RBI notifies interest rates for different small saving schemes for quarter ending September
Q. RBI on July 7, 2016 notified interest rates for different small saving schemes for quarter ending September. What is the interest rate on savings deposits?- Published on 11 Jul 16a. 3
b. 4
c. 3.5
d. 4.5
ANSWER: 4
RBI on July 7, 2016 has notified the interest rate for different small savings scheme for the quarter closing September.
- Interest rates have been retained as they were for the previous April-June quarter
- Internet rates for small savings schemes like Kisan Vikas Patra and Public Provident Fund Scheme are notified on a quarterly basis.
- Interest rate on savings deposit is 4 percent while for the 5 year recurring deposit and 5 year senior citizen’s scheme is 7.4 percent and 8.6 percent respectively.
- Public Provident Fund Scheme earns interest rate of 8.1 percent and Kisan Vikas Patra of 7.8 percent.
- 110 months maturity period is stipulated for these schemes.
- Interest rate on Sukanya Samriddhi Account Scheme is 8.6 percent and in another notification, there has been a review of reporting requirements with an aim to reduce the burden of compliance. Banks have been told to discontinue submission of such reports with immediate effect.
