1.

1 INTRODUCTION

Presently in India, there are various investment schemes and opportunities are available
for an individual to his savings and he can choose the appropriate investment schemes, which
suit his needs. There are different types of opportunities provided by many financial institutions
like commercial and co-operative banks, India post, Life Insurance Corporation, public limited
companies etc.

Among all the above institutions, Post Office Savings Bank schemes play a vital role. It
provides numerous benefits to the investors. Post office saving bank is the largest savings
institution in the country. The role of Department of Post (DOP) has worked as the backbone of
the country’s communication and financial inclusion. But over a time, a role of DOP has changed
and it has grown to become one of the best avenues to channel investment from even the wealthy
investor and use them fruitfully in nation building activities. There are several types of POSB
schemes that cater to the differing needs of various classes of people in which they have an
option to invest with very small amount.

Tax saving features of those schemes attracts the higher income groups more than small
savers. Most of the Postal Investment is exempted from Income Tax under section 80C of the
Income Tax Act, 1961. The investment avenues provided by the post offices are generally
marketable as they are a saving media. The major instruments of post office schemes enjoy tax
benefits such as exemption of investment contribution or interest income from tax or both up to
certain limits.

. With a view to mobilizing savings of people with relatively small income and
circulating in them a spirit of thrift and savings, the central Government has endeavored to make
the National Savings Movement popular by offering high returns than those given by scheduled
banks. There are a number of attractive schemes, well designed to meet the individual
requirements of different investors.

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1.2 STATEMENT OF THE PROBLEM

This Study will help us to understand the consumer’s perception about post office savings
scheme in Kanichar Panchayat. This study will help the consumer‘s to select, organizes and
interprets the Quality of service and product of different savings schemes offered by post office.

1.3 OBJECTIVES OF THE STUDY

1. To study the various POSB schemes of Indian Post.

2. To study the perception of investors in the post office saving schemes
3. To examine the customers attitude and perception towards post office savings in
Kanichar Panchayat.
4. To study the satisfaction level of customers in post office scheme

1.4 SCOPE OF THE STUDY

The main purpose for this study finding the rural area development by the post office
saving schemes, The post office saving is widely known and adopted mechanism by a large
section of people in India. Its outreach has been continuously increasing both in terms of number
of accounts as well as number of branches especially in rural areas. Its strength lies in its
reputation as a government of India’s institutions and other multiple services with standardized
across India. This study helps to find their perception, attitude, saving pattern and the satisfaction
level towards post office savings.

1.5 METHODOLOGY

Sampling Unit:
This study has undertaken in kanichar panchayat of Kannur district of Kerala state which fall
under the kannur postal circle.

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Sample Size
The sample size set 30 postal customers as a respondent.

Period of Study
The study is from December 2016 to March 2017

1.6 SOURCE OF DATA:

Primary Data:
Primary data is a term used in a number of disciplines to describe source material that is
closest to the person, information, period, or idea being studied. In the study of history as an
academic discipline, a primary source (also called original source or evidence) is an artifact, a
document, a recording, or other source of information that was created at the time under study.
Secondary Data:
Secondary data collected by someone other than the user. Common sources of secondary data for
social science include censuses, surveys, organizational records and data collected through
qualitative methodologies or qualitative research.
An interview-schedule and well-structured questionnaire is administered to the target
respondents to collect primary data (Copy of questionnaire is attached in the appendix)
.Open and close ended questions are used in the questionnaire. The order of the questions
is in such a manner that they begin with simple questions and lead on the questions that needed
more involvement from respondents. The secondary data are collected from periodicals,
magazines, journals and internet.
.

1.7 LIMITATION OF THE STUDY:

Although the study was carried out with extreme enthusiasm and careful planning there are
several limitations which handicapped the research viz..
1. Time is limiting factor
2. Respondents bias
3. Restricted to Kanichar Panchayat
4. Peoples didn’t show the interest to fill the question.

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1.8 REVIEW OF LITERATURE

The National Council of Applied Economic Research (NCAER) conducted a survey of

households (1964)2 entitled “Attitude Towards and Motivations for Savings”. The survey
covered a sample of 4650 households spread over India. It provides an insight into the attitude
towards and motivations for savings of individuals. One of the important finding was that the
investment in securities was preferred by the high income households

[NCAER Survey, ―Attitude towards and Motivation for Savings, New Delhi, 1964.]

