Post Office MIS, SCSS, TD schemes to cease paying curiosity in money from April 1

The curiosity quantity in Post Office’s Monthly Income Scheme (MIS), Senior Citizen Savings Scheme (SCSS), Post Office Term Deposit (TD) schemes will now not be out there in money from April 1, 2022.

Department of Post mentioned in a round, with impact from April 1, 2022, put up workplaces will cease paying curiosity on Senior Citizen Savings Scheme, Monthly Income Scheme and Term Deposit accounts in money. “The curiosity will solely be credited solely in account holder’s put up workplace financial savings account or checking account. In case the account holder shouldn’t be capable of hyperlink his/her financial savings account with Senior Citizen Savings Scheme, Monthly Income Scheme and Term Deposit accounts accounts, the excellent curiosity needs to be paid solely via credit score in put up workplace financial savings account or by cheque,” it mentioned.

The Department of Post mentioned that some Senior Citizen Savings Scheme, Monthly Income Scheme and Term Deposit account holders haven’t linked their financial savings account (Post Office financial savings account or checking account) for credit score of their month-to-month/quarterly/yearly curiosity.

“The curiosity due in these Senior Citizen Savings Scheme, Monthly Income Scheme and Term Deposit accounts are left unpaid in sundry workplace account. Further, it has been noticed that many time period account holders aren’t conscious of annual curiosity fee of TD Accounts,” the round mentioned.

The round additional famous, “for higher management over Post Office Savings Bank operations, promotion of digital transactions, prevention of cash laundering actions and as a safety measure to keep away from frauds, the competent authority has determined for necessary linking of both put up workplace financial savings account or checking account for crediting of curiosity fee of Citizen Savings Scheme, Monthly Income Scheme and Term Deposit accounts.” 

It is vital to notice that undrawn curiosity of Senior Citizen Savings Scheme, Monthly Income Scheme and Term Deposit accounts don’t earn any curiosity. But the curiosity, if credited in financial savings account, will earn extra curiosity The division of Post has urged Senior Citizen Savings Scheme, Monthly Income Scheme and Term Deposit accounts account holders to hyperlink their financial savings account (both Post Office Savings Account or Bank account) for curiosity fee.

Additionally, for the aim of withdrawal of curiosity, filling up of a number of withdrawal types for every Senior Citizen Savings Scheme, Monthly Income Scheme and Term Deposit account will be averted. Depositors can even avail the ability of automated credit score of curiosity quantity from their Senior Citizen Savings Scheme, Monthly Income Scheme and Term Deposit accounts via Post Office Savings Account to recurring deposit accounts.

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