1. Certificate of Posting: A certificate of posting is given as an assurance that letters and other articles entrusted to servants or messengers for posting have actually been posted. India Post charges a nominal fee of Rs 3 for three articles or less, for this service.
2. Recall of Articles: During the course of transmission a sender could request the recall of postal article or ask to deliver it to another addressee, provided the following conditions are met. (a) It has not been delivered to the addressee. (b) It has not been confiscated or destroyed by the competent authorities of the country in which the article may be for the time being. (c) It has not been seized by virtue of any law of the country of destination.
3. Poste Restante: It is intended to cater to postal communication needs of travellers. All articles superscribed C/O POSTMASTER or in any other similar way are called poste restante articles. A poste restante article has to be collected by the addressee from the Post Office.
4. Post Box: Customers may get their mail at the post office through Post Boxes which are rented out by the post office. Only fully prepaid articles except parcels are delivered through post boxes. The customer has to pay prescribed rent and a deposit. The customer will be supplied with a Delivery Ticket which should be produced by the customer/his agent when demanded.
5. Post Bag: This system is available in all delivery post offices. In this system a bag with a lock and keys in duplicate are to be supplied by the customer. All fully prepaid unregistered articles addressed to the customer will be placed inside the bag and handed over to the customer during the business hours prescribed for window delivery.
6. Identification Cards: Post office issues Identity cards for the benefit of travellers, tourists and other customers. The card contains photograph of the holder, his signature and full description. The validity period is three years. 7. Business Reply Service: A person who wishes to get reply from his client can use this facility on payment of prescribed fees. Such cards, envelopes can be posted by the client without any postage.
8. Articles Prohibited from Transmission by Post
A) Anything injurious.
1. explosive, dangerous, filthy, noxious or deleterious substance.
2. any sharp instrument not protected.
3. any living creature which is either noxious or likely to injure postal articles or postal officer in course of transmission by post.
B) Tickets, proposals etc relating to unauthorized lotteries (does not include lottery organized or authorized by government.)
C) Anything indecent.
9. Articles which can be registered:
1. Letters.
2. Letter Cards.
3. Book and Pattern Packets.
4. Blind Literature Packets.
5. Parcels / newspapers prepaid with postage at newspaper rates of postage.
10. Articles for which Registration is compulsory
1. Are not delivered through post box or post bag.
2. Any insured article.
3. Any article containing valuables such as cheque, bills of exchange etc.
4. Any article bearing the word “registered”.
5. Any Value Payable article.
11. Infringement of Conditions
1. General Unpaid/ Insufficiently Paid Articles
A) Are not delivered through post box or post bag.
B) Are not included for dispatch during late fee hours.
C) Can be delivered at window of the post office if the addressee calls at the post office for taking delivery.
D) If there is any postage due on registered articles they are not entered in the special delivery list.
E) If addressee refuses to take delivery of the article, it is returned to the sender and the sender has to pay the taxed amount.
F) In respect of all unpaid/ insufficiently paid articles, double the postage/ double the deficiency of postage subject to minimum of Re1/- will be collected.
2. Post Cards A. Post card will be treated as letter and the difference will be collected in the following cases: 1) Any private communication appears on the address portion of the postcard. 2) If the post card is cut/altered/folded.
3) Nothing may be attached to post card except: a) Stamps in payment of postage or other postal fees or stamp duty. b) A label pasted to the card, bearing the name and address of the sender. c) Engravings, illustrations, drawings and photographs on very thin paper and completely adherent to the card. B) Double the deficiency of postage will be collected in the following cases. 1. Any stamps other than postage stamps are affixed. 2. A post card once delivered, is reposted for redirection in a letter box at a different post town.
3. Inland Letter Card Inland Letter Card will be treated as a letter and double the deficiency will be collected in the following cases:
1. If a private inland letter card weighs more than five grams.
2. If there are any enclosures.
3. The words “Inland Letter Card” is not printed on the outside at the top left hand corner on the address side of every folded letter of private manufacture.
