About Post Office FD
| Started On | 1854 |
| Head Quarters | New Delhi |
| CRISIL Rating | NA |
| CEO | NA |
| Listed on exchange as | NA |
| ICRA Rating | NA |
Post Office FD Rates 2022
| Tenure | Regular customers | Senior citizens |
|---|
Features and Benefits of Post Office FD
- The post office fixed deposits’ tenure ranges from 1 year to 5 years
- Depositors can open multiple FD accounts in any of the post offices
- Minors of 10 years of age or more can also open and manage these accounts as well
- Minors, however, will have to apply to convert the account in their name once they hit 18 years
- The minimum deposit amount needed to open a post office FD is Rs. 200
- There is no cap on the maximum deposit amount
- Joint account can also be opened by individuals, given that the account holders are two adults
- Depositors can convert these accounts from single to joint and vice versa as per the need
- Deposits made for a tenure of 5 years are eligible for tax benefits under section 80C of the Income Tax Act of India, 1961
- Post Office fixed deposits can be easily transferred from one post office to another
- The account gets renewed automatically upon maturity for the same period as it was opened previously. However, the interest rate will be applicable on the day of maturity.
- NRI depositors cannot open a fixed deposit account in the Indian Post office
- Nomination can be done at the time of opening the account. However, one can nominate even after opening the account
- The account can be opened with both cash and cheque. If a depositor opts for a cheque deposit, the date of payment of the cheque in the account of the government should be the date of opening the FD account.
Post Office vs Other Banks' FD Rates
| Name | Tenure | Interest rate |
|---|
How to invest in Post Office FD?
A Post Office FD can be opened in any post office across India using online and offline methods-
1) Online Method
The Post Office Fixed Deposit account can be opened online by using internet banking-
- One needs to visit the official e-banking portal of the post office at ebanking.indiapost.gov.in.
- For logging in to the portal, use your registered ID and password.
- Click on the ‘Service Request’ under the ‘General Services’ tab.
- Follow the directions present on-screen and click on the ‘New Request’ option to start the Post Office Fixed Deposit opening request.
2) Offline Method
One can visit the nearest India Post branch and collect the form for opening a new Post Office Fixed Deposit account. After submitting the copies of the necessary documents with completely filled-up forms, the post office administrators will guide you regarding the additional directions for the process.
Eligibility to Open a Post Office FD Account
The following people are eligible to operate a Postal fixed deposit-
- Indian residents can manage such investments, either individually or jointly.
- Minors are eligible for Post Office fixed deposit scheme investments as well, managed by their legal guardian.
NRIs, trusts, companies and other organisations, however, are not allowed to avail fixed deposit investments through Post Office.
Documents Required to Open Post Office FD
Investors must furnish the following documents to deposit in the POTD scheme -
- Proof of Address
- Telephone bill
- Electricity bill
- Bank statement inclusive of cheque
- Post Office issued ID or certificate
- Passport
- Proof of Identity
- Voter ID
- Pan card
- Aadhaar card
- Driving license
- Photo ration card
- Passport
Moreover, the investor must provide details of a nominee for the FD. A witness must be present when he/she signs the investment papers as well.
FAQs
What is the highest interest rate Post office fixed deposit offers?
What is the highest interest rate Post office fixed deposit offers?
Currently, the highest interest rate offered by post office fixed deposit is 6.70% for 5 years’ tenure.
What is the minimum deposit required to open a post office fixed deposit account?
What is the minimum deposit required to open a post office fixed deposit account?
The minimum amount required to open a Post office FD account is Rs. 200.
Can we take a loan against Post Office FD?
Can we take a loan against Post Office FD?
No, this facility is not available in post offices to date.
What are the documents needed to open a fixed deposit account in a post office?
What are the documents needed to open a fixed deposit account in a post office?
You should have the following documents to open a post office fixed deposit account:
- Photo ID Proof that includes Aadhaar Card, Voter ID Card, etc.
- Address Proof that includes Electricity Bill, Water Bill, Ration Card, Aadhar Card, etc.
- PAN Card
- Passport size photographs (2 or more)
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