Post Office Savings Schemes 2026: Full List, Rates & Comparison
For millions of Indian households, the local post office is still the first place money goes when the goal is safety rather than speed. The schemes it offers are backed by the Government of India, carry sovereign-grade security, and reach into roughly 1.65 lakh post offices - more branches than the entire commercial banking network combined.
What trips most savers up is not trust but choice. There are nine core schemes, each with its own interest rate, lock-in, deposit ceiling and tax rule, and the differences decide whether a deposit earns 4% or 8.2% a year. This guide lays out every Post Office savings scheme live in the April-June 2026 quarter, with the current rates, and shows which one suits which kind of saver.
What "small savings schemes" means
The nine schemes here are part of the government's small savings programme, distributed mainly through the post office and a few banks, and backed in full by the Government of India. They span everyday deposits, lump-sum certificates and the targeted social-security schemes, all governed by one quarterly rate notification.
Knowing they are a single family, set centrally, is what makes a side-by-side comparison possible. The differences that matter between them are tenure, deposit limits and tax treatment, rather than any difference in safety, which is uniform.
Post Office savings schemes 2026: the full rate table
For the April-June 2026 quarter, the Ministry of Finance left small savings rates unchanged for the eighth consecutive quarter, holding the top rate at 8.2%. Rates are reviewed every three months and notified by the Department of Economic Affairs, so the figures below apply only to the quarter ending 30 June 2026.
| Scheme | Interest rate (Q1 FY27) | Tenure | Min / Max deposit | Section 80C benefit |
|---|---|---|---|---|
| Post Office Savings Account | 4.0% | Open-ended | ₹500 / No limit | No |
| Recurring Deposit (RD) | 6.7% | 5 years | ₹100/month / No limit | No |
| Time Deposit (TD) - 1 year | 6.9% | 1 year | ₹1,000 / No limit | No |
| Time Deposit (TD) - 5 year | 7.5% | 5 years | ₹1,000 / No limit | Yes (5-yr only) |
| Monthly Income Scheme (MIS) | 7.4% | 5 years | ₹1,000 / ₹9 lakh (single), ₹15 lakh (joint) | No |
| National Savings Certificate (NSC) | 7.7% | 5 years | ₹1,000 / No limit | Yes |
| Kisan Vikas Patra (KVP) | 7.5% | 115 months | ₹1,000 / No limit | No |
| Public Provident Fund (PPF) | 7.1% | 15 years | ₹500 / ₹1.5 lakh per year | Yes |
| Senior Citizens Savings Scheme (SCSS) | 8.2% | 5 years | ₹1,000 / ₹30 lakh | Yes |
| Sukanya Samriddhi Yojana (SSY) | 8.2% | 21 years | ₹250 / ₹1.5 lakh per year | Yes |
"Interest rates of various Small Savings Schemes for the first quarter of FY 2026-27 starting from 1st April, 2026 and ending on 30th June, 2026 shall remain unchanged from those notified for the fourth quarter of FY 2025-26." (Ministry of Finance, Department of Economic Affairs notification, 31 March 2026.)
How the rates are set and revised
The Ministry of Finance resets these rates every quarter, benchmarking them to the yields on government securities of comparable maturity under a formula adopted in 2011. The government retains discretion, however, and has held rates flat for eight quarters even where the formula pointed lower.
For fixed-tenure schemes such as NSC, KVP, SCSS, MIS and the Time Deposits, the rate at the date of deposit is locked for the whole term, while PPF and Sukanya Samriddhi float with each quarterly notification. This distinction is central to timing a deposit, since a fixed-tenure scheme opened this quarter keeps today's rate.
How the schemes split by purpose
The nine schemes fall into four jobs: parking cash, building a corpus, drawing a regular income, and saving tax. Matching the scheme to the job matters more than chasing the single highest headline rate, because the top-paying schemes carry eligibility limits or long lock-ins.