4. Book Packet A. If the book packet is more than the size and weight prescribed it shall be returned to sender after cancelling the postage stamps if any. B. If any private communication is enclosed or the envelope is closed, the book packet will be treated as letter or parcel whichever is less and single deficiency will be collected.
5. Book Packet Containing Printed Books and Periodicals
A. If the book packet is more than the size and weight prescribed, it shall be returned to sender after cancelling the postage stamps if any. B. If the book packet contains any private communication or envelope it will be treated as letter or parcel whichever is less and single deficiency will be collected.
6. Pattern and Sample Packets 1. If the article is more than the size and weight prescribed, it shall be returned to sender after cancelling the postage stamps if any. 2. If found to contain anything not permitted in rules, it will be charged on delivery; with letter or parcel postage whichever may be less.
7. Registered Newspapers The article will be treated as a Book Packet or Book Packet containing periodicals.
8. Blind Literature Packets The article will be treated as a letter or parcel, whichever is less, and it will be charged.
9. Parcels a. Prepayment of postage is compulsory. b. If more than one communication is enclosed in a parcel, each of those communications will be treated as unpaid letter and double the amount of postage will be collected c. Unregistered parcels posted in letter boxes will be compulsorily registered. If the parcel is refused by the addressee, the article will be delivered to the sender and registration charge will be collected
MONTHLY INCOME SCHEME HIGHLIGHTS OF THE SCHEME
1. WHO CAN OPEN THE MIS ACCOUNT
An Individual can open this account
A. On his own name.
B. With other one or two individuals jointly.
C. Guardian On behalf of minor.
D. A minor who have completed the age of 10 years.
2. Amount of Deposit.
A. Account can be opened with minimum of Rs 1500/- or in multiple of Rs 1500/-
B. Maximum amount of Deposit in single account is Rs 4,50,000/- and Rs 9,00,000/- in joint account.
C. A declaration regarding non deposit of excess amount in MIS Accounts is necessary.
3. Maturity period of account.
A. Maturity period of account is 6 years.
4. Premature closer of Account.
A. Account can be closed after expiry of one year. Subject to following condition.
1. 2% of Deposit amount will be deducted from principal if an account closed after one year but before expiry of three years.
2. 1% of Deposit amount will be deducted from principal if an account closed after expiry of three years.
3. If account to be closed prematurely due to death of Depositor there will be no deduction from principal amount.
5. INTEREST
A. Rate of interest is 8%.
B. Interest is payable on the monthly basis.
C. First monthly interest is payable on the date of deposit in next month.
D. If the due date of interest is a Sunday or holiday interest is payable on previous day.
E. Monthly Interest can be credited to the Savings Bank account if applied.
6. BONUS
1. Bonus is payable after expiry of 6 years from the date of deposit @10% of deposit for accounts opened before
11-02-06 and @5% of deposit for accounts opened on or after 08-12-2007. No bonus is payable for accounts opened during 12-02-06 to 07-12-2007.
7. Post maturity interest.
Post maturity is payable on maturity amount @ Post Office Savings Bank interest rate for maximum of 24 months.
SENIOR CITIZEN SAVINGS SCHEME WHO CAN OPEN THE SCSS ACCOUNT?
1. An individual
A) Who attained the age of 60 years or above on the date of opening the account.
B) Who has attained the age of 55 years or more but less than 60 years and who has retired under a voluntary retirement scheme or a Special voluntary retirement scheme on the date of opening the account, Subject to before three months from the date of retirement?
2. OPENING OF ACCOUNT
a) Any depositor may open an account at any deposit office by making an application in form ‘A’ along with pay in slip in form ‘D’ duly filled in along with age proof.
b) Depositor may operate more than one account under this scheme subject to the amount of deposit shall not exceed the maximum limit of Rs 15,000,00/-
d) Provided that more than one account shall not be opened in the same deposit office during a calendar month. e) The depositor may open an account in individual capacity of jointly with spouse.
