Post Office Savings Account

Of the different post office schemes offered by Nostra Advisors, Post Office Savings Account is one. This account can be opened only through payment of cash. Cheque facility is not available. Moreover on opening of the account one can mention a nominee as well. In order to ensure that this scheme does not get defunct, at least one transaction of deposit or withdrawal is necessary. This has to be done within 3 years of opening up the account. If one had opened up a Single Account in the beginning and wish to convert it to a joint one in the long run they can do so. Even the vice versa option is also available. Interest earned is Tax Free up to INR 3500/- per year in single and INR 7000/- in Joint account up to 2011-12 and up to INR 10,000/- per year either in single or joint account for 2012-13.

Salient Features:

• Rate of interest 4.0% per annum
• Minimum amount Rs 50/- in case of non-cheque account, Rs.500/- in case of cheque account.
• Maximum balance permissible is Rs 1,00,000/- in a single account and Rs 2,00,000/- in a joint account.
• Interest Tax Free.
• Any individual can open an account.
• Cheque facility available.
• Group Account, Institutional Account, other Accounts like Security Deposit account & Official Capacity account are not permissible.