National savings certificate

A Government of India initiative, the National Savings Certificate (NSC) is a fixed-income investment scheme that you can open easily with any post office. What is National Savings Certificate? National Savings Certificate is a savings bond scheme that encourages subscribers, primarily small to mid-income investors, to invest while saving on income tax under Section 80C. Who Should Invest in NSC? The NSC offers guaranteed interest and complete capital protection, just like some other fixed income instruments - Public Provident Fund and Post Office FDs. However, they cannot deliver inflation-beating returns like tax saving Mutual Funds and National Pension Systems. Basically, the Government has promoted the National Savings Certificate as a savings scheme for Indian individual citizens. Below are the list of NSC eligibility criterias which are required to invest in NSCs- • Hindu Undivided Families (HUFs), Trusts, Private and public limited companies are not eligible to invest in NSC. • The individual must be an Indian citizen. Non-Resident Indians (NRIs) are not eligible for investing in NSC. • There is no age limit for individuals in order to purchase a certificate. How to Invest in NSC? Earlier, physically pre-printed NSC certificates were issued by banks or Post Offices. However, the same has been discontinued. Presently, the certificates can be, • Recorded in two modes namely e-mode (electronic mode) or in Passbook mode • Purchased from all Public Sector Banks and the t...

Table Of Contents • WHAT IS IT? • ITS TYPES • IMPORTANT POINTS TO NOTE • WHO CAN INVEST IN IT? • INVESTMENT LIMIT • WHERE IS YOUR MONEY INVESTED? • HISTORICAL RETURNS • ACCESS TO FUNDS INVESTED • BENEFITS IT OFFERS • ITS LIMITATIONS • WHO SHOULD INVEST INIT? • WHO SHOULD AVOID IT? • A PIECE OF ADVICE WHILE INVESTING • RISKS IT INVOLVES • TAXATION RULES • BETTER ALTERNATIVES TO IT • HOW TO START INVESTING? • POST QUESTIONS WHAT IS NATIONAL SAVINGS CERTIFICATE (NSC)? NATIONAL SAVINGS CERTIFICATE (NSC) is a 5-year post office small savings scheme meant for individuals. Like most of the government promoted schemes, this scheme also provides tax benefits to its investors. Since it has a backing of the government, it offers guaranteed returns with negligible risk of default and market fluctuations. Currently, it offers a fixed interest @ 6.8%, compounded quarterly and payable only upon maturity. WHAT ARE THE TYPES? The following 3 types of NATIONAL SAVINGS CERTIFICATE (NSC) are available to investors. 1. Single holder type certificate– This certificate is issued to an adult individual or on behalf of a minor or to a minor who is at least 10 years old. 2. Joint A type certificate– This certificate is issued jointly to two adults, payable to both the holders jointly or to the survivor. 3. Joint B type certificate– This certificate is issued jointly up to 3 adults, payable to either of the holders or the survivor. IMPORTANT POINTS TO NOTE ABOUT NATIONAL SAVINGS CERTIFICATE (NSC) Th...

• Credit Card • Best Premium Credit Cards • Best Credit Card For Travel • Best Free Credit Cards With No Annual Fee • Best Fuel Credit Cards • Best Cashback Credit Cards • Best Credit Card For Free Airport Lounge Access • Best Credit Cards For Online Shopping • Investing • Insurance • Best Travel Insurance • Best Two-Wheeler Insurance • Best Term Insurance Plans • Best Health Insurance Plans for Senior Citizens • Money • EPF • Loan • Best Bank For Home Loan • Best Gold Loan Bank • Best Banks For Personal Loan • Best Banks For Education Loan • Banking • Best Bank For Current Account • Best Savings Bank Account Share on Facebook Share on Twitter Share on LinkedIn Share on Email Share on WhatsApp Who doesn’t want to save a bit as a financial hand for tomorrow? You must have come across terms like GPF, EPF, PPF, etc. when it comes to savings. This time, let’s know a bit more about another scheme, i.e., National Savings Certificate. But first of all, let’s know what National Savings Certificate is. In this article • • • • • • • • • • • • • • • • • National Savings Certificate is one of the bright options you can fetch for investing. This is a safe and low-risk product for investors. It is an enterprise framed by our Indian government. For those who want capital security, then this is the plan for you to invest. What Are The Features Of The National Savings Certificate? National Savings Certificate abbreviated as the Indian government frames NSC. Mentioned below are some feature...