3. Deposit and withdrawal.
A. There shall be any one deposit in the account in multiple of one thousand rupees and not exceeding Rs 15,000,00/-
B. There will be no withdrawal before the expiry of a period of 5 years
C. Depositor can extend the account for further 3 years by making an application in from ‘B’
4. MODE OF DEPOSIT
A. In cash if the deposit is less than one lakh.
B. By cheque or D.D. drawn in favor of Deposit office or in the favor of Depositor and endorsed in favor of Deposit Office.
C. The date of realization will be the date of Deposit.
D. The collection charges of outstation cheques should be paid by the Depositor.
5. NOMINATION
A. The Depositor may at the time of opening the account nominate a person who at event of death of Depositor will be entitled for payment due.
B. If the nomination is not made at the time of opening the Depositor can make by application in form ‘C’
C. Cancellation, variation of Nomination can make by fill in the form ‘C’
D. Nomination facility shall be available in case of joint account also. In such case the joint holder will be the first person entitled to receive the amount payable in the event of death of Depositor.
E. In the case of joint account or where the sole nominee is the spouse the spouse may continue the account.
F. In the case of joint account or where the sole nominee is the spouse the spouse shall also eligible to make or vary the earlier nomination.
6. INTEREST
A. Rate of interest will be 9%
B. Interest will be payable from the date of deposit to 31st March,31st June, 30th September, 31st December and thereafter interest shall be payable on to 31st March,31st June, 30th September, 31st December.
C. Interest shall be payable on previous day if due date is payable on Holiday or Sunday.
D. If so authorized interest payable on due dates shall be credited to Depositor’s Savings Bank Account in the deposit office.
E. If the interest payable every quarters not claimed by Depositor, Such interest shall not earned additional interest.
F. In the case of an account continued after maturity the deposit in such account shall earn interest at the rate applicable to the new account opened or to be opened under t6e provisions of these rules on the rate of maturity.
G. Post maturity interest payable at the Savings Bank rate up to the end of the month proceeding the month of closer of the account.
7. CLOSER OF ACCOUNT
1. Depositor may close the account after 5 years on production of passbook and written application in form ‘E’
2. In the case of non closer of the account after maturity by the Depositor or not applied for extension the account will be treated as matured.
3. In the case of death of Depositor the nominee or heir of the Depositor can close the account by application in form ‘F’
9. PREMATURE CLOSER OF ACCOUNT
1. Account can be closed after expiry of one year from the date of opening the account subject to following conditions.
A. If the account closed after one year but before expiry of two years 1.5 % amount will be deducted from the amount of deposit.
B. If the account closed after expiry of two years but before expiry of five years the deduction of 1 % will be made.
2. If the depositor availing the facility of extension of account may be permitted to withdraw the deposit and close the account ant any time after expiry of one year of extension without deduction.
10. ISSUE OF DUPLICATE PASSBOOK
1. In the case of lost, mutilated or damage of passbook the duplicate passbook will be issued on payment of Rs 10/- for first issue of duplicate passbook,
2. At second time of issue of duplicate passbook the fee will be Rs 20/- for all subsequent instance.
3. For issue of duplicate passbook application on plain paper is necessary.
11. UPDATING OF PASSBOOK.
1. The passbook should be presented at Deposit office for updating at least once in a year where auto transfer of quarterly interest is applied.
2. The passbook must accompany with withdrawal of interest.
12. TRANSFER OF ACCOUNT ONE OFFICE TO ANOTHER
1. A Depositor may apply on Form ‘G’ enclosing the passbook there to, for transfer of his account from one office to another in case change of residence.
2. Provided that where the deposit is Rs One Lakh or above a transfer fee of Rs 5/- per One Lakh of deposit shall be payable for first transfer.
