Post Office interest rate table: How PPF, NSC, SCSS, KVP, SMY measure up

The recent rate hike after a long gap on small savings schemes like Public Provident Fund (PPF), National Savings Certificate (NSC), Senior Citizen Savings Scheme (SCSS), Kisan Vikas Patra (KVP), Sukanya Samriddhi Yojana (SMY) or Sukanya Samriddhi Account Scheme (SSAS) and Post Office time deposits has made them more attractive.

For example, in case of KVP, after the 0.4 per cent interest rate hike to 7.7 per cent from 7.3 per cent, the amount invested will now get doubled in 112 months (9 years and 4 months), that is 6 months before the earlier period of 118 months (9 years and 10 months). Similarly, after 0.4 per cent rate hike to 8 per cent from earlier rate of 7.6 per cent for 5-year NSC, Rs 100 will become Rs 146.93 in 5 years.

Apart from KVP and NSC, other popular schemes like PPF and SMY, where interest rates have been increased by 0.4 per cent on both the schemes to 8 per cent and 8.5 per cent respectively, will also give hefty benefits to the investors in long run.

While, for Post Office Savings Account or Savings Deposits, interest rate remains same at 4 per cent, rates on time deposits have been increased. With 0.3 per cent rise, the new interest rate on 1 Year Time Deposit becomes 6.9 per cent, 2 Year Time Deposit becomes 7 per cent and that of 3 Year Time Deposit becomes 7.2 per cent.

In case of 5 Year Time Deposit and 5 Year Recurring Deposit, the new interest rates become 7.8 per cent and 7.3 per cent respectively after rate hike of 0.4 per cent on both the deposits.

Here is the comparative table of the revised rates of interest on various small savings schemes for FY 2018-19:

• will mature in 118 months | **will mature in 112 months

So, for Senior Citizen Savings Scheme, the interest remains highest at 8.7 per cent, followed by Sukanya Samriddhi with 8.5 per cent rate.