The Post Office Time Deposit (TD) Account is similar to a Fixed Deposit Account in banks, where individuals can save money for a specific period. The Indian Post Offices provide guaranteed returns on the PO TD Account. The Post Office TD Interest Rate for 2023 ranges from 6.8% to 7.5%, depending on the term deposit's duration (1, 2, 3, 5 years). Individuals can easily calculate their Post Office TD interest earned using the TD calculator. The Post Office TD account opening form can be filled out through the official website indiapost.gov.in. The Finance Ministry has notified new National Savings Time Deposit Rules through GSR 922 9E dated 12 December 2019.
To open a TD account at the post office, individuals must complete an application form and make a fixed deposit for a specified period. It is important to check the post office TD interest rate, as it varies depending on the duration of the deposit. To calculate the interest earned, one can use the Post Office TD Calculator 2023 with current rates. Interest on both PO Fixed Deposit (FD) and TD accounts are paid annually but calculated quarterly.
Additionally, individuals can compare other Post Office Schemes, such as the National Saving Certificate (NSC), Public Provident Fund (PPF), Kisan Vikas Patra (KVP), Sukanya Samriddhi Yojana (SSY), Post Office Savings Account, Senior Citizen Saving Scheme (SCSS), Recurring Deposit, and Monthly Income Scheme (MIS). It is recommended to compare all Post Office Schemes before investing to make an informed decision.
Post Office Time Deposit (TD) Account Interest Rate 2023
TD Account can be opened in any Post Office across India. Any individual can open this account in the name of a minor or for himself or also can open joint account to earn guaranteed interest. Post Office TD Interest Rate 2023 (effective from 1 April 2023) is 6.8% for 1 year term deposit, 6.9% for 2 year term deposit, 7.0% for 3 years term deposit account and 7.5% for 5 year term deposit account.
Post Office Time Deposit (TD) Account Interest Rate
| Maturity Period | Interest Rate |
|---|---|
| 1 Year Time Deposit | 6.8% |
| 2 Year Time Deposit | 6.9% |
| 3 Year Time Deposit | 7.0% |
| 5 Year Time Deposit | 7.5% |
Post Office TD Interest is calculated quarterly but is payable annually. Any person can open any number of td accounts in post office. Even Post Office td account can be transferred from one post office to another. Account can be opened with minimum of Rs. 1000 and in multiple of Rs. 100. No maximum limit for investment. Any individual can open td account in cash or through cheque. People can also open TD account (FD) in various nationalized and private banks like SBI, Canara Bank, Axis Bank, HDFC Bank, ICICI Bank.
Time Deposit (TD) Account Opening Form 2023
To open an account, people can download the application form in PDF Format through the link – Post Office TD Account Opening Form PDF. The Post Office Time Deposit (TD) Account Opening Application Form 2023 will appear as shown below:-
Alternate Link to Check Forms for Post Office FD Account – https://www.indiapost.gov.in/VAS/Pages/Form.aspx#SavingBank
Who is Eligible to Open Fixed Deposit Account in Post Office
An individual can open a Post Office TD account as a single adult, in joint names with up to three adults (Joint A or Joint B), on behalf of a minor below 10 years of age or a person of unsound mind, or in the name of a minor above 10 years of age. It is also possible for an individual to have more than one TD account in their name or jointly with another.
The Post Office TD account offers different types of fixed deposit options, including 1 year, 2 year, 3 year, and 5 year deposits. The account can be opened with a minimum of Rs. 1000 and in multiples of Rs. 100, with no maximum investment limit. Interest is payable annually, and no additional interest is payable on the amount of interest that has become due for payment but not yet withdrawn by the account holder. The annual interest may be credited to the savings account of the account holder upon submission of an application. Investments under 5 year TD qualify for the benefit of section 80C of Income Tax Act, 1961.
In case of premature closure of the Post Office TD account, a penalty will be applied. It is important to consider the tax benefits and other Post Office schemes before investing in a TD account.