Vinayagamoorthy and K.Senthilkumar (2012) 1 in their study titled “An analysis of Postal
Investment and Small Savings”, have shown that mobilization of domestic financial resource has
remained a major concern in many developing countries. Despite the variety of vehicles that are
intended to mobilize and allocate financial resources, only very few offer strategies for meeting
the needs of poor and lower income people. Savings are increasingly beings acknowledged as a
powerful tool for poverty reduction. Postal savings funds play a significant role in financing
public debt and in a number of countries, the funds are intermediated through a variety of policy
based financial institutions with developmental objectives, returning the funds to the direct
benefits of the community of savers. Savings is the excess of income over consumption
expenditure. Savings are meant to meet contingencies and raise standard of living of individual
savers.

[A.Vinayagamoorthy and K.Senthilkumar (2012) ‘An analysis of Postal Investment and

Small Savings’ Banking Finance, Vol.XXV No. 02 February, Pp 18-22.]

Dr. Dhiraj Jain and Ms. Ruhika Kothari (2010)92 in their article “Investors’ attitude towards Post
Office Deposits Schemes” the study attempt to identify the awareness , preference, problems and
attitudes of investors‘ towards various deposit schemes offered by post office among 100
respondents of Udaipur district. The primary data is collected through structured questionnaire
and convenience sampling is used. Statistical tools like simple percentage, chi – square analysis,
standard deviation and mean were taken to find out the significance level. Thus from the study it
is found that majority of the respondents invest in post office deposits schemes for the purpose of
safety and security.

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[Dr. Dhiraj Jain and Ms. Ruhika Kothari, ―Investor’s attitude towards Post Office
Deposits Schemes‖ - Empirical Study in Udaipur district, Rajasthan, IJMT, July 2010,
Volume 2, Issue 7 ISSN: 2249-1058]

Karthikeyan (2001) has conducted research on Small Investors' Perception on Post Office Saving
Schemes and found that there was significant difference among the four age groups, in the level
of awareness for KisanVikas Patra (KVP), National Savings Schemes (NSS), and Deposit
Scheme for Retired Employees (DSRE), and the overall score confirmed that the level of
awareness among investors in the old age group was higher than in those of the young age group.
Majority (73.3 per cent) of investors of both semi-urban and urban areas were very much willing
to invest in small savings schemes in future.
[Karthikeyan, B., (2001), 'Small Investors' Perception on Post Office Small Savings
Schemes', unpublished thesis, Madras University, Tamilnadu, India.]

Gavini and Athma (1999) found that social considerations, tax benefits, and provision for old age
were the reasons cited for saving in urban areas, whereas to provide for old age was the main
reason in rural areas. Among the post office schemes, Indira VikasPatra(IVP), KVP and Post
Office Recurring Deposit Account (PORD) were the most popular.
[Gavini, Augustine, L., and PrashanthAthma, (1999), 'Small Saving Schemes of Post Office
Need to Be Known More', Southern Economist, 37(20), February 15, pp. 13-14]

The study by Mukhi (1989) has revealed that NSC has been one of the most popular tax savings
instruments in this country. He has stated that contractor and others who have to provide security
while bidding for contracts finds it extremely convenient to buy NSC and pledge these to the
appropriate authorities while earning 12 per cent per annum on the pledged securities. He also
stated that the major attraction of NSC is its simplicity. Even the average investor does not have
to scratch his head to understand the scheme.

[Mukhi, M.D., (1989), 'NSCs: A saving grace', Business World, 6-19 December, 1989, pp.
107- 120.]

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1.9 CHAPTER SCHEME

The report of this contains five chapters.

I. The first chapter is an introductory chapter in which the problem isstated along with the
objectives of the study, scope and importance, Methodology, limitations of the study, review of
literature and chapter scheme.

II. The second chapter is a literature framework on customer service and retentionand details
about post office.

III. The third Chapter is Analysis and interpretation of data.

IV. The last chapter gives the finding and conclusion of the study andvarious recommendations
for improving the satisfaction level of customers.

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2.1 CUSTOMER SERVICE

Customers are the key elements in all the modern Marketing concepts. Earlier, caveat
emptor (let the buyer beware) ruled a sales transaction, but now the satisfaction of customer is
more important. The seller of a product or the provider of a service finds out what his customer
needs and does his best to meet it. Selling (a product or service) has become a science of human
relations and an art of getting along with people so effectively that sales resistance may be
reduced to the minimum.

