What are new rates on PPF small savings schemes?
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What are new rates on PPF small savings schemes?
As per ministry’s circular, PPF will continue to earn 7.10\%, the NSC will fetch 6.8\%, and Post Office Monthly Income Scheme Account will earn 6.6\%, as well as for Senior Citizen Savings Scheme, the interest rate is 7.4\%.
What is a small saving?
The small savings schemes basket comprises 12 instruments including the National Saving Certificate (NSC), Public Provident Fund (PPF), Kisan Vikas Patra (KVP) and Sukanya Samridihi Scheme. The government resets the interest rate at the beginning of every quarter.
What is small saving scheme?
Small savings schemes are designed to provide safe and attractive investment options to the public and at the same time to mobilise resources for development.
Which saving scheme is best in India?
Best Saving Plans
| Savings Plans | Current Interest Rate |
|---|---|
| Public Provident Fund (PPF) | 7.1\% |
| KVP (Kisan Vikas Patra) | 7.6\% |
| Sukanya Samriddhi Yojana (SSY) | 7.6\% |
| Atal Pension Yojana | N/A |
Did the government lower interest rates?
The latest Fed rate cut lowers interest rates by 100 basis points, compared to 50 basis points from the March 4 rate cut. This will likely cause a 1\% decrease in interest rates on many financial products, such as credit cards, mortgages, loans, savings accounts and more.
Does PPF interest rate change?
Public Provident Funds (PPFs) are secured saving options you can open at banks or Post Office, with fixed interest offered by the government. Interest rates of PPF accounts are changed quarterly by the government. A PPF account usually is locked for 15 years, to mature.
What is the interest rate in PPF?
7.10 per cent
Under Section 80C of the income tax act, PPF account holder can claim income tax exemption on up to ₹1.50 lakh invested in this scheme in one financial year. Apart from this, it is 100 per cent risk-free and PPF interest rate, which is currently 7.10 per cent, is also 100 per cent tax exempted.