15-Year Public Provident Fund: From April 1, Interest Rate Cut To 7.1% From 7.9%

From April 1, investment in the Public Provident Fund (PPF), which is one of the nine government-run small savings schemes, fetches return at the rate of 7.1 per cent. That is 80 basis points lower compared with the interest rate of 7.9 per cent paid in the January-March quarter. A Public Provident Fund account can be set up at designated branches of post office and commercial banks for a lock-in period of 15 years. The interest accrued on a PPF account is compounded annually. .While the 15-year PPF account now pays a 7.1 per cent return, here are the interest rates applicable to other small savings schemes:.table.Calculation { border-top: solid 1px #ccc; border-left: solid 1px #ccc; border-right: solid 1px #ccc; } table.Calculation th { background-color: #f5f5f5; padding: 5px 10px; border-bottom: solid 1px #ccc; border-right: solid 1px #ccc; text-align: left; } table.Calculation td { border-bottom: solid 1px #ccc; border-right: solid 1px #ccc; padding: 5px 10px; } table.Calculation th:last-child, table.Calculation td:last-child { border-right: 0; } @media (max-width: 480px) { table.Calculation { display: table; min-width: 280px; max-width: 100%; font-size: 14px; } table.Calculation th, table.Calculation td, table.Calculation th:nth-child(n+1), table.Calculation td:nth-child(n+1) { display: table-cell; line-height: normal; } table.Calculation th:last-child, table.Calculation td:last-child { border-right: 0; } } .scroll { overflow: auto; } . Instrument Interest Rate In January-March Interest Rate In April-June Compounding Frequency Savings Deposit 4% 4% Annually One-Year Time Deposit 6.9% 5.5% Quarterly Two-Year Time Deposit 6.9% 5.5% Quarterly Three-Year Time Deposit 6.9% 5.5% Quarterly Five-Year Time Deposit 7.7% 6.7% Quarterly Five-Year Recurring Deposit 7.2% 5.8% Quarterly Senior Citizen Savings Scheme (SCSS) 8.6% 7.4% Quarterly and paid Monthly Income Account 7.6% 6.6% Monthly and paid National Savings Certificate 7.9% 6.8% Annually Kisan Vikas Patra 7.9% (matures in 113 months) 6.9% (matures in 124 months) Annually Sukanya Samriddhi Account 8.4% 7.6% Annually (Source: dea.gov.in) .For the first quarter of financial year 2020-21, the government has lowered interest rates on most small savings schemes such as the Kisan Vikas Patra (KVP), the Senior Citizen Savings Scheme (SCSS) and the National Savings Certificates (NSC) by 80-140 basis points (0.8-1.4 percentage point), according to an official statement.

15-Year Public Provident Fund: From April 1, Interest Rate Cut To 7.1% From 7.9%

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