Definition of Customer;

For the purpose of KYC policy, a customer is defined as:

An individual that maintains an account and /or has a cash certificate or has a
business relationship with the post office savings bank.
An individual on whose behalf the account is maintained(ie,beneficial owner)

Thoughts of MAHATMA GANDHI on Customer Service

A Customer is the most important visitor on our premises. He is not dependent on us. We
are dependent on him. He is not an interruption on our work. He is the purpose of it. He is not an
outsider on our business. He is a part of it. We are not doing him a favor by serving him. He is
doing us a favour by giving us an opportunity to do so.

2.2 CUSTOMER ACQUISITION

The first step in gaining customers is to have a thorough understanding of the behavior of
the customers in the market. Consumer Behavior is the process whereby individuals decide what,
when, how and from whom to purchase goods and services (Walters and Paul). Consumer
behavior is very complex and dynamic and therefore the managements need to adjust with the
change, otherwise market may be lost.

The motives which induce an ultimate consumer or user to obtain a product or service are
known as buying motives. The seller must discover the customer’s primary motives (for they are
often unaware of these) and direct his appeal as effectively as possible.

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2.3 CUSTOMER RETENTION

As discussed earlier, acquiring new lot to its fold is definitely a difficult task in the
present competitive world. Equally challenging is the retention of the customers so acquired.
In simple terms, improved customer service is the basic fund for customer retention.
Service personnel are more important in all organizations but more so in an organization
involved in providing services. The behavior and attitude of the personnel providing the service
is an important influence on the customer’s overall perception of the service and he can rarely
distinguish between the actual service rendered and the human element involved in it.

2.4 POSTAL SAVINGS

Postal savings systems provide depositors who do not have access to banks a safe,
convenient method to save money and to promote saving among the poor. . Investment culture
refers to the attitudes, perceptions, and willingness of individuals, and institutions in placing their
savings in various financial assets, more popularly known as investments or Postal Savings.

In India, Post Office savings scheme provides a secure, risk free and attractive investment
option for the small investors and offers the savings products across its 155000 Post offices. The
post office savings bank in India was established by the British Colonizers. The Post Office
savings bank is the oldest and by far the largest banking system in the country, serving the
investment need of both urban and rural clientele. These services are offered as an agency service
for the Ministry of Finance, Government of India. The post office savings bank is included in the
union list side item No.39 of the seventh scheduled of the constitution of India. It provides
various schemes framed by the central government under the following acts: (i) Government
Savings Bank Act 1873 (ii) Government Savings Certificate Act 1959 (iii) Public provident fund
1968

The Indian Postal Service, with 155,333 post offices, is the most widely distributed post
office system in the world.

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2.5 POST OFFICE:

A facility in charge of sorting, processing, and delivering mail to recipients. Post offices are
usually regulated and funded by the central govt. post office also provide other services including
passport applications, box distribution, and other delivery services. Each post office is assigned a
specific jurisdiction and is responsible for the delivery and receipt of mail for individuals or
business within the jurisdiction

2.6 POSTAL SERVICES:

The Post office act as a middle man between the center and the receiver. The center post the
letter at the post office and the post office takes all necessary steps to deliver the letter to the
person concerned. In addition to this, the post office also performs some other services. The
services of carrying letter and parcels, arranging remittance of money, accepting deposits of
money etc. are the various services offered by the post office, which the public can avail of. All
these securities are known as postal services.

2.7 NATURE OF POSTAL SERVICES:

Postal services originated with the necessity of communicating written messages. In

the past also, one could exchange message in writing. But then there used to be the practice of
some individuals known as 'runners' being engaged to go from place to place to deliver the
message. Even trained pigeons were used to carry letter from one place to another. The postal
system which we have study became effective with the spread of roadways and railways as
means of transport. In India, until 1837, the postal service was used solely for sending official
mail. After 1837, the postal service made available to the public. In cause of time the post office
offered several other including remittance of money, delivery of parcels, banking, Insurance and
money other such services. Postal services are administrated by Govt. Of India throughout the
Country and charges for all these services are minimal, which the common man can offered.

2.8 PATTERN OF SAVING:

The pattern of reposition of saving is an important factor in determining how the saved
amount is utilized for productive purposes. The proportion of household saving in financial
assets determines the channelization of saving for investment in other sectors of the economy.

