Invested in Post Office Scheme; Complete this critical task by March 31st

There is important news for people who have invested in the post office’s small savings scheme. Actually, the terms of these schemes will change on 1st April 2022, which will have a direct impact on customers.

Individuals who invest in the Post Office Monthly Income Scheme (MIS), Senior Citizen Savings Scheme (SCSS), or Post Office Time Deposits (TD) will receive a regular interest payment on a monthly, quarterly, or yearly basis, depending on the option they choose.

Department of Post has discovered that many individuals have not linked their post office savings account or bank account with their MIS, SCSS, or TD, and interest accrued in such cases is left unpaid in various office accounts. According to the department, interest earned on these schemes will only be credited to the investor’s post office savings account or bank account linked to the scheme beginning April 1, 2022.

“Interest on MIS/SCSS/TD accounts will be credited only in account holder’s PO Savings Account or Bank Account with effect from 01.04.2022,” according to the Department of Post’s most recent circular. If an account holder is unable to link his/her Savings Account with MIS/SCSS/TD accounts before 31.03.2022 and interest is credited in MIS/SCSS/TD sundry office accounts, the outstanding interest must be paid only through credit in PO Savings Account or by Cheque. With effect from April 1, 2022, cash interest payments from MIS/SCSS/TD sundry office accounts are prohibited.”

Customers must Link a savings or bank account in order to invest in Time Deposit Accounts, Senior Citizen Savings Schemes, and Monthly Income Schemes under the new guidelines (MIS).

Interest from Post Office Senior Citizen Savings Schemes, MIS, Time Deposit Accounts, and other accounts will now be credited to that account.

The post office advised that if you already have a bank or post office account, you should link it to the post office’s small savings account. According to the government’s notification, if you do not have a savings account, you will not receive interest on your modest savings account, therefore do this crucial task before March 31, 2022.

Benefits of linking your savings account to MIS, TD, SCSS as per Circular Issued

a) Savings account interest earns additional interest if it is not withdrawn directly from a MIS/SCSS/TD account.

b) Depositors can withdraw their interest without visiting a post office and use it in a variety of ways, including electronically.

c) Eliminating the need to complete multiple withdrawal forms for each MIS/SCSS/TD account.

d) Depositors can have interest from their MIS/SCSS/TD accounts automatically credited to their RD accounts via a PO Savings Account.