Rs 500 minimum balance in Post Office savings account required or face penalty from today

A failure to comply with the same would attract a penalty of Rs 100 as maintenance charges, India Post said in a notification earlier.
Postal Account
Postal Account

According to the India Post Official website, you will need to maintain at least Rs 500 minimum balance, effective December 11, 2020. A failure to comply with the same would attract a penalty of Rs 100 as maintenance charges, India Post said in a notification earlier.

The amendment which would be effective from Thursday, POSB customers are required to maintain a minimum balance of Rs 500 in any savings account on any given day in order to avoid maintenance charges, the Department of Post said earlier.

If the minimum balance is not maintained, a charge of Rs 100 would be deducted and if the balance becomes nil then the account shall be closed, as per India Post Official website.

About savings schemes offered by India Post:

India Post offers several small savings schemes, commonly known as post office saving schemes. These schemes include the post office savings account, Public Provident Fund (PPF), Sukanya Samriddhi Yojana (SSY), National Savings Certificate (NSC), Post Office Time Deposit for a 5 Year Term, Kisan Vikas Patra (KVP) and Senior Citizen Savings Scheme (SCSS).

What are late payment fees for recurring deposits?
The monthly deposits for account opened between 1 to 15 must be credited up to 15th of the month and account opened between 16 to the last of the month monthly deposit must be credited by last day of the month. If the monthly instalment is not credited for any particular month, then it becomes a default.

The defaulted months can be credited subsequently (revival fee for INR. 100/- denomination is Re. 1 for each month of default) maximum 4 defaults are allowed.

Steps to open an account:

Post Office savings account can be opened by a single adult, or jointly by two adults, or a guardian on behalf of a minor, or a guardian on behalf of a person of unsound mind, or by a minor above 10 years in his own name.

Only one post office savings account can be opened by an individual. In addition, only one account can be opened in the name of a minor or a person of unsound mind.

The nomination is mandatory at the time of opening the Post Office Savings Account. Currently, the interest rate being offered on an individual or joint Post Office Savings Account is 4 per cent. The interest is calculated on the basis of the minimum balance between the 10th of the month and the end of the month.

According to the Post Office portal, no interest is allowed in a month if the balance in the account is below Rs 500 between the 10th and the last day of the month.

Total
5
Shares
Related Posts