About this banking scheme
The objective of the National Savings Recurring Deposit (RD) scheme is to encourage people to save small amounts regularly every month and build savings with safe returns at 6.7% per annum.
The National Savings Recurring Deposit Account (RD) is operated by the Department of Posts, Ministry of Communications, Government of India. It offers an interest rate of 6.7% per annum. The minimum deposit is Rs. 100 per month or any amount in multiples of Rs. 10, and there is no maximum limit on deposits.
Deposit
- Minimum – Rs. 100 or any sum in multiple of Rs. 10.
- Maximum- No limit
- The first monthly deposit shall be made at the time of opening of the account and the amount of such deposit shall be the denomination of the account.
- Subsequent deposits equal to the first deposit shall be made up to the fifteenth day of each month, if account is opened before the sixteenth day of a calendar month; and up to the last working day of each month, if the account is opened between the sixteenth day and the last working day of a calendar month.
Advance deposit
- Individual can make advance deposit for any period up to 5 years.
- Rebate on advance deposit for an account of one hundred rupees denomination is as follows:
- If six or more deposits but not exceeding eleven deposits made in any calendar month: – Rs. 10/-
- o If twelve or more deposits made in any calendar month: – Rs. 40/- for every twelve deposits and Rs. 10/- for the balance, if any, of not less than six deposits
Benefits at a glance
| Scheme name | National Savings Recurring Deposit Account(RD) (NSRDARD) |
|---|---|
| Launched by | Ministry Of Communication |
| Department | Department of Posts |
| Benefit type | Cash (money paid to your bank account) |
| Category | Banking |
| Level / State | Central · All India |
| Official portal | indiapost.gov.in (link at the end of this page) |
Key facts
| Scheme type | Centrally Sponsored Scheme |
|---|---|
| Scheme for | Individual |
| Application mode | Offline |
| Last date | Ongoing (no last date notified) |
| DBT (direct bank transfer) | No |
| Age | 10+ years |
Who can apply (quick check)
- 👤All genders
- 🎂Age 10+ years
- 📝Offline
Quick check from official data. Full conditions are in the Eligibility section.
What you receive
- Encourages regular savings by allowing small monthly deposits starting from Rs. 100.
- Provides safe and guaranteed returns at 6.7% per annum with no maximum deposit limit.
Loan
- Depositor may avail loan facility up to 50% of the deposits made in the accounts after the account has been in operation for at least one year and twelve-monthly deposits have been made in the account
- Loan can be repaid in one lump-sum or in equal monthly instalments.
- Simple interest at the rate of 2% points over and above the interest rate applicable to the account of the loan shall be payable as per provisions given under the scheme rules.
- In case loan is not repaid till the closure of the account, outstanding amount due shall be recovered from the amount payable on closure of the account.
Who qualifies
- The applicant must be a resident citizen of India.
- The applicant can be a single adult.
- The applicant can be a guardian on behalf of a person of unsound mind (Authorised Account).
- The applicant can be a minor who has attained the age of 10 years.
- The applicant can open any number of accounts individually or jointly.
- Joint Account (up to three adults) (Joint A or Joint B)
a. Joint ‘A’ type, to be operated by all the depositors or the surviving depositors jointly.
b. Joint ‘B’ type, to be operated by any of the depositors or the surviving depositors separately
Note: Upon reaching the age of 18 years, account holders must submit a new Account Opening Form (AOF) and fresh KYC documents at their Post Office to convert their minor account into to an adult account.
Note: Accounts can also be opened through e-Banking or Mobile Banking facility. It is to be noted that Post Office Savings Account is a prerequisite for availing internet banking facility
Who is not eligible
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Papers to keep ready
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Registration walkthrough
Offline
Step 1: Visit the nearest Post Office and collect the Account Opening Form and KYC Form.
Step 2: Fill out the forms carefully and attach required documents (PAN, Aadhaar or valid ID proof, etc.).
Step 3: Submit the completed forms along with documents at the Post Office counter.
Step 4: Deposit the minimum amount (Rs. 500) through cheque.
Step 5: After verification, the account will be opened and details will be provided.
Frequently asked questions
What is a Recurring Deposit (RD) in Post Office?
It is a savings scheme where you deposit a fixed amount every month and earn guaranteed interest from the Government of India.
What is the current interest rate?
The RD account currently offers an interest rate of 6.7% per annum, compounded quarterly.
What is the minimum deposit amount?
The minimum monthly deposit is Rs. 100, or any amount in multiples of Rs. 10.
Is there any maximum limit for deposit?
No, there is no maximum limit, so you can invest as much as you want.
When do I need to deposit money each month?
If opened before 16th, deposit is due by 15th each month. If opened after 15th, deposit is due by the last working day of the month.
Can I deposit money in advance?
Yes, you can make advance deposits for up to 5 years with applicable rebate benefits.
Is there any loan facility available?
Yes, you can take a loan up to 50% of your deposited amount after one year of account operation.
What is the interest on RD loan?
Loan interest is 2% higher than the RD interest rate applicable.
Can I convert a minor account to a regular account?
Yes, after turning 18 years old, KYC and new forms must be submitted to convert it into an adult account.
Can RD account be opened online?
Yes, it can be opened via e-Banking or Mobile Banking, but a Post Office Savings Account is required first.
Submit your application yourself on the official portal; it costs nothing. Treat anyone demanding money to "get you approved" as a scam.
tsmpb.in is not affiliated with any government department. Apply only on the official portal and never pay anyone for an application.
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