Post Office Saving Account Application Form
One of the most popular and easily accessible savings accounts in India is a Post Office Savings Account. The minimum amount to start an account and the highest balance that can be kept is Rs.500. This account currently has a 4.00 percent p.a. interest rate available. A minor above the age of ten can also use their name to open it. Individuals are only allowed to open one account.
In a post office savings account, there is no maximum amount that can be placed. It also qualifies for a tax exemption under the Income Tax Act 80TTA for interest earned up to Rs.10,000 in a financial year (for all savings accounts combined).
- Minors under the age of ten years
- A person of unsound mind who acts as a guardian on behalf of a minor
- A joint account can be opened by two or three persons.
- Accounts such as Group Accounts, Institutional Accounts, and Security Deposit Accounts & Official Capacity Accounts are not permitted.
Interest Rate on Post Office Saving Account
The interest rate on Post Office savings accounts is set by the Central Government regularly and ranges from 3% to 4%. Interest is calculated monthly and credited once a year.