Sarkari Yojana
Post Office Savings Account(SB)
About Post Office Savings Account(SB)
Run by the Department of Posts under the Ministry of Communications, the Post Office Savings Account (SB) pays 4% annual interest, credited at set intervals, and can be opened by any resident Indian citizen with as little as ₹500. Deposit and Withdrawal
1. Every deposit and withdrawal must be in whole-rupee amounts. 1. Minimum opening deposit: ₹500 (later deposits cannot be less than ₹10). 1. Minimum withdrawal: ₹50. 1. There is no ceiling on how much can be deposited. 1. A withdrawal is not allowed if it would take the balance below ₹500. 1. Note: If the balance is still under ₹500 at financial year-end, ₹50 is deducted as an Account Maintenance Fee, and the account closes automatically once the balance reaches zero.
Nomination See Rule-14 of GSPGR 2018
1. Whether it is a single account or a joint one, the depositor(s) may name up to four nominees who would receive the eligible balance if the account holder (or, for a joint account, all the holders) were to pass away. 1. This nomination is recorded when the account is opened, using Form 10 to supply:
(a) Nominee name(s); (b) The share of the balance assigned to each nominee; (c) Whether the nominee is to receive the sum outright as the absolute owner, or hold it in trust for the depositor’s legal heirs.
Scheme Overview
Central Government
Ministry Of Communication
Individual
Scheme Details
Eligibility Requirements
To qualify for Post Office Savings Account(SB), applicants must satisfy the following conditions:
Applicants must be Indian citizens residing in India
Applicants must be Indian citizens residing in India.
A single adult may open the account individually
A single adult may open the account individually.
Up to three adults together may open a…
Up to three adults together may open a joint account.
Joint account holders may choose the 'A' type…
Joint account holders may choose the 'A' type (requiring all holders to operate it jointly) or the 'B' type (operable by any one holder).
A guardian may open the account for a…
A guardian may open the account for a minor.
A guardian may also open an Authorised Account…
A guardian may also open an Authorised Account on behalf of a person of unsound mind.
A minor over the age of 10 may…
A minor over the age of 10 may open and run the account personally.
Each person may hold only one such account…
Each person may hold only one such account in their own name.
A single account cannot later be turned into…
A single account cannot later be turned into a joint account, or the reverse.
In a joint account, the surviving holder becomes…
In a joint account, the surviving holder becomes sole owner if the other holder(s) die, as per applicable rules. Note: On turning 18, an account holder needs to submit a fresh Account Opening Form (AOF) and updated KYC papers at their Post Office so the minor's account can be converted into an adult one.
Benefits Provided
Post Office Savings Account(SB) provides the following benefits to eligible applicants:
A secure way to hold savings while earning…
A secure way to hold savings while earning 4% interest.
Simple to set up, needing only ₹500 as…
Simple to set up, needing only ₹500 as the minimum balance. Interest on deposits
Interest is worked out on the lowest balance…
Interest is worked out on the lowest balance held between the 10th of the month and month-end, and is paid only in whole rupees.
No interest accrues for a month if, at…
No interest accrues for a month if, at any point between the 10th and the last day, the balance dips below ₹500.
Interest is credited to the account each Financial…
Interest is credited to the account each Financial Year-end, at whatever rate the Ministry of Finance has set at that time.
When an account is closed, interest is paid…
When an account is closed, interest is paid up to the month before closure.
Under Section 80TTA of the Income Tax Act,…
Under Section 80TTA of the Income Tax Act, interest of up to ₹10,000 earned across all Savings Bank Accounts in a Financial Year is exempt from tax. Silent Account (See Rule-8 of the Post Office Savings Account Rules 2019)
An account with no deposit or withdrawal activity…
An account with no deposit or withdrawal activity for three consecutive financial years is classified as silent.
Reviving it simply requires visiting your Post Office…
Reviving it simply requires visiting your Post Office with updated KYC papers and your passbook — there is no fee for this.
Documents Required
Applicants should keep the following documents ready before starting the application:
PAN Card
PAN Card.
Aadhaar Card or another valid ID proof
Aadhaar Card or another valid ID proof.
Date of birth proof (for a minor)
Date of birth proof (for a minor).
KYC of joint holders (where applicable)
KYC of joint holders (where applicable).
Guardian's KYC (for a minor's account)
Guardian's KYC (for a minor's account).
How to Apply
Offline Application
Applicants can apply for Post Office Savings Account(SB) through the offline application process outlined below.
Go to your local Post Office and pick…
Go to your local Post Office and pick up the Account Opening Form along with the KYC Form.
Complete both forms and attach the supporting documents…
Complete both forms and attach the supporting documents (PAN, Aadhaar, or another valid ID, etc.).
Hand in the filled forms with the documents…
Hand in the filled forms with the documents at the Post Office counter.
Deposit the minimum amount of ₹500 by cheque
Deposit the minimum amount of ₹500 by cheque.
Once verified, the account gets opened and its…
Once verified, the account gets opened and its details are handed over to you.
Official Application & Website
Verify the latest eligibility, dates and instructions before applying.