(i) The account may be opened by an
individual, who has attained age of 60 years or above
on the date of opening of the account. An individual, who
has attained the age 55 years or more but less than 60
years and has retired under a Voluntary Retirement
Scheme or a Special Voluntary Retirement Scheme on the
date of opening of the account can also open an account,
within three months from the date of retirement.
(ii) The account may be opened in individual
capacity or jointly with spouse.
(iii) Non-resident Indians (NRIs) and
Hindu Undivided Family (HUF) are not eligible to open an
account.
(iv) The individual may open one or more
account in the multiple of Rs.1000/-, subject to a
maximum limit of Rs.15 lakh. Further, more than one
account cannot be opened in the same post office during a
calendar month.
(v) No withdrawal shall be permitted
before the expiry of a period of five years from the date of
opening of the account. The depositor may extend the account
for a further period of 3 years.
(vi) Premature closure of account is
permitted
*
After one year but before 2 years----------- deduction of 1
½ % of the deposit.
* After 2
years but before date of maturity----------deduction of 1%
of the deposit.
(vii) In case of death of the depositor
before maturity, the account shall be closed and deposit
refunded without any deduction along with interest.
(viii) Interest @ 9% per annum from
the date of deposit on quarterly basis. Interest can be
automatically credited to savings account provided both the
accounts stand in the same post office.
(ix) Interest rounded off to the nearest
multiple of rupee one.
(x) Post Maturity Interest at the
rate applicable to the deposits under Post Office Savings
Accounts from time to time is admissible for the period
beyond maturity.