3. For second and subsequent transfer the fee will be Rs 10/- per one lakh.
13. DEPOSIT BY NON RESIDENT INDIANS AND HINDU UNDIVIDED FAMILIES.
1. N R I are not eligible to open an account in this scheme provided that if a depositor opened an account and the n he become a NRI he may continue the account up to 5 years
2. But he cannot extend the account.
3. HUF is not eligible to open the account under this scheme.
Formula for calculation of broken days period interest of SCSS account
Amount of Deposit x No of days x 9 (Rate of Interest)
--------------------------------------------------------------------------
No of days in year x 100
Interest for broken period should be paid after deduction of Discount in case of Premature closer
IMPORTANT CHANGE IN POST OFFICE SAVINGS BANK
SANCTIONING LIMIT OF WITHDRAWALS BY S. B. P/A AT INSTANT COUNTER AND BRANCH POSTMASTERS IS NOW RS 5000/-
THE PUBLIC PROVIDENT FUND SCHEME, 1968 1 GSR 1136:-
1n exercise of the powers conferred by Section 3 of the Public Provident Fund Ac1t, 1968(23 of 1968), the Central Government hereby makes the following scheme, namely:- 1. Short title and commencement: - 1) This scheme may be called the Public Provident fund Scheme, 1968. 2) It shall come into force on 1st July 1968. 2. Definitions:- In this Scheme, unless the context otherwise requires:- (a) 'Account' means a Public Provident Fund Account under this scheme. (b) 'Accounts Office' means an office or branch of the State Bank of India, any subsidiary bank of the State Bank of India (excluding a pay office, a sub pay-office or any other office managed by single office or clerk) and any other office authorised by the Central Government to receive subscriptions under the Scheme; (c) 'Accounts Officer' means the person who for the time being is Incharge of an Accounts Office. (d) 'Act' means the Public Provident Fund Act, 1968 (23 of 1968) (e) 'Form' means a form appended to this scheme; (ee) 'Guardian' in relation to a minor, means:- (i) Father or mother; and (ii) Where neither parent is alive, or where the only living parent is incapable of acting, a person entitled under the law for the time being in force to have care of the property of minor; (f)'Year' means the financial year (1st April to 31st March)
3. Limit of subscription: - (1)Any individual may, on his own behalf or on behalf of a minor of whom he is the guardian, subscribe to the Public Provident Fund (thereafter referred to as the Fund) any amount not less than Rs. 500/- and not more than Rs. 70,000/- in a year. Note:- The existing accounts opened by HUF and an association of persons or a body of individuals consisting in either case, only of husband and wife governed by the system of community of property in the State of Goa and the Union Territories of Dadra and Nagar Haveli and Daman and Diu before 13.5.2005 will continue till maturity and will not be extended further. No interest will be paid period after the date of maturity. The deposits/withdrawals in/from these accounts shall be allowed to be made in accordance with the said rules. Any such accounts opened on or after 13.5.2005 shall be treated as void ab-initio and immediate action should be taken to close such accounts and refund the deposits without any interest to the subscribers. Such accounts once closed cannot be opened again w.e.f. 13.5.2005. 3) Non-Resident Indians are not eligible to open an account under the Public Provident Provided that if a resident, who subsequently becomes Non Resident Indian during the currency of the maturity period prescribed under Public Provident Fund Scheme, may continue to subscribe to the Fund till its maturity on a Non Repatriation Basis.
4. Manner of making the subscription:- (1) Every individual desirous of subscribing to Fund under the Scheme for the first time either on his own behalf or on behalf of a minor of whom he is the guardian shall apply to the Accounts Office in Form A, or as near thereto as possible, together with the amount of initial subscription which shall be in integral multiples of Rs.5/-
(2) On receipt of an application under sub-paragraph (1), the Accounts Office shall open an account in the name of the subscriber and issue a passbook to him , where in all amount of deposit/withdrawals, loans and repayment thereof together with interest due shall be entered over the signature of the Accounts Officer with the date stamp. (3)The subscriber shall deposit his subscription with the Accounts Office with chalan in Form B, or as near there to as possible. The counterfoil of the challan shall be returned to the depositor by the Accounts Office, duly evidenced by receipt. In the case of deposits made by cheque or draft or pay order, the Accounts Office may issue a paper token to the depositor pending realization of the proceeds. (4) Every subscription shall be made in cash or crossed cheque or draft or pay order in favour of the Accounts Office at the place at which that office is situated. (5)Where a deposit is made by means of an outstation cheque or instrument collection charges at the prescribed rate shall be payable along with the deposit and the date of realization of the amount shall be the date of deposit. 5. Number of subscription:- The subscription, which shall be in multiples of Rs5/-may for any year, be paid in to the account in one lump sum or installments not exceeding twelve in a year.
