OpenGuide- Small Savings schemes are the initiative of the Indian Government to transfer unused money in the household to small savings schemes so that they can use it for the development of the country.There are three types of Small Savings Scheme.Small Savings Scheme are actively used by the citizens of our country therefore the topic itself is important for the current affairs section of exams such as UPSC Civil service Exam,SSC,Kerala PSc exams ,Banking and Railway Recruitment Board exam.
Small Savings Schemes
Small Savings Scheme are small accounts where money is deposited for each purpose.For ex: Sukanya Samridhi Scheme is a savings scheme for the welfare of the girl child with an interest of 8.50%.The account can be started when the girl child turns ten and can be closed after the duration of 21 yrs.
There are 6 types of Small Savings Schemes
1) Post Office Monthly Income Scheme : It is an investment scheme of Indian Postal Service.It is a six year savings scheme offered by post offices. The account can be started invidually or jointly with a deposit of Rs 1500.
Present rate - 7.70%
2)Public Provident Fund :It is a small Savings scheme for a maturity period of 15yrs, which can be extended every five years.It can be started by anyone.The interest is tax free in PPFs.
Present Rate - 8%
3)National Savings Certificate : It is a scheme designed for the government Employees,Businessmen and other salaried employees .There is no maximum limt for investment.The certificates can be kept as a collateral security to get loan from banks.
Present rate- 8.8%
4)Senior Citizens Savings Account Scheme- An individual of 60 yrs or more may open the account.Maturity period is five yrs for the account
Present Rate - 8.50%
5)Kisan Vikas Patra - Kissan Vikas Patra can be purchased from any post office. The amount invested in Kissan Vikas Patra will be matured in 113 months.
Present rate- 7.70%
6) Sukanya Samridhi Scheme -It is a savings scheme for the welfare of a girl child.It can be opened for a girl child of 10yrs or above .The maturity date for the account will be 21 yrs from the date of starting the account.
Present Rate - 8.50 %
The rates given above are as of 16th June,2017.
