Sarkari Yojana
National Savings Certificates (VIII-Issue) Scheme
About National Savings Certificates (VIII-Issue) Scheme
Set up by the Department of Economic Affairs, Ministry of Finance, Government of India, the “National Savings Certificates (VIII-Issue) Scheme” encourages people to build a long-term savings habit. Deposits start at a minimum of ₹1000/-, rising in multiples of ₹100/- with no upper cap, over a 5 5-year maturity term. Accounts under the Scheme come in these forms:
- Single Holder Type Account: Opened by an adult for themselves, on behalf of a minor or person of unsound mind for whom they act as guardian, or by a minor aged 10 or above.
Joint A-Type Account: Opened jointly by up to three adults, payable to all holders together or to the survivor(s).
Joint B-Type Account: Opened jointly by up to three adults, payable to any one holder or to the survivor(s).
Scheme Overview
Central Government
Ministry Of Finance
Post Office Branch Or A Designated Bank
Individual
Scheme Details
Eligibility Requirements
To qualify for National Savings Certificates (VIII-Issue) Scheme, applicants must satisfy the following conditions:
Any Indian resident can access this scheme's benefits
Any Indian resident can access this scheme's benefits.
A guardian may apply on behalf of a…
A guardian may apply on behalf of a minor or a person of unsound mind.
Minors must be at least 10 years old
Minors must be at least 10 years old.
Deposits:
Deposits start at a minimum of ₹1000/-, and thereafter must be in multiples of ₹100/-.
No ceiling applies to deposits in a single account or across accounts held by one person.
There's no limit on how many accounts an individual may open.
Payment on Maturity:
The deposit matures 5 years from the deposit date, with the maturity amount paid to the account holder once they submit the specified form to the accounts office.
A ₹1,000 deposit matures to One thousand four hundred sixty-two rupees and fifty-four paisa, with other deposit sums maturing proportionately. Any fractional rupee in this calculation gets rounded to the nearest rupee -- fifty paise or more rounds up, and anything under fifty paise is dropped.
The accounts office issues an annual interest-accrual certificate to the account holder, on request.
Benefits Provided
National Savings Certificates (VIII-Issue) Scheme provides the following benefits to eligible applicants:
National Savings Certificates carry an attractive 7.7% interest…
National Savings Certificates carry an attractive 7.7% interest rate, compounded annually but paid out only at maturity.
There's no ceiling on deposits
There's no ceiling on deposits.
The account matures after 5 years
The account matures after 5 years.
A loan facility is available by pledging the…
A loan facility is available by pledging the certificate with banks.
Documents Required
Applicants should keep the following documents ready before starting the application:
Passport-size photo
Passport-size photo
Aadhaar card
Aadhaar card
PAN card
PAN card
Proof of age, i.e
Proof of age, i.e. birth certificate
Any of the following are accepted as valid…
Any of the following are accepted as valid identification and address proof:
Passport
Driving licence
Voter's ID card
NREGA job card, signed by a State Government officer
Letter from the National Population Register giving name and address details
How to Apply
Offline Application
Applicants can apply for National Savings Certificates (VIII-Issue) Scheme through the offline application process outlined below.
Application process:
Head to your nearest Post Office branch or…
Head to your nearest Post Office branch or a designated bank.
Pick up the application form there, or download…
Pick up the application form there, or download it from the official website)/InternalPage.aspx?Id_Pk=38).
Complete the form and attach every required document
Complete the form and attach every required document.
Fill in the declaration and nomination sections
Fill in the declaration and nomination sections.
Submit the form along with your initial investment/deposit…
Submit the form along with your initial investment/deposit amount.
Once your application is processed, you'll get an…
Once your application is processed, you'll get an acknowledgment confirming your NSC account has been opened.
Premature closure of account:
1. The account cannot be closed before maturity except in these situations:
the account holder dies (for a single account), or all account holders die (for a joint account);
a pledgee who is a Gazetted Officer forfeits the certificate, in line with the Scheme;
a court orders it.
2. Closing the account prematurely under point (1) before one year from the deposit date means only the principal amount is paid out.
3. Closing it prematurely under point (1) after one year but before three years from the deposit date is permitted, with interest paid on the principal at the Post Office Savings Account rate then in force, for every complete month the account was held.
Transfer of account from one individual to another:
An account can move from one individual to another, provided the transferee qualifies to open an account under this Scheme, in these situations:-
where the account holder dies (single account) or all account holders die (joint account), the amount transfers to the legal heirs or nominees, as applicable.
where a court orders it, the account transfers from the account holder to the court or to whichever individual the court specifies;
where the certificate is pledged, the account transfers accordingly;
where one of several joint account holders dies, the account transfers into the name of the surviving holder(s).
Payment on the death of the account holder:
1. Where the depositor of a single account dies, or all depositors of a joint account die, the eligible balance is paid out as the scheme guidelines specify.
2. Where a nomination is active at the time of the depositor's death (single account) or all depositors' deaths (joint account), the nominee can apply to the accounts office, using the specified form, for payment of the eligible balance, attaching proof of the depositor's death and, if any other nominee has also died, proof of that nominee's death too.
3. Where two or more nominees survive, the eligible balance is split in whatever proportion the depositor specified at nomination; absent a specified proportion, it's split equally among the surviving nominees.
4. Should a nominee die, their specified share of the eligible balance is redistributed among the remaining nominees in the same proportion as their own specified shares.
5. Where the surviving nominee is a minor, payment goes to whoever the depositor appointed to receive it on the minor's behalf, or to the minor's guardian if no one was appointed.
6. Where a depositor dies with no nomination in force, and probate of their will, letters of administration of their estate, or a succession certificate under the Indian Succession Act, 1925 (39 of 1925) isn't produced to the accounts office's authorized officer within six months of death, then,
(i) where the eligible amount does not exceed ₹5 lacs, the accounts office's authorized officer, or the authority the relevant institution specifies, may pay whoever appears to be the rightful claimant or entitled to administer the deceased's estate, on the specified application Form accompanied by: (a) death certificate; (b) original passbook or deposit receipt/statement of account; (c) affidavit; (d) letter of disclaimer; (e) bond of indemnity;
(ii) where the eligible amount in the account of the deceased is above ₹5 lakh, the accounts office pays the claimant once a court-issued 'Succession Certificate' is submitted, along with:-
(a) claim form;
(b) original passbook or deposit receipt or statement of account;
(c) death certificate of the account holder.
Official Application & Website
Verify the latest eligibility, dates and instructions before applying.