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 The volume of investment of saving in physical assets determines the productivity and
generalization of income in that sector itself.
One of the allied services offered by the Department of Posts is the Post Office Savings Bank. It
is one of the largest and oldest banking service institutions in the country. The Department of
Posts operates the Post Office Savings Scheme function on behalf of the Ministry of Finance and
under this scheme more than 20.5crore savings account are serviced.

2.9 POST OFFICE SAVINGS ACCOUNT:

Definition: The Post Office Savings Account is the deposit scheme offered by the department of
post on which fixed interest is paid. The individual investors deposit a good portion of their
financial assets in a postal savings account in order to earn a fixed rate of interest on the
investments these accounts are operated and managed through the network of post offices across
the country.

Following are some of the saving schemes provided by the post office

1)Saving Account Scheme 2) Recurring Deposit Scheme

3)Time Deposit Scheme 4) Public Provident Fund Scheme

5)Monthly Income Scheme 6) National Savings Certificate

7)KisanVikasPatra 8) Senior Citizen Savings Scheme

9)Sukanya SamridhiYojana

How Do POS Work?

A Post office savings account can be opened with a minimum of Rs. 20 and a further deposit into
the account may be as low as Rs. 5.

All such accounts will be opened after proper introduction of the depositor through an introducer
known to the Post Office who has an account (with cheque facility) in the same post office.

Accounts can be opened by an individual, or jointly by 2 or 3 adults.

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 Maximum ceiling of deposits in a single account is Rs.1, 00,000 and Rs.2, 00,000 for joint
accounts.

Cheque Book facility is available at all the Post Offices subject to a minimum balance of
Rs.250/- in the concerned account.

No commission is charged for realization of cheque anywhere in India if the cheque is presented
for deposit at any post office.

The rate of interest is 3.50% per annum in case of single and joint accounts.

The instruments are transferable to any post office in India

No Tax Deduction at Source (TDS)

The POS schemes find appeal among various sections of the society, as they enable regular and
long-term investments without risk. It also provides security of capital and interest and is best
suited for conservative investors.

2.10 DIFFERENT SAVINGS SCHEME PROVIDED BY POST OFFICE

1. Savings account

Account can be opened by cash only.

Cheque facility can be taken in an existing account also.
Nomination facility is available at the time of opening and also after opening
of account.
Account can be transferred from one post office to another.
One account can be opened in one post office.
Account can be opened in the name of minor and a minor of 10 years and above age
can open and operate the account.
Joint account can be opened by two or three adults.
At least one transaction of deposit or withdrawal in three financial years is necessary
to keep the account active.
Single account can be converted into Joint and Vice Versa.

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 Minor after attaining majority has to apply for conversion of the account in his name.
Deposits and withdrawals can be done through any electronic mode in CBS Post
offices.
Inter Post office transactions can be done between CBS post offices.
ATM/Debit Cards can be issued to Savings Account holders (having prescribed
minimum balance on the day of issue of card) of CBS Post offices.

Rate of interest 4% per annum

Minimum Amount for Opening INR 20/-
Interest earned is Tax Free up to INR 10,000/- per year from
financial year 2012-13

Cheque facility available if an account is opened INR 500/-

with

For Cheque facility minimum balance in an INR 500/-

account is to be maintained

Minimum balance to be maintained in a non- INR 50/-

cheque facility account

2. National saving certificate viii issue

Features Rates
Scheme specially designed for Government employees, Rate of interest
Businessmen and other salaried classes who are Income 8.0%.
Tax assesses. Maturity value of a

No maximum limit for investment. certificate of

No Tax deduction at source. INR.100/- purchased

Certificates can be kept as collateral security to get loan on or after 1.10.2016

shall be INR. 146.93
from banks.
After 5 years.
Trust and HUF cannot invest. Maturity value of a

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 Buy National Savings Certificates (NSCs) every month certificate of
for Five years – Re-invest on maturity and relax - On INR.100/- purchased
retirement it will fetch you monthly pension as the NSC on or after 1.4.2012
matures. shall be INR. 147.61
after 5 years.

A single holder type certificate can be purchased by an Investment up to

INR 1, 00,000/- per
adult for himself or on behalf of a minor or to a minor.
annum qualifies for
Deposits qualify for tax rebate under Sec. 80C of IT Act.
IT Rebate under
The interest accruing annually but deemed to be section 80C of
reinvested under Section 80C of IT Act. Income Tax Act.
In case of NSC VIII and IX issue, transfer of certificates
from one person to another can be done only once from
date of issue to date of maturity.