Everyday saving and small monthly habits
The Post Office Savings Account pays 4.0% and works like a basic bank account, with cheque and ATM access at most branches. The Recurring Deposit suits disciplined monthly saving, accepting deposits from ₹100 a month at 6.7% compounded quarterly over five years.
Lump-sum growth
For a one-time deposit left to grow, the National Savings Certificate pays 7.7% over five years and Kisan Vikas Patra pays 7.5%, doubling the deposit in 115 months. The 5-year Time Deposit matches NSC-style growth at 7.5% and, unlike RD or KVP, qualifies for a Section 80C deduction.
Regular monthly income
The Monthly Income Scheme converts a lump sum into a fixed monthly payout, paying 7.4% a year credited every month. A single holder can invest up to ₹9 lakh and joint holders up to ₹15 lakh, making it a popular choice for retirees seeking predictable cash flow.
The highest-paying schemes in 2026
Two schemes share the top rate of 8.2% for the April-June 2026 quarter: the Senior Citizens Savings Scheme and Sukanya Samriddhi Yojana. Both pay well above the PPF's 7.1% precisely because they are restricted - SCSS to those aged 60 and above, SSY to the parents of a girl child under 10.
| Scheme | Rate | Who it is for | Lock-in |
|---|---|---|---|
| SCSS | 8.2% | Age 60+ (or 55+ on VRS) | 5 years |
| Sukanya Samriddhi Yojana | 8.2% | Girl child under 10 | Until age 21 / marriage after 18 |
| NSC | 7.7% | Any resident, tax-saving lump sum | 5 years |
| 5-year Time Deposit | 7.5% | Tax-saving fixed deposit | 5 years |
| KVP | 7.5% | Long-horizon doubling | 115 months |
SCSS allows a maximum investment of ₹30 lakh, with interest paid quarterly - a meaningful income stream for a retiree. SSY runs until the daughter turns 21 and enjoys fully tax-free status on deposit, interest and maturity.
Tax treatment: where the real returns hide
Three Post Office schemes carry the prized EEE (exempt-exempt-exempt) status, meaning deposits, interest and maturity are all tax-free: PPF, Sukanya Samriddhi Yojana and the SCSS interest within applicable limits. For a taxpayer in the 30% slab, a tax-free 7.1% from PPF is equivalent to a taxable return above 10%.
Schemes eligible for a Section 80C deduction of up to ₹1.5 lakh a year include PPF, NSC, SSY, SCSS and the 5-year Time Deposit. By contrast, interest on MIS, KVP, RD and Time Deposits is fully taxable in the saver's hands, and KVP and MIS offer no upfront 80C benefit at all.
"Investments in PPF qualify for deduction under Section 80C, and the interest earned and the maturity proceeds are exempt from tax, giving the scheme its EEE classification." (ClearTax, Post Office Saving Schemes guide, 2026.)
Safety, accessibility and why these schemes endure
Every Post Office scheme carries a sovereign guarantee from the Government of India, a stronger backstop than the ₹5 lakh deposit insurance that covers bank accounts. That guarantee, combined with a network of about 1.65 lakh post offices, is why these schemes remain the default for first-time and risk-averse savers across rural and semi-urban India.
Most schemes can now be opened and operated digitally through India Post internet banking and the IPPB mobile app, alongside the traditional passbook at the counter. Deposits and accounts are also freely transferable between post offices anywhere in the country.
How to open and operate these accounts
Most of these schemes are opened at a post office with the standard KYC - Aadhaar, PAN and a photograph - and the relevant minimum deposit, or online for existing customers through net banking and the IPPB app, as set out in IndiaPost's guide to how to open a Post Office savings scheme. Some, such as Sukanya Samriddhi, need an extra document like the child's birth certificate.
Once open, an account is run by deposits and, where applicable, the periodic or maturity payout into a linked savings account. Recording a nominee on each account keeps it easy to claim, and the IPPB app handles much of the day-to-day operation.
Which Post Office scheme should a saver pick?
