6 Things To Know About Post Office Time Deposit Scheme

Outlook Money

Eligibility:

One can open an individual or a joint account with a maximum of three members. Children older than 10 years can also open an account under the supervision of an adult member.

Tenures:

Post Office Time Deposit accounts can be opened for one, two, three, and five years.

Deposit:

The minimum deposit amount is Rs 1,000, and further deposits can be made in multiples of Rs 100. There is no maximum limit.

Interest Payment:

Interest is payable annually; if not withdrawn, no additional interest is payable on that amount.

Premature Closure Up To One Year:

Premature account closure is not allowed before six months from the date of deposit. The interest is as per the savings account rate for account closures after six months but before a year.

Premature Closure After One Year:

If the account matures after a year but less than two years, the holder will receive a 2% reduced interest rate compared to the term deposit rate.

Compiled By Manas Malhotra