At the time of transfer of Certificates from one person to

another, old certificates will not be discharged. Name of
old holder shall be rounded and name of new holder
shall be written on the old certificate and on the
purchase application (in case of non CBS Post offices)
under dated signatures of the authorized Postmaster
along with his designation stamp and date stamp of Post
office.

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3. Kisan Vikas Patra

Features Rates
Amount Invested matures in 112 months. Kisan Vikas Patra(Available in
Rate of Interest 7.7%. denominations of
Rs.1000,5000.10000 and
Certificate can be purchased by an adult for
Rs.50000)
himself or on behalf of a minor or by two adults.
Minimum deposit- INR 1000
KVP can be purchased from any Departmental
Maximum Deposit- No Limit
Post office.
Facility of nomination is available.

Certificate can be transferred from one person to

another and from one post office to another.

4. Sukanya Samridhi Account

Features Rates
A legal Guardian/Natural Guardian can open Rate of interest 8.5% Per
account in the name of Girl Child. Annum (w.e.f 1-10-
A guardian can open only one account in the name 2016), calculated on
of one girl child and maximum two accounts in the name of yearly basis, Yearly
two different Girl children. compounded.
Account can be opened up to age of 10 years only Minimum Deposit – INR

from the date of birth. Account can be closed after 1000 in a financial year
completion of 21 years.
Normal Premature closure will be allowed after Maximum Deposit - INR
completion of 18 years provided that girl is married 150000 in a financial year

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5. Time Deposit Scheme

Features Rates

Account may be opened by individual. Interest payable annually

Account can be opened by cash/cheque and in case of cheque but calculated quarterly.

the date of realization of cheque in Govt. account shall be From 1.10.2016, interest
date of opening of account. rates are as follows:
Nomination facility is available at the time of opening and Period Rate

also after opening of account. 1yr. A/c 7.0%

Account can be transferred from one post office to another. 2 yr. A/c 7.1%

Any number of accounts can be opened in any post office. 3 yr. A/c 7.3%
5 yr. A/c 7.8%
Account can be opened in the name of minor and a minor of Deposit Amounts are as
10 years and above age can open and operate the account.
follows:-
Joint account can be opened by two adults. Minimum Deposit - INR.

Single account can be converted into Joint and Vice Versa. 200/- and in multiples of
Minor after attaining majority has to apply for conversion of INR. 200/- thereafter

the account in his name. Maximum Deposit - No

limit

6. Public Provident Fund Scheme

Features Rates

Deposits can be made in lump-sum or in 12 installments. public provident

Joint account cannot be opened. fund(individual
account on his behalf
Account can be opened by cash/cheque and In case of cheque,
or on behalf of
the date of realization of cheque in Govt. account shall be date of
minor of whom he is
opening of account.

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 Nomination facility is available at the time of opening and also the guardian)
after opening of account. Account can be transferred from one minimum amt for
post office to another. opening-INR 1000
The subscriber can open another account in the name of minors minimum deposit –
but subject to maximum investment limit by adding balance in INR 500 in a
all accounts. financial year
Maturity period is 15 years but the same can be extended within maximum deposit –
one year of maturity for further 5 years and so on. INR 150000 in a
Maturity value can be retained without extension and without financial year
further deposits also.

Premature closure is not allowed before 15 years.

Deposits qualify for deduction from income under Sec. 80C of

IT Act.

Interest is completely tax-free.

Withdrawal is permissible every year from 7th financial year

from the year of opening account.

Loan facility available from 3rd financial year.

Handed and above.

7. Monthly Income Scheme

Features
Account may be opened by individual.
Account can be opened by cash/cheque
and in case of cheque the date of
realization of cheque in Govt. account
shall be date of opening of account.
Rates
Interest can be drawn through auto
credit into savings account standing at
same post office, through PDCs or
ECS./In case of MIS accounts
standing at CBS Post offices, monthly
interest can be credited into savings

