Public Provident Fund

(PPF)

Presented By:
Government Business Department
Head Office
 DEPOSITS & RATE OF
ELIGIBILITY INTEREST
 As applicable on the date of account opening, declared
by Govt. of India from time to time, Interest is paid on
 Individuals who are a yearly basis

permanent resident of India  Interest is paid on the minimum balance between the 5 th

and holds a valid PAN Card day of the month and the last day of the month

 Guardians
 At present the ROI is 7.10%
can open the a/c
 Minimum deposits of Rs. 500 and maximum of Rs.
on behalf of minor child
1,50,000 is permissible in a financial year
 Facility of loan against PPF is available from 3 rd year to
5th year of opening of A/C
NOTE:  Facility of standing instructions starts from Rs. 100

1. HUF and NRI are not eligible NOTE:

2. Nomination can be done for 1 or 1. Deposits can be done through cash
up to 4 individuals /transfer/clearing/standing instructions or via net
3. Only 1PPF a/c per individual is banking
allowed
 DURATION PREMATURE CLOSURES
 Maturity is 15  Pre-mature closures of
years accounts are permissible

 Can be under emergency reasons like

terminal diseases, funds
extended
required for higher studies
further for any
 Partial withdrawal is
no. of 5 years
permissible from the 7th
block
financial year
 TAX BENEFIT
 Income tax benefit under section 80
(c)
 Contribution, Interest and maturity
amount is completely tax free
NATIONAL PENSION
SCHEME (NPS)

Presented by:

Government Business Department

Head Office
 ELIGIBILITY
 Any Indian citizen in the age
bracket of 18 to 70 years
 NRIs and OCI (Overseas
Citizen of India) are also
eligible
 Maximum age up to which an
NPS account can be continued
is 75 years
NOTE:
• HUF and POI are not allowed to join NPS
• Minimum Rs. 1000 contribution and
one transaction is mandatory in one
financial year
KEY POINTS
 NPS is regulated by PFRDA under the Ministry of
Finance, Govt. of India ensuring transparent
norms
 An investment cum pension scheme initiated by
GOI to provide old age security and pension
 It’s a voluntary scheme, holder can invest any
amount at any time
 Provides flexibility to select or change the POP
(Point of Presence), investment pattern and fund
manager
 Portability: NPS account or PRAN will remain the
same irrespective of change in employment, city
or state
 NPS account holders can transfer their
superannuation funds to their NPS account
without any tax implication
 TAX BENEFITS & TENURE &
OTHER FEATURES WITHDRAWAL
 Tax benefit available to
 NPS provides an option to partially withdraw from
pension account (tier 1) in case of specified
individual under Sec 80 CCD (1).
conditions and subject to withdrawal guidelines as
 Additional deduction of Rs. prescribed by PFRDA.

50,000 over and above the limit

 Upon attainment of the age of 60 years. However,
of Rs. 1,50,000 the subscriber has the option to defer the lump
 Additional Tax benefit is sum withdrawal till the age of 75 years.

available to subscribers under

 NPS allows subscriber to continue the account
corporate sector , 80 CCD(2) OF even after the age of 60 and can stay invested till
Income Tax Act the age of 75. This option is required to be
exercised upto 15 days prior to completion of 60
years.
Senior Citizen Savings
Scheme
(SCSS)
Presented by:
Government Business Department
Head Office
 ELIGIBILITY RATE OF INTEREST
 Any individual who is 60
years old and above
 On superannuation,
 As applicable on the date of
retired personnel aged 55 account opening, declared by
years and above Govt. of India from time to time
 Retired defense personnel
of 50 years and above  Interest in paid quarterly, the pro

NOTE: rata interest is paid for the short

1. HUF and NRI are not eligible period in a quarter
2. Retirement and superannuation
benefit proof from the employer in
case of individual where age is less
than 60 years is required

At present the ROI is 7.4%
3. Account can be opened jointly with
spouse only
4. Contribution of Rs.15 lakhs only is
allowed in one financial year
DURATION PREMATURE CLOSURES

 Within one year from A/C opening: Interest paid

 Maturity period shall be recovered

is 5 years  One year after the two years of A/C opening:

Amount equal to 1.5% of deposit shall be deducted
 Which Can be  Two years after the A/C opening: An amount equal
extended to one 1% of deposit shall be deducted
 The depositor availing the facility of extension of
further for 3
account may be permitted to withdraw the deposit
years and close the account any time after expiry of 1
year from the date of extension of A/C without any
deduction
 TAX BENEFIT
 Income tax benefit under section (c)
 No TDS is to deducted in case form 15G or 15H is
submitted by the depositor
 TDS is applicable on interest paid quarterly in case
interest payment is beyond the specified limit
 Facility for SCSS TDS certificate is available
 SOVEREIGN GOLD
BONDS SCHEME (SGB)

Presented by:
Government Business Department
Head Office
 ELIGIBILITY KEY POINTS
 Any Indian citizen who is above 18  SGBs are govt. securities denominated in
years of age with a valid PANCARD grams of gold

 Applicants who fulfill terms under

 The bond is issued by the RBI on behalf of

foreign exchange management act the Govt. of India.

