The central government on Monday announced a status quo on the interest rates applicable to small savings schemes for the second quarter of the financial year. These small schemes are: Savings Account, Time Deposit (four maturities), Recurring Deposit, Senior Citizen Savings Scheme, Monthly Income Scheme, National Savings Certificate, Public Provident Fund, Kisan Vikas Patra, Mahila Samman Savings Certificate, and Sukanya Samriddhi Account.
For the quarter ended June 30, these government-backed fixed income schemes provided interest rates to the tune of 4-8.2 per cent per annum. The latest notification means that the same interest rates will be carried forward to the period from July 1 to September 30.
Currently, the government reviews these interest rates every quarter, implementing any revisions at the onset of a new quarter.
Latest small savings scheme interest rates (July-September 2025) list
| Scheme | Interest rate for July-Sept 2025 | Compounding frequency |
| Post Office savings account (SA) | 4% | Annually |
| Post Office 1-year Time Deposit (TD) | 6.9% (Rs 708 annual interest on Rs 10,000 deposit) | Quarterly |
| Post Office 2-year Time Deposit | 7.0% (Rs 719 annual interest on Rs 10,000 deposit) | Quarterly |
| Post Office 3-year Time