.5% | No | ₹2 lakh |
Which post office schemes save tax?
Four of them offer a Section 80C deduction on the amount you deposit, up to the shared ₹1.5 lakh ceiling, and only under the old tax regime: the five-year time deposit, NSC, SCSS and SSY. The others give no deduction.
A separate point is how the interest is taxed. For most schemes it is taxable at your slab. SSY is the standout exception, both its interest and maturity are tax-free, which is a large part of its appeal for a girl child's long-term corpus. You can read the mechanics of the deduction itself in the Section 80C guide.
Which scheme fits which goal?
Rather than ranking them, it helps to match structure to purpose:
- For a fixed monthly income, the Post Office Monthly Income Scheme pays monthly, and for those over 60 the Senior Citizen Savings Scheme pays quarterly with an 80C benefit.
- For disciplined monthly saving, the Recurring Deposit builds a corpus a little at a time.
- For a fixed-term lump sum, the National Savings Certificate adds an 80C benefit, while Kisan Vikas Patra simply doubles the money with no cap.
- For a girl child's future, Sukanya Samriddhi Yojana locks in a long, tax-free horizon.
- For context on a scheme that has since closed, the Mahila Samman Savings Certificate explainer covers what it offered.
Senior citizens holding these schemes should also look at Section 80TTB, which deducts up to ₹50,000 of interest income under the old regime.
Related nyvo guides
- Section 80C: The ₹1.5 Lakh Deduction – the deduction that NSC, SCSS, SSY and the five-year TD all feed into, and its old-regime limit.
- Old vs New Tax Regime: How to Choose – whether the 80C benefit on these schemes is worth anything for you, since it exists only under the old regime.
- Post Office Monthly Income Scheme (POMIS) – the detailed guide to the monthly-income option, if steady payouts are the goal.
The post office menu is wide, but the logic is narrow: pick the scheme whose tenure, tax treatment and cap match the goal you have, and the fixed, government-backed return does the rest. Start from the goal, not the rate table.