6. Transfer of Account: - A subscriber may apply for transfer of his account from "Accounts Office” to another "Accounts Office".
7. Issue of duplicate passbook, etc: - (1) In the event of loss or destruction of a passbook issued by an Accounts Office, the Accounts Office may, on an application made to it in this behalf and on payment of rupee one by the subscriber, issue a duplicate thereof to him.
(2) Condition of default:- A subscriber who fails to subscribe in an year according to the limits specified in paragraph 3, may approach the Accounts Office for condonation of the default, onpayment, for each year of default, a fee of Rs. 50/- along with arrear subscription of Rs 500/-for each year.
8. Interest:- Interest at the rate notified by the Central Government in the official gazette from time to time, shall be allowed for a calendar month on the lowest balance at credit of an account between the close of the fifth day and the end of the month and shall be credited to the account at the end of each year. Provided that where the interest to be credited contains a part of a rupee, then, if such part is fifty paisa or more, it shall be increased to one complete rupee, and if such part is less than fifty paisa, it shall be ignored. Note:-The rates of interest payable on deposits and the balance in PPF Accounts fixed from time to time since the introduction of the Scheme are given in the Schedule at the end of the Chapter.
9. Withdrawals from the Fund: - (1) Any time after the expiry of five years from the end of the year, in which the initial subscription was made, a subscriber may, if he so desires, apply in Form C or as near there to as possible, together with his passbook to the Accounts Office withdrawing from the balance to his credit, an amount not exceeding fifty per cent of the amount that stood to his credit at the end of the fourth year immediately preceding the year of withdrawal or at the end of the preceding year, which ever is lower, less the amount of loan, if any, drawn by him under paragraph 10 and which remains to be repaid. More than one withdrawal shall be permissible during any one year. (2)On receipt of an application under sub paragraph (1) the Accounts Office may, after satisfying itself that the amount of withdrawal applied for is not in excess of the limit prescribed in sub Paragraph (I) and that the applicant ha s, till the date of application, been subscribing according to the limit specified in Paragraph 3, subject to the provisions of sub-paragraph (4), permit the withdrawal and enter the amount withdrawn in the pass book.
(3)Closure of account or continuation of account without deposits after maturity:- Not withstanding provisions of sub-paragraph (1), any time after the expiry of 15 years from the end of the year in which the initial subscription was made by him, a subscriber may, if so desires, apply in Form C or as near thereto as possible together with his pass book to the Account Office, on receipt of such an application from the subscriber, shall subject to the provisions of sub-paragraph (4) allow the withdrawal of the entire balance (together with interest up to the last day of the month preceding the month in which the application for withdrawal is made) after making adjustments, if any, in respect of any interest due from the subscriber on loans taken by him and close his account. Provided that a subscriber may, if so desires make withdrawal of the amount standing to his credit, from time to time, in installments not exceeding one in a year.
(3A)Continuation of account with deposits after maturity: - Subject to the provisions subparagraph (3h) a subscriber may, on the expiry of 15 years from the end of the year in which the initial subscription as made but before the expiry of one year thereafter, may exercise an option with, Accounts office in Form H, or as near thereto as possible, that he would continue to subscribe further block period of 5 years according to the limits of subscription specified in paragraph 3. (3B) In the even of a subscriber opting to subscribe for the aforesaid block period he shall be eligible to make partial withdrawals not exceeding one every year by applying to the Accounts Office in form C, or as near there to as possible, subject to the condition that the total of the withdrawals, during the 5year block period, shall not exceed 60 per cent of the balance at his credit at the commencement of the said period.
