Post Office offers several schemes to help people save their money and earn interest on them. However, a certain minimum amount is required to open account under different Post Office schemes. For Post Office Public Provident Fund (PPF) account, the minimum amount required is Rs 500. For Savings Bank account with cheque facility, Rs 500 is the minimum balance required is Rs 500. However, in case of non-cheque savings bank account in post office, an account holder needs to maintain a balance of Rs 50.
The minimum amount required for Post Office Monthly Income Scheme account and Time Deposit (Fixed Deposit) is Rs 100 each. The minimum amount required for senior citizen savings scheme is Rs 1000.
Apart from the above accounts, post office also provides Recurring Deposit account which had a maturity period of five years. The contribution for RD account should be made on any day of the month. Post Office says on its official website: “The monthly deposits should be credited on any day of the month. If the monthly installment is not credited for any particular month, then it becomes a default. The defaulted months can be credited subsequently (for INR. 10/- denomination, 0.020 rs for each month of default) maximum 4 defaults are allowed.”
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Premature closure
Post Office Savings Bank account can be closed at any time. However, in the case of Time Deposit account and Monthly Income Scheme, premature closure is allowed only after six months and one year respectively. In case of senior citizen account also, premature closure is allowed only after one year of the opening of account.
For opening a savings bank account in Post Office, one needs an introducer. You can get a duplicate passbook of your account by applying in the prescribed form or by sending manuscript application may be given by affixing prescribed fee in the form of postage stamp.
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Post Office allows transfer of accounts and certificates. For the transfer of an account, the depositor needs to apply in prescribed form SB10(b) or set a manual application. You can submit the application either at transferring office or transferee office.