The post office td account allows for td premature closure, meaning that all deposits made can be withdrawn before the lock-in period ends. Although tax benefits under section 80C of IT Act, 1961 are only applicable to td accounts with a lock-in period of 5 years from 1 April 2007, td accounts of 1, 2, and 3 years do not qualify for this exemption. Here are some important points to note regarding post office td premature closure:
- No deposit can be withdrawn before six months from the date of deposit.
- TD accounts can be closed prematurely after six months of initial deposit.
- If a td account is prematurely closed after six months but before one year, the subscriber will receive the PO Savings Account Interest rate.
- If a 2/3/5 year TD account is prematurely closed after one year, the interest rate will be calculated at 2% less than the TD interest rate for completed years, and for the part period less than a year, PO Savings Interest rates will be applicable.
- The td account can be closed prematurely by submitting a prescribed application form with the passbook at the concerned post office.
Pledging of TD Account
Post Office TD Calculator 2023 – Maximum / Minimum Amount
The Post Office TD Calculator 2023 provides the maximum and minimum amounts for opening an account. The minimum amount for opening an account is Rs. 1000 and subsequent deposits can be made in multiples of Rs. 100. There is no limit on the maximum amount that can be deposited in a TD Account. To keep track of their deposits and interest, people can use the POTD Passbook with applicable rules for the account. Deposits will be repaid after the end of the lock-in period, which can be 1 year, 2 years, 3 years, or 5 years, depending on the account.
If the TD deposits mature in a CBS Post office, the account will be automatically renewed for the same period for which it was initially opened. For example, a 2-year TD account will automatically be renewed for 2 years after maturity. Account holders can get the interest income credited to their savings bank account. If the depositor does not withdraw the annual interest earned on their deposited amount, it will not earn any additional interest under the scheme.
Time Deposit Account 2023 is somewhat similar to the RD Account of the Post Office. However, RD Interest is paid quarterly while TD Interest is paid yearly but calculated quarterly. People can also make td login at website of Post Office TD Account Check Online.
New National Saving Time Deposit (TD) Scheme Nomination Facility
Individuals are permitted to have multiple TD accounts in any post office, including joint accounts. These accounts can be opened either in the subscriber's name or in the name of a minor under the age of 10. Nomination Facility is available at the time of account opening and even after opening the td account.
Subscribers can operate more than one TD account in their individual capacity or jointly with others. If a minor is the account holder, they must convert the TD account into their name after turning 10 years old. There is no limit on the maximum amount that can be deposited by an individual. Account holders are also allowed to convert their single account into a joint account or vice versa.
Post Office Time Deposit – Highlights at a Glance
All the people who want to save their money for a defined time period and assured returns can open a TD Account. The important features and highlights of Post Office TD Account are as follows:-
Time Deposit Account – Post Office TD Calculator and Salient Features
| TD Interest Rate 2023, Periodicity | Minimum Term Deposit Account Opening Balance and Maximum Balance |
|---|---|
| TD Interest Rate 2023 currently varies from 6.8% to 7.5% per annum quarterly calculated while payable yearly (effective from 1 April 2023). This post office td interest is 6.8% for 1 year account, 6.9% for 2 year account, 7.0% for 3 year account and 7.5% for 5 year account. | Minimum td account opening balance is Rs. 1000 and candidates can deposit any further amount in multiples of 100. There is no maximum limit. |
| Important Features | |
Any individual who wishes to open a TD account in a post office can deposit the initial amount through cash or cheque. In the case of cheque, the date of realization of the cheque in the government account shall be considered the date of opening the account. The account can be opened by any Indian resident, and two or more adults can open a joint account. Subscribers can transfer their TD account from one post office to another, and there is no limit to the number of accounts that can be opened in a single post office.
Individuals can also open a TD account in the name of a minor, and minors above 10 years of age can operate their accounts in post offices. A conversion form must be filled by the minor to convert the account into their name. Joint accounts can also be opened by two or more adults, and both joint account holders must provide their details to the post office.
Nomination facility is available at the time of account opening and even after the account opening, and single TD accounts can be converted into joint accounts and vice versa. TD accounts with a lock-in period of 5 years are eligible for tax rebate under Section 80C of the Income Tax Act. The TD account automatically gets renewed after the specified time duration.
For more details, visit the official website indiapost.gov.in
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