The current PPF interest rate is 7.1% p.a. SCSS offers the highest rate at 8.2% p.a. — the best available among all government-guaranteed savings schemes for the April–June 2026 (Q1 FY 2026-27) quarter.
All National Savings Schemes (NSS) are backed by the Government of India, making them zero-risk fixed-income options. Interest rates are revised quarterly.
Post Office Savings Account
| Scheme | Rate (% p.a.) | Compounding | Tenure | Min Investment | Max Investment | 80C | TDS |
|---|---|---|---|---|---|---|---|
| Post Office Savings Account | 4.0% | Annual | Ongoing | ₹500 | No limit | – | – |
Post Office Time Deposits
| Scheme | Rate (% p.a.) | Compounding | Tenure | Min Investment | Max Investment | 80C | TDS |
|---|---|---|---|---|---|---|---|
| Post Office Time Deposit – 1 Year | 6.9% | Quarterly | 1 year | ₹1,000 | No limit | – | Yes |
| Post Office Time Deposit – 2 Years | 7.0% | Quarterly | 2 years | ₹1,000 | No limit | – | Yes |
| Post Office Time Deposit – 3 Years | 7.1% | Quarterly | 3 years | ₹1,000 | No limit | – | Yes |
| Post Office Time Deposit – 5 Years | 7.5% | Quarterly | 5 years | ₹1,000 | No limit | ✓ | Yes |
Post Office Recurring Deposit
| Scheme | Rate (% p.a.) | Compounding | Tenure | Min Investment | Max Investment | 80C | TDS |
|---|---|---|---|---|---|---|---|
| Post Office Recurring Deposit | 6.7% | Quarterly | 5 years | ₹100/month | No limit | – | – |
Senior Citizen Scheme
| Scheme | Rate (% p.a.) | Compounding | Tenure | Min Investment | Max Investment | 80C | TDS |
|---|---|---|---|---|---|---|---|
| Senior Citizen Savings Scheme | 8.2% | Quarterly | 5 years | ₹1,000 | ₹30 lakhs | ✓ | Yes |
Monthly Income Scheme
| Scheme | Rate (% p.a.) | Compounding | Tenure | Min Investment | Max Investment | 80C | TDS |
|---|---|---|---|---|---|---|---|
| Post Office Monthly Income Scheme | 7.4% | Monthly | 5 years | ₹1,500 | ₹9 lakhs | – | – |
Certificates & Bonds
| Scheme | Rate (% p.a.) | Compounding | Tenure | Min Investment | Max Investment | 80C | TDS |
|---|---|---|---|---|---|---|---|
| National Savings Certificate (NSC) | 7.7% | Annual | 5 years | ₹1,000 | No limit | ✓ | – |
| Kisan Vikas Patra | 7.5% | Annual | ~115 months | ₹1,000 | No limit | – | – |
| Mahila Samman Savings Certificate | 7.5% | Quarterly | 2 years | ₹1,000 | ₹2 lakhs | – | – |
Provident Fund Schemes
| Scheme | Rate (% p.a.) | Compounding | Tenure | Min Investment | Max Investment | 80C | TDS |
|---|---|---|---|---|---|---|---|
| Public Provident Fund | 7.1% | Annual | 15 years | ₹500/year | ₹1.5 lakhs/year | ✓ | – |
Girl Child Schemes
| Scheme | Rate (% p.a.) | Compounding | Tenure | Min Investment | Max Investment | 80C | TDS |
|---|---|---|---|---|---|---|---|
| Sukanya Samriddhi Yojana | 8.2% | Annual | 21 years | ₹250/year | ₹1.5 lakhs/year | ✓ | – |
Rates are updated quarterly by the Government of India. Last fetched: 2026-04-07. Always verify with India Post before investing.
About National Savings Schemes
National Savings Schemes are small savings instruments managed by the Government of India through India Post. They offer guaranteed, risk-free returns and are a cornerstone of conservative financial planning.
Click any scheme name in the table above to read a detailed plain-language guide — what the scheme does, who it is for, key features, and what to watch out for.
Post Office Deposit Schemes
Post Office deposits — including the Savings Account, 1Y, 2Y, 3Y, and 5Y Time Deposits, and the Recurring Deposit — are flexible instruments for parking short-to-medium term funds. The 5-year Time Deposit also qualifies for Section 80C tax deduction.
Senior Citizen Savings Scheme (SCSS)
SCSS offers one of the highest guaranteed returns among all NSS schemes at 8.2% p.a., paid out quarterly. It is the ideal instrument for retirees seeking regular income backed by sovereign guarantee. Maximum investment: ₹30 lakhs per individual. The Monthly Income Scheme (MIS) is the non-age-restricted alternative for monthly payouts.
Certificates & Bonds (NSC and KVP)
NSC is a 5-year instrument with 80C tax benefit — interest is reinvested and also qualifies for 80C in years 1–4. KVP doubles your money at the prevailing rate (no fixed tenure, revised quarterly). Both can be pledged as collateral for loans.
Provident Fund & Girl Child Schemes
PPF is the gold standard for long-term, tax-free wealth creation — EEE (Exempt-Exempt-Exempt) at every stage. SSY (Sukanya Samriddhi Yojana) extends the same EEE benefit for girl children with a slightly higher rate. MSSC (Mahila Samman Savings Certificate) is a 2-year option for women with no long lock-in.
Need personalized guidance on which scheme suits your goals? Plan with Artha →
Frequently Asked Questions
Which National Savings Scheme has the highest interest rate?
Senior Citizen Savings Scheme (SCSS) and Sukanya Samriddhi Yojana (SSY) currently offer the highest rate at 8.2% p.a. SCSS is for individuals aged 60 and above, while SSY is exclusively for girl children below 10 years of age.
What is the current PPF interest rate?
The Public Provident Fund (PPF) currently offers 7.1% per annum, compounded annually. The interest is fully tax-free under the EEE (Exempt-Exempt-Exempt) framework — contributions, interest, and maturity amount are all tax-exempt.
Are NSS interest rates fixed or revised?
NSS interest rates are not fixed permanently. The Government of India revises them every quarter (January–March, April–June, July–September, October–December). Rates can increase, decrease, or remain unchanged each quarter.
When are NSS interest rates revised?
The Ministry of Finance announces NSS interest rates for each quarter, typically in the last week of the preceding quarter. Revisions apply from April 1, July 1, October 1, and January 1 each year.
What is the difference between NSC and KVP?
NSC (National Savings Certificate) offers 7.7% p.a. for a fixed 5-year tenure with tax benefits under Section 80C. KVP (Kisan Vikas Patra) has no 80C benefit but doubles your investment at maturity (currently ~115 months). NSC is better for tax-saving; KVP is simpler for capital growth without a fixed rate.
Is TDS deducted on NSS scheme returns?
TDS applies on Post Office Time Deposits, SCSS, and similar schemes if annual interest exceeds ₹40,000 (₹50,000 for senior citizens). PPF, NSC, SSY, KVP, and the Post Office Savings Account interest (up to ₹10,000) are exempt from TDS.
Can NRIs invest in National Savings Schemes?
No. National Savings Schemes are available only to resident Indian citizens. NRIs are not eligible to invest in PPF, NSC, SCSS, SSY, or other post office savings schemes.