Note: -A subscriber may at his option (to be exercised before the expiry of the first year of every extended block period) avail of this facility for a further block of 5 years on expiry of 20 years or on expiry of 25 years and so on, from the end of the year in which the initial subscription was made. (4) Where the application is made by a person who has made subscription to the Fund on behalf of a minor of whom he is the guardian, he shall furnish a certificate in the following form, namely.. .. . .. .. "Certified that the amount sought to be withdrawn is required for the use of ……………………………………. who is alive and is still a minor". 1O. Loans: - (1) Notwithstanding the provisions of paragraph 9, any time after the expiry of one year from the end of the year in which the initial subscription was made but before expiry of five years from the end of the year in which the initial subscription was made, a subscriber may, if he so desires, apply in Form D or as near thereto as possible ,together with his passbook to the Accounts Office for obtaining a loan consisting of a sum of whole rupees not exceeding twenty five percent of amount that stood to his credit at the end of the second year immediately preceding the year in which the loan is applied for. (2) On receipt of an application under sub-paragraph (1), the Accounts Office may, after satisfying itself that the amount of loan applied for is not in excess of the limit prescribed in sub-paragraph (1) and that the application has, till date of application, been subscribing according to I the limit specified in paragraph 3, subject to the provisions of sub paragraph (3), sanction the loan and enter the amount in the passbook. (3) Where the application is made by a person who has made subscriptions to the Fund behalf of a minor of whom he is the guardian, he shall furnish a certificate in the following form, namely: - "Certified that the amount for which loan is applied for is required for the use of who is alive and is still a minor". Or
(4) A subscriber shall not be entitled to get a fresh loan so long as earlier loan has not been repaid in full together with interest there on.
11. Repayment of loan and interest:- (1) The principal amount of a loan under this Scheme shall be repaid by the subscriber before the expiry of thirty six months from the first day of the month following the month in which the loan is sanctioned. The repayment may be made either in one lump sum or in two or more monthly installments within the prescribed period of thirty-six months repayment will be credited to the subscriber's account. (2)After the principal of the loan is fully repaid, the subscriber shall pay interest there on in not more than two monthly installments at the rate of one per cent per annum of the principal of period commencing from the first day of the month following the month in which the loan is drawn up to the last day of the month in which the last installment of the loan is repaid. Provided that where the loan is not or is repaid only in part within the prescribed period of thirty six months, interest on the amount of loan out standing shall be charged at six percent per annum instead of at one percent per annum from the first day of the month following them on thin which the loan was obtained o the last day of the month in which the loan is finally repaid. . (3) The interest on the amount of loan outstanding under the provision to sub-paragraph (2) and any portion of interest payable, but not paid, on any loan, the principal amount of which has already been repaid within the prescribed period of thirty six months, may, on becoming due, be debited to the subscriber's account. (4) The interest recoverable shall accrue to the Central Government.
12. Nomination and repayment after death of subscriber: -
(1) A subscriber to the Fund may nominate in Form G or, as near thereto as possible, one or more persons to receive the amount standing to his credit in the event of his death before the amount has become payable or, having become payable, has not been paid. (2) No nomination shall be made in respect of an account opened on behalf of a minor. (3)A nomination made by a subscriber may be cancelled or varied by a fresh nomination in Form F or, as near thereto as possible, by giving notice in writing to the Accounts Office in which the account stands. (4)Every nomination and every cancellation or variation thereof shall be registered in the Account office and shall be effective from the date of such registration, the particulars of which shall be entered in the passbook. (5) If any nominee is a minor, the subscriber may appoint any person to receive the amount due under the account in the event of the death of the subscriber during the minority of the nominee. (6)Notwithstanding the provisions contained in paragraph 9- (i)If a subscriber to an account in respect of which a nomination is in force dies, the nominee or nominees may make an application in Form G or, as near thereto as possible, to the Accounts Office together with proof of death of the subscriber and on receipt of such application all amounts standing to the credit of the subscriber after making adjustment, if any, in respect of interest on loans taken by the subscriber shall be repaid by the Accounts Office itself to the nominee or nominees. Provided that if any nominee is dead, the surviving nominee or nominees shall, in addition to the proof of death of the subscriber, also furnish proof of the death of the deceased nominee. (ii)Where there is no nomination in force at the time of death of the subscriber, the amount standing to the credit of the deceased after making adjustment, if any, in respect of interest on loans taken by the subscriber, shall be repaid by the Accounts Office to the legal heirs of the deceased on receipt of application form G in this behalf
Provided that the balance up to Rs. l lakh may be paid to the legal heirs on production of (i)a letter of indemnity, (ii)an affidavit, (iii) a letter of disclaimer on affidavit, and (iv) a certificate of death of subscribers, on stamped paper, in the forms as in Annexure to Form G (7)A subscriber to the fund cannot nominate a trust as his nominee.
