As per the standing instructions by government of India, the rates of interests on savings except the PPF will remain unchanging during the term of the deposit. The government says that every year, it will decide about the rate of interest on small savings on 1st April and it will not change during the year. The rate will not change during the period of validity of the deposit. However in this 2013 year the Indian Post Office interest rates changed.
Interest Rate for PPF account
The government differs while it comes to interest rates for Public Provident Fund (PPF) account. As this is a scheme for 15 years, the rate of interest will vary every year. The present rate of interest for PPF account is 8.80%, which is compounded annually.
Rate of Interest on Post Office Various Investments
Let’s find out latest interest rates on fixed deposit of Indian Post Office below:
|Schemes of Investment||Rates of Interest|
8.30% (For the 2nd Year)
8.40% (For the third Year)
8.50% (For the 5th Year)
8.6% Compounded Six Monthly for 5 Years
8.9% Compounded Six Monthly for 10 Years