Post Office Time Deposit Scheme is a financial savings scheme of the Government of India. It is also known as National Savings Time Deposit Scheme. Investments can be made for different periods under this scheme. It offers attractive interest rates as compared to regular savings bank accounts. You can earn good profits in this scheme. This scheme is beneficial for those people who want better interest along with safe investment.
Interest rates of the scheme
| Account Tenure | Applicable interest rate |
| 1 Year Account | 6.9% |
| 2 year account | 7% |
| 3 year account | 7.1% |
| 5 year account | 7.5% |
Benefits of the scheme
- This scheme provides guaranteed returns.
- The five-year time deposit becomes eligible for tax deduction under Section 80C.
- Even the age of minor can be ten and above.
- Nomination facility is available.
- In this scheme, children, youth and elderly all can take advantage of this scheme.
Key features of the scheme
- You can invest under this scheme for up to five years.
- This post office scheme assures returns on the investment of the account holder.
- Time Deposit Account can be easily transferred from one post office to another.
- Time deposit accounts can be held either individually or jointly only.
- The tenure of the Time Deposit Account can be extended on maturity.
- If the matured account proceeds are not withdrawn, the account gets automatically renewed for the original deposit period at interest rates applicable on the date of maturity.
Eligibility Criteria of the Scheme
This is a joint account for families. Maximum three adults can join it. Guardians can open an account representing minors or persons of unsound mind. Minors above the age of ten can also open an account in their own name.
Documents required for the scheme
- Account opening form.
- KYC Form (for new customer / for modification in KYC details).
- PAN card.
- Aadhaar Card, if Aadhaar is not provided and other documents can be provided.
- Passport
- Driving License
- Voter ID Card
- Proof of Date of Birth / Birth Certificate in case of minor account
Letter issued by the National Population Register containing the name and address details .
How to apply online
- Visit India Post e-Banking website.
- Log in using your registered user ID and enter the captcha code.
- Click on the General Services tab under Service Request option.
- Follow the on-screen instructions to open a Post Office Term Deposit Account.
How to apply offline
- Visit your nearest post office.
- You can get the form from there and fill it by filling all the information asked in it. You can take the help of the postal officer to fill the application form.
- An initial contribution amount of Rs 1,000 has to be deposited