13. Power to relax: - Where the Central Government is satisfied that the operation of any of the provisions of this Scheme causes undue hardship to a subscriber, it may, by order for reasons to be recorded in writing, relax the requirements of that provision in a manner not inconsistent with the provisions of the Act. Rates of interest payable in PPF accounts as fixed from time to time.
Recurring Deposit Account
Minimum Amount of Deposit Rs 10/- Can be opened in multiple of Rs 5/-
Maturity period of RD account is 5 years. It can be continued for next 5 years.
Deposit should be made every month within colander month. Default fee should be payable at 20 paisa for each month of delay Rs 10/-
Maximum defaults allowed in an account are four. After four defaults the account will be treated as discontinue. It can be revived within two months from the fifth default, if not it cannot be continued.
Premature closer is permitted after completion of three years from the date of opening. Interest at Savings Bank Rate is payable on premature closer.
One withdrawal is permitted from the account subject to the amount of withdrawal shall not be more than half of the balance amount. It can be repaid in one lump sum or in installments with interest. Rate of interest for refund of withdrawal is :-
AT 15% FOR WITHDRAWAL MADE BEFORE 1ST JANUARY 2005.
AT THE 2% + RATE OF 5TD ON THE DATE OF WITHDRAWAL
RATE OF REBATE ON ADVANCE DEPOSIT OF POST OFFICE RUCURRING DEPOSIT ACCOUNT
RATE OF REBATE FOR DENOMINATION RS 10/-
IF ADVANCE DEPOSIT MADE FOR 6 MONTHS :- RS 1/-
IF ADVANCE DEPOSIT MADE FOR 12 MONTHS:- RS 4/-
FOR MORE THAN 12 MONTHS
FOR EVERY ADDITIONAL 6 MONTHS:- RS 1/-
________________ RATE OF INTEREST ON WITHDRAWAL FROM POST OFFICE RD ACCOUNTS
AT 15% FOR WITHDRAWAL MADE BEFORE 1ST JANUARY 2005.
AT THE 2% + RATE OF 5TD ON THE DATE OF WITHDRAWAL.
----------------------------- POST MATURITY INTEREST ON DISCOUNTINUED POST OFFICE RECURRING DEPOST ACCOUNTS
FOR COMPLETED YEARS AT 9.25%
FOR COMPLETED MONTHS 3.5%
POST MATURITY INTEREST PAYABLE FOR MAXIMUM 5 YEAR ------------------------------
PROTECTED SAVINGS SCHEME Under Protected Savings Scheme, on death, of depositor before maturity of the account, the legal heir is entitled to get full maturity value, subject to the conditions:- (1). Age of the depositor at the time of opening should be between 18 and 53 years. (2). Benefit is limited to the maturity value of Rs. 50/- denomination. (3). Account should not have been discontinued as on the date of death. (4). At least two years should have been completed from the date of opening. (5). At least 24 deposits should have been made. (6). There should be no default outstanding and withdrawal in first 24 months.(7)claim should be submitted within the 1 year after death of the depositor.
FORMULA USED FOR PREPARING READY RECKNOWER IS IBB = DENOMINATION X NO OF MONTHS PAID X (NO OF MONTHS PAID – 1) /2 Example = Dn =100 /- No of months paid = 37 100 x (37 x 36) /2 = 66600/-
Time Deposit Account
HIGHLIGHTS OF TD ACCOUNT
There are 4 categories of TD accounts. (1TD, 2TD, 3TD AND 5TD)
TD Accounts can be opened in multiple of Rs 200/- There is no maximum limit for no of accounts and for amount.