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Nomination facility is available at the
time of opening and also after opening of
account.
Account can be transferred from one post
office to another. Any number of accounts
can be opened in any post office subject
to maximum investment limit by adding
balance in all accounts.
Account can be opened in the name of
minor and a minor of 10 years and above
age can open and operate the account.
Joint account can be opened by two or
three adults. All joint account holders
have equal share in each joint account.
Single account can be converted into
Joint and Vice Versa.
Minor after attaining majority has to
apply for conversion of the account in his
name. Maturity period is 5 years from
1.12.2011.
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account standing at any CBS Post
offices.
Can be prematurely en-cashed after
one year but before 3 years at the
discount of 2% of the deposit and
after 3 years at the discount of 1% of
the deposit. (Discount means
deduction from the deposit.)
A bonus of 5% on principal amount is
admissible on maturity in respect of
MIS accounts opened on or after
8.12.07 and up to 30.11.2011.
No bonus is payable on the deposits
made on or after 1.12.2011. From
1.10.2016, interest rates are as
follows:-7.70% per annum payable
monthly.
In multiples of INR 1500/-Type of
Account Minimum Deposit Maximum
Deposit Single INR. 1500/-INR 4.5
lakh Joint INR. 1500/-INR 9 lakh An
individual can invest maximum INR
4.5 lakh in MIS (including his share in
joint accounts)
8. Senior Citizen Saving Scheme

Features Rates
An individual of the Age of 60 years or more may open From 1.10.2016, interest
the account. rates are as follows:-
An individual of the age of 55 years or more but less 8.5% per annum, payable from

than 60 years who has retired on superannuation or the date of deposit of 31st
under VRS can also open account subject to the March/30th Sept/31st December
condition that the account is opened within one month in the first instance & thereafter,
of receipt of retirement benefits and amount should not interest shall be payable on 31st
exceed the amount of retirement benefits. March, 30th June, 30th Sept and
Maturity period is 5 years. 31st December.

A depositor may operate more than one account in There shall be only one
deposit in the account in
individual capacity or jointly with spouse
multiple of INR.1000/-
(husband/wife).
maximum not exceeding INR
In case of cheque, the date of realization of cheque in
15 lakh.
Govt. account shall be date of opening of account.
Account can be opened by
Nomination facility is available at the time of opening
cash for the amount below
and also after opening of account.
INR 1 lakh and for INR 1
Account can be transferred from one post office to Lakh and above by cheque
another only.
Any number of accounts can be opened in any post Premature closure is allowed

office subject to maximum investment limit by adding after one year on deduction
balance in all accounts. of an amount equal to1.5% of
Joint account can be opened with spouse only and first the deposit & after 2 years

depositor in Joint account is the investor. 1% of the deposit.

Interest can be drawn through auto credit into savings TDS is deducted at source on

account standing at same post office, through PDCs or interest if the interest amount
is more than INR 10,000/-

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 Money Order. p.a.

In case of SCSS accounts, quarterly interest shall be

payable on 1st working day of April, July, October and
January. It will be applicable at all CBS Post Offices.

9. Recurring Deposit Scheme

Features Rates
Account can be opened by cash/cheque and in case of From 1.10.2016, interest rates are
cheque the date of deposit shall be date of presentation of as follows:-
cheque. 7.3% per annum (quarterly

Nomination facility is available at the time of opening compounded)

and also after opening of account. On maturity INR 10/- account

Account can be transferred from one post office to fetches INR 725.05. Can be
another. continued for another 5 years on
Any number of accounts can be opened in any post year to year basis.

office. Individual A/C-

Account can be opened in the name of minor and a minor Minimum deposit :INR 10/- per

of 10 years and above age can open and operate the month or any amount in multiples
account. of INR 5/-
Joint account can be opened by two adults. Maximum Deposit: No Limit

Subsequent deposit can be made up to 15th day of next If subsequent deposit is not made

month if account is opened up to 15th of a calendar up to the prescribed day, a default

month and up to last working day of next month if fee is charged for each default,
account is opened between 16th day and last working default fee @ 5 paisa for every 5
day of a calendar month. rupee shall be charged. After 4
*If in any RD account, there is monthly default(s) the regular defaults, the account

19
depositor has to first pay the defaulted monthly deposit with becomes discontinued and can be
default fee and then pay the current month deposit. This will revived in two months but if the
be applicable for both CBS and non CBS Post offices. same is not revived within this

There is rebate on advance deposit of at least 6 period, no further deposit can be

made.
installments.
Single account can be converted into Joint and Vice Versa.

Minor after attaining majority has to apply for conversion of

the account in his name.

One withdrawal up to 50% of the balance allowed after

one year.
Full maturity value allowed on R.D. Accounts restricted to
that of INR. 50/- denomination in case of death of depositor
subject to fulfillment of certain conditions.
In case of deposits made in RD accounts by Cheque, date of
credit of Cheque into Government accounts shall be treated
as date of deposit.

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