of 1999 can invest

 Subscription price is declared by RBI at the
time of launch
 Trusts, HUF or Charitable
 SGBs gives an opportunity to invest in gold
institutions/Universities can invest
digitally
 Minors can invest provided parents
 The quantity of the gold for which the
or guardians make a purchase
investor pays is protected, since it receives
the ongoing price of the gold at the time
NOTE:
of redemption/pre-mature redemption
*Can be applied through branch or Internet
banking  Can be traded after converting through
*Investing online gets a discount of Rs. 50
per gram de-mat account
*Can be used as collateral for loans
 TAX BENEFITS & TENURE &
OTHER FEATURES WITHDRAWAL

 No TDS applicable on interest

indexation benefit if bond is  The tenure of the bond is
transferred before maturity
 Sovereign guarantee on both
for 8 years with an option to
redemption and interest amount redeem from 5th year
 RBI will announce before the issue
onwards on the date on
date which will be fixed on
pervious week’s simple average of
which interest is payable
closing price of gold of 999 purity
published by IBJA
SUKANYA SAMRIDDHI
ACCOUNT SCHEME
(SSA)
Presented by:
Government Business Department
Head Office
 ELIGIBILITY
 A girl child who is below 10
years of age, can be opened by
any one of the guardian
 Both girl child and guardian
should be a resident of India at
the time of opening of account
 Account can be opened for
only 2 girl children in a family
NOTE:
NRIs are not eligible for
this account scheme
TENURE
 Deposit is allowed till the
completion of 15 years from
the date of account opening
 No more deposits are allowed
after the girl child attains the
age of 15
 Partial withdrawal of
maximum of 50 % of the
amount in the account in the
preceding year for education
 INVESTMENT AND
MATURITY
ROI
 Deposit is allowed till the
 Completion of a period of completion of 15 years from

21 years from the date of the date of account opening

account opening  No more deposits are allowed

 The pre-closure of after the girl child attains the

account may also be age of 15

permitted for the reason

 Partial withdrawal of maximum

of marriage of 50 % of the amount in the

account in the preceding year
for education
 TAX BENEFITS

 Under Section 80 ( c ) for investments made during

the financial year
 Exempted at the time of investment
 Exemption on accrued interest
 Exemption on maturity amount
PENSION ACCOUNTS

Presented by:
Government Business Department
Head Office
 ELIGIBILITY
 Any Indian citizen
 Singly or in joint names
only with spouse and
operational instructions
of Either/Survivor or
Former/Survivor
NOTE:
* Nomination facility is
available as per the prevailing
banking norms
KEY POINTS
 Average quarterly balance criteria - NIL
 No minimum balance requirement
 No penalty charges for non maintenance of
average quarterly balance
 No charges for up to 10 debit entries in
savings bank account ATM (Internet
transactions not to be counted)
 Personalized cheque book per calendar year
with free 50 leaves
 6 demand drafts/pay slips free per quarter
 Waiver of AMC charges on Demat accounts
(for first financial year only)
 Group personal accidental death insurance
cover of Rs. 5 lakhs(premium paid by bank)
FACILITY OF OVERDRAFT

 The account holder may be provided overdraft

facility for maximum amount equal to 2 month of
the pension amount (net credit to savings
account last month) in their SB account upon
fulfillment of terms and conditions stipulated by
the bank
FLOATING RATE SAVINGS
BONDS (RBI BONDS)

Presented by:
Government Business Department
Head Office
 WHAT ARE FLOATING RATE SAVINGS
BONDS?

The Floating Rate Savings Bonds are debt

instruments issued by the government of India
with a floating interest rate; this means that the
interest rate will fluctuate from time to time as
per the benchmark interest rate.
 ELIGIBILITY KEY POINTS
 Investors can subscribe to these bonds with a
 The bonds are open to minimum amount of Rs. 1,000 and there is no
maximum limit for investment
investments for  No monetary ceiling

individuals (including There is a maximum limit of Rs. 20,000 on cash



transactions

joint family)  Other mode of investments via cheques, draft, and

digital mode is acceptable for the investment.

 & HUF (Hindu Undivided  Credited bonds will be held in the bondholder’s
account in an electronic form. This electronic

Family). account is called BLA (Bond Ledger Account).

 The bonds in the bondholder’s account cannot be
transferred except in the case of their demise. Bonds

NOTE: will be transferable in their nominee/legal heir’s

account.
• NRIs are not eligible for
investments in this bond scheme.
 Cannot be used as collateral for bank loans
 Cannot be traded in secondary market
• Facility of nomination is available
RATE OF INTEREST MATURITY
 7 years from the date of issuance
 The interest rate on bonds will be paid
every 6 months on January 1 and July 1
Premature Redemption
till the tenure of the bond
a. For customers in the age bracket between
 The interest/coupon rate on the bonds
60 to 70 years, the lock in period is 6
will be reset every 6 months.
years
 At present the rate of interest is
b. For customers in the age bracket between

7.15 % 70 to 80 years, the lock in period is 5

years
NOTE:
• There is no option to get the interest c. For customers in the age bracket of 80
rate on a cumulative basis. years and above, the lock in period is 4
• The interest rate on bonds will be years
pegged with the prevailing NSC
(National Savings Certificate) rate
NOTE:
with a spread of 35 basis points over
the respective NSC rate.
Interest earned is taxable
 THANK YOU
Government Business Department, Head Office
10th Floor, Chandralok Building
Janpath, New Delhi