• • • • • • • • • • What is NSC? NSC- National Savings Certificate is a savings scheme that primarily encourages small to mid-income investors to invest along with availing tax benefits under Section 80C of the Income Tax Act. This scheme has a lock-in period of 5 years and has a risk-free return on investment. Currently, the NSC interest rate is 7% p.a. and it is revised by the government on a regular basis every year. Let’s Summarize the NSC scheme in the below table: Minimum Investment INR 1000 Lock-in Period 5 years NSC Interest Rate 7% p.a. Risk Profile Low Risk Tax Benefits Tax deduction up to INR 1.5lakh u/s 80C Explore What are the Features of NSC? • Rate of Interest: Currently, the NSC Interest Rate offered is 7% p.a. • Minimum and Maximum Investment: There is no maximum limit for investment. The minimum investment amount is INR. 1000 (or multiples of 100) and the investor can increase the amount when feasible. • Access to the Certificate: One can purchase the Certificate from any Post Office upon successful completion of the KYC verification process. Further, the certificate is easily transferable from one Post Office to another or from one person to another without impacting the original certificate. • Lock-in Period: The maturity period of the investment is 5 years. • Power of Compounding: Interest earned on the investment gets compounded every year and is re-invested by default. Hence, the same is payable at the time of maturity. • Nomination Facility: The inv...

National Savings Certificateis a common investment instrument for tax saving and guaranteed returns. First introduced in the 1950s, the scheme quickly climbed the charts with its low-risk feature and government-backed advantage. Conservative investors looking to invest for shorter durations opt to invest in the National Savings Scheme to balance their financial portfolio. The NSC interest rates are fixed by the government and revised quarterly. The current NSC interest rate for the quarter April-June 2023 stands at 7.7%, compounded annually. Investors can enjoy several tax benefits on the investment amount and the interest earned under Section 80C of the Income Tax Act 1961. Read on to learn more. 1. Historical Data of NSC Interest Rate Based on the decisions of the Ministry of Finance, NSC interest rates are subject to revision every quarter. The NSC interest is compounded annually but paid only on maturity. Listed below is the NSC interest rate chart of the previous years: Period Interest Rate (% per annum) April 2023 to June 2023 7.70% January 2023 to March 2023 7.00% October 2022 to December 2022 6.80% July 2022 to September 2022 6.80% April 2022 to June 2022 6.80% January 2022 to March 2022 6.80% October 2021 to December 2021 6.80% July 2021 to September 2021 6.80% April 2021 to June 2021 6.80% January 2021 to March 2021 6.80% October 2020 to December 2020 6.80% July 2020 to September 2020 6.80% April 2020 to June 2020 6.80% January 2020 to March 2020 7.90% October 20...

Total interest How does the NSC calculator work? An NSC calculator helps a user ascertain the future value or the maturity proceeds of the money invested in NSCs. Just key in the amount of money invested and the rate of interest (6.8% at present) and the calculator will show the maturity value of an NSC after five years. For example, ₹1 lakh invested in an NSC at the rate of interest of 6.8% gives ₹138,949 at the time of maturity. i.e. at the end of fifth year. Frequently Asked Questions An NSC can be bought by resident Indian individuals. Thus, a trust and HUF (Hindu Undivided Family) or any other non-individual person such as a company cannot invest in an NSC. An NSC can be bought in a sole capacity or can be bought jointly by individual investors. Individual investors with a low risk appetite looking for assured returns may purchase an NSC. Nomination facility is available in an NSC. NSC pays a 6.8% rate of interest at present. The rate contracted at the time of issue of the NSC does not change till the NSC matures. The interest is compounded yearly but paid at the time of maturity. The rate of interest payable on an NSC is more attractive now as compared to five-year bank deposits or company deposits with similar risk profiles. The Government of India reviews the rate of interest payable on all small saving schemes, including NSC, once in every quarter. Hence the rate of interest payable on NSC may change from time to time and investors would be better off if they conf...

