The PPF interest rate will drop from 7.1% to 6.4% annually.
New Delhi:
Interest rates on small savings received a big cut on Wednesday and the government announced that interest on savings deposits will now fall from 4% to 3.5% per year, while the Public Provident Fund or FPP will fall from 7 , 1% to 6.4%. .
Starting Thursday, at the beginning of the new financial year, the National Savings Certificate (NSC) will earn 5.9 percent interest and the Sukanya Samriddhi Yojana will earn 6.9 percent interest.
The interest rate on the Five-Year Senior Savings Plan, paid quarterly, has been reduced to 6.5%. The Kisan Vikas Patra (KVP) interest rate has been lowered to 6.2 percent.
The government cuts interest rates on small savings from April 1
Savings deposit revised annually from 4% to 3.5%.
PPF rate from 7.1% to 6.4% per year.
1-year term deposit revised from 5.5% to 4.4%, quarterly.
Savings plans for the elderly are reduced from 7.4% to 6.5%, quarterly and paid pic.twitter.com/x05Hko3vho– ANI (@ANI) March 31, 2021
The interest rate on savings deposits at post offices has been reduced to 3.5 percent, while deposits with terms of one to five years will earn an interest rate in the range of 4.4 to 5 1 percent, to be paid quarterly and the interest rate in five. The annual recurring deposit will be 5.8 percent.
This is the second time the government has cut interest rates on small savings plans in the last year. In the April-June 2020-21 quarter, the government cut rates on small savings plans by 70-140 bps (100 bps = 1 percent).
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