The Government of India has revised the interest rates on small savings schemes on the recommendations of the Shyamala Gopinath Committee which had suggested linking of interest rates on small savings with that of the market, and an annual revision of such schemes.

The new rates will be effective from April 1, 2012 and will remain valid during 2012-13.

Interest rate on PPF has been increased by 0.2 % to 8.8 %. EPF rates stands at 8.25 %.

NSC (National Savings Certificates) with maturity of 5 and 10 yrs, up by 0.2 % each, will give 8.6 % and 8.9 % respectively.

The rate for SCSS (Senior Citizens Savings Scheme) has been hiked to 9.3 % from 9 % at present.

Interest rate for 3 year time deposits has been increased from 8 % to 8.4 %. Similarly, interest rate on 5 year time deposit has been raised from 8.3 % to 8.5 %.

The 5 year recurring deposits will get you an interest of 8.4 % as against 8 % at present.

There has been no change in the savings deposit rate which has been retained at minimum of 4 %.

Quick Reckoner:

Earlier
w.e.f. 1.4.2012
Savings Deposit
4.0
4.0
1 year Time Deposit
7.7
8.2
2 year Time Deposit
7.8
8.3
3 year Time Deposit
8.0
8.4
5 year Time Deposit
8.3
8.5
5 year Recurring Deposit
8.0

8.4

5 year SCSS
9.0
9.3
5 year MIS

8.2

8.5
5 year NSC
8.4
8.6

10 year NISC

8.7
8.9
PPF
8.6
8.8

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