The right scheme depends on horizon, tax slab and the need for income versus growth. A 30-year-old saving for retirement is best served by PPF's tax-free 7.1% compounding; a 62-year-old wanting income should look at SCSS at 8.2% or MIS at 7.4%.
A parent of a young daughter has the strongest single option in Sukanya Samriddhi Yojana at 8.2% tax-free, while a saver simply wanting to double a lump sum with no tax planning can use KVP. For pure Section 80C tax saving with a five-year lock-in, NSC at 7.7% usually edges the 5-year Time Deposit at 7.5%.
Building a complete savings plan
Most savers do not pick one scheme but combine several by goal: PPF for the long-term tax-free core, NSC or a Time Deposit for medium-term tax saving, an RD for a monthly habit, and SCSS or MIS for income in retirement. Each rupee is then matched to its purpose rather than forced into a single product.
The shared ₹1.5 lakh 80C limit means only that much across the deductible schemes earns the deduction in a year, so the rest is placed for rate or liquidity. Used together, the nine schemes can cover every horizon a household has, all under one sovereign guarantee.
Comparing the schemes on liquidity
Liquidity varies widely across the nine schemes and should weigh on the choice. The savings account is fully liquid; the RD, Time Deposits, MIS, SCSS and NSC allow premature exit after set periods with a penalty; while PPF locks money for 15 years with limited withdrawals, and KVP and SSY have the longest effective lock-ins.
A saver who may need money sooner should favour the savings account, a short Time Deposit or the RD, keeping the long-lock schemes for money that can be committed. Matching the lock-in to how soon the money is likely to be needed avoids a costly early exit.
Common mistakes savers make
The most common mistake is chasing the highest headline rate without checking eligibility or lock-in, then finding the money is tied up too long. Another is ignoring tax: a taxable 7.7% can be worth less after tax than a tax-free 7.1%, so the EEE schemes often win for high-bracket savers.
Overlooking the deposit ceilings, or assuming all schemes offer 80C, also trips savers up. Reading the rate alongside the tenure, tax and limit columns of the table is what avoids these errors.
Nomination across the schemes
Every Post Office scheme should carry a nominee, recorded at opening, so the balance passes directly to the family on the holder's death. Keeping the nomination current across all the accounts a saver holds is a small step that spares the family a difficult claim later.
Methodology
All interest rates in this article are the official figures notified by the Ministry of Finance for the first quarter of FY 2026-27 (1 April to 30 June 2026), cross-checked against India Post scheme documentation and independent trackers including ClearTax and ReLakhs. Tenure, deposit limits and tax treatment reflect the scheme rules in force as of June 2026. Because rates are revised quarterly, savers should verify the live rate on the official India Post or National Savings Institute portal before opening an account.
Key takeaways
- Post Office small savings rates are unchanged for the April-June 2026 quarter, the eighth straight quarter without a revision.
- SCSS and Sukanya Samriddhi Yojana top the table at 8.2%, but both carry eligibility restrictions.
- PPF (7.1%), SSY (8.2%) and SCSS offer tax-free or EEE treatment; KVP, MIS, RD and TD interest is taxable.
- Five schemes - PPF, NSC, SSY, SCSS, 5-year TD - qualify for the Section 80C deduction up to ₹1.5 lakh.
- KVP doubles a deposit in 115 months; MIS pays 7.4% as monthly income; RD suits ₹100-a-month savers.
- Fixed-tenure schemes lock the rate at deposit; PPF and SSY float with each quarterly notification.
- All schemes carry a Government of India sovereign guarantee and reach across roughly 1.65 lakh post offices.
Looking ahead
With rates held steady for two full years, the pressure point to watch is the next quarterly review for July-September 2026, when softening inflation could finally prompt the first cut in this long pause. For now, the Post Office continues to offer some of the most competitive guaranteed returns in the country, and the gap between picking the right scheme and the wrong one - 4% versus 8.2% - remains the single biggest decision a saver controls.