Interest of TD is calculated at Quarterly compounded rate.
It is profitable than KISAN VIKAS PATRA
Post Maturity interest is payable at Post Office Savings Bank rate for maximum of 24 months.
CALCULATION OF POST MATURITY INTEREST OF TD ACCOUNTS
POST MATURITY INTEREST IS PAYABLE ON MATURITY AMOUNT OF TD ACCOUNTS.
POSTMATURITY INTEREST IS PAYABLE FOR MAXIMUM 24 MONTS ONLY.
RATE OF INTEREST FOR POSTMATURITY PERIOD IS EQUAL TO THE RATE OF POST OFFICE SAVINGS BANK INTEREST APPLICABLE AT THE TIME OF MATURITY.
RATE OF SAVINGS BANK INTEREST AT DIFFERENT PERIOD
WONDER OF POST OFFICE TIME DEPOSIT SCHEME
Wonder of TD account is that an amount deposited in 3 TD gives more benefit than it invested in Kisan Vikas Patra. For example:-
If an amount of Rs 1, 00,000/- invested in Kisan Vikas Patra it will become Rs 120785/- after 3years.
If an amount of Rs 1, 00,000/- invested in 3 Year Time Deposit Scheme it will become Rs 7450/- x 3 + 1, 00,000/- = 122350/- after 3years.
If an amount of Rs 1, 00,000/- invested in 3 Year Time Deposit Scheme and interest payable on expiry of 1st and 2nd year reinvested in 2 year and 1 year Time Deposit scheme respectively it will become:-
1. Principal Rs. 1,00,000/-
2. 3rd interest Rs 7,450/-
3. 1st year interest
1) 7450-7400 = Rs. 50/- 2) 7400 + (493 x 2 = 986 (2 Td int.) Rs. 8386/- 4. 2nd year interest 1) 7450-7400= Rs 50/- 2) 7400 + 474(1td int.) = Rs 7874/- Rs 123810/-
PREMATURE WITHDRAWAL OF TD ACCOUNT Premature withdrawal of a Deposit may be allowed subject to the following conditions namely:- A) No deposit may be withdrawn before the expiry of six months from the date of deposit. B) Where a deposit in a 1-year, 2-year, or 5 year account is withdrawn prematurely after 6 months but before the expiry of year from the date of deposit, no interest shall be payable to the depositor. C) Where a deposit in a 2-year, 3-year, or 5-year account is withdrawn prematurely after the expiry of one year from the date of deposit, interest on such deposit shall be payable to the depositor for the completed years and months falling in the period commencing on the date of deposit and ending with the date of withdrawal and such interest shall be calculated at the rate which shall be two per cent less than the rate specified for deposit of 1-year, 2-year, or 3-years as the case may be, in the concerned Table under rule 7.
Explanation: - Where the complete years and months in the case of a deposit in a 5-year account exceeds 3 years, such interest shall be calculated at the rate which shall be Two per cent less than the rate specified for a deposit of 3 years in concerned table under rule 7. c) Any interest already paid on the deposit may be recovered from the amount of repayment of deposit and the interest payable under this Rule. D) No separate application is necessary. E) In no case of premature withdrawal of a deposit or premature closure of an account, the commission already paid to agent, if any, is to be recovered. F) No penal interest should be deducted from the interest rate when account is prematurely closed by claimant of deceased depositor. But interest rate should be applicable for the period for the period the amount was deposited with
PREMATURE ENCASHMENT OF 6 NSC (VIII)PREMATURE ENCASHMENT OF 6 NSC (VIII) IS ALLOWED IN FOLLOWING CASES ONLY 1) Death of holder or death one of the holder in the case of joint holders.
2) On forfeiture by a pledgee being gazzetted officer when the pledge is in conformity with the rule.
3) When ordered by court of law.
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