The government of India offers many kinds of investment schemes for investors from all walks of life. Most of these offer guaranteed returns, making them suitable for individuals with a low tolerance for risk. The National Savings Certificate (NSC) and Kisan Vikas Patra (KVP) are two of the many investment options backed by the Indian government. These two schemes come with their own unique features and benefits. If you are an investor who is looking for some secure investment options to bring down your overall portfolio risk, the NSC and KVP are worth taking into consideration. Want to know more about these two schemes and how they compare? Keep reading to find out all these details and more. The eligibility criteria for NSC are fairly simple. Here is a closer look at who can open an NSC account. • Any individual adult (in case of a single account • Up to 3 adults (in case of a joint account) • A guardian (in case of a minor or a person who is of unsound mind) • Minors above 10 years (in their own name) You can pledge your NSC account balance as security to any of the following authorities. – • The President of India or the Governor of your State • The Reserve Bank of India, or any other scheduled bank, co-operative society or co-operative bank • Any public or private corporation, any government company or a local authority • Any housing finance company The Kisan Vikas Patra is another savings scheme introduced by the government of India, through the Department of Posts. ...

• Home • Karnataka Election 2023 • Budget 2023 • Market • Stock Stats • Top Gainers • Top Losers • Indices • Nifty 50 • Sensex • CaFE Invest • Commodities • IPO NEWS • Investing Abroad • IPOs • Economy • Tech • Auto • SME • Mobility • Industry • Banking & Finance • Education • Money • Insurance • Income Tax • Mutual Funds • Blockchain • Infrastructure • Railways • Aviation • Roadways • India • Defence • Lifestyle • Travel & Tourism • Health • Science • Healthcare • Brand Wagon • Entertainment • Events • Jobs • Sports • IPL 2023 • Multimedia • Photos • Videos • Audio • Web Stories • Auto Web Stories • Infographics • ePaper • Today’s Paper • From The Print • International • Edits & Columns • Opinion • FE 360 • Politics • Economy • Personal Finance Print • Front Page • FE Insight • Fe@Campus • archive National Savings Certificate (NSC) Interest Rate April-June 2023: The Finance Ministry has increased the National Savings Certificate (NSC) interest rate to 7.7% for the first quarter of FY 2023-24 starting tomorrow (April 1). For the fourth quarter of FY 2022-23, the NSC interest rate was Along with NSC, the Government has also revised the interest rates of some other small savings schemes like Highest Fixed Deposit Interest Rates: Get up to 9.1% now – Check latest FD rates Also Read: Like PPF and SCSS, the amount deposited in NSCs can also be claimed as a deduction under Section 80C of the Income Tax Act subject to an annual limit of Rs 1.5 lakh/year. The deposits made in NSCs...

Fixed Interest Savings Certificates Fixed Interest Savings Certificates are no longer on sale. Find out how to manage your current Certificates if they’re coming up for maturity, or if you need to cash in early. Find out how much your Certificates are worth You can easily find out how much your Certificates are worth by logging in to your online account. Managing your maturing Certificates We’ll write to you around a month before your Certificates mature explaining the options available to you. You’ll need to decide if you want to: • automatically renew your Certificate for another term of the same length • renew it for a term of a different length • cash it in If you choose to renew your Certificate for another term of the same length, you’ll receive the interest rate we quote in your letter, even if our rates go down before your maturity date. If you renew for a different term, you’ll receive the rate on offer on the date your Certificate matures. Bear in mind that this could be higher or lower than the rate in the summary box we send you. See the summary box for the renewal rates on offer: Fixed Interest Savings Certificates summary box You can see the new customer agreement here: Key features leaflet, including customer agreement Not heard from us? Call us if you have any questions or you haven’t heard from us 30 days before the end of your investment term. And don’t forget to tell us if you change your address or contact details. Cashing in early Fixed Interest Saving...