Small Saving Schemes Rate Hike : Increase in interest rate on Post Office, Senior Citizen and Kisan Vikas Patra schemes
Small Saving Schemes Rate Hike: Interest rate hike on PPF, Sukanya Yojana has not been done.
Small Saving Schemes Rate Hike: Good news for those investing in other small saving schemes including Kisan Vikas Patra, Post Office Deposit Schemes and Senior Citizen Saving Schemes. The Finance Ministry has decided to increase the interest rate on savings schemes for the third quarter of the financial year 2022-23. But there has been no change in interest rates on PPF, Sukanya Samridhi Yojana and NSC.
How much interest rate increase?
The interest rate on Kisan Vikas Patra has been increased from 6.9 percent to seven percent. Earlier, investments in Kisan Vikas Patra matured after 124 months. But now it will mature after 123 months.
The interest rate on senior citizen savings scheme has been increased from 7.4 percent to 7.6 percent. Interest rate on monthly income plan account has been increased. Interest rate on monthly income scheme has been increased from 6.6 percent to 6.7 percent.
Increase in interest rate on Post Office Savings Scheme –
Post Office’s two-year fixed deposit scheme will fetch 5.7 per cent interest instead of 5.5 per cent. Meanwhile, the interest rate on three-year fixed deposit scheme has been increased from 5.5 percent to 5.8 percent. There has been no change in the interest rate on one-year fixed deposit schemes. 5.5 interest is given on one year fixed deposit scheme. Similarly, there has been no change in the interest rate on the five-year fixed deposit scheme. A five-year fixed deposit scheme earns 5.8 percent interest.
No Change of Interest on PPF, Sukanya Yojana –
For the quarter of October to December, the Ministry of Finance has not changed the interest rates on PPF, Sukanya Samriddhi Yojana, National Savings Certificate Yojana. 7.1 percent interest on Public Provident Fund (PPF), 6.8 percent on NSC i.e. National Savings Certificate, 7.6 percent on Sukanya Samridhi Yojna. There has also been no change in the interest rate on investments in Post Office Savings Deposit Accounts. It will get four percent interest.
Meanwhile, there has been no change in the interest rate on this Savings Scheme in the last ten quarters since the first quarter of 2020-21. RBI has increased the Repo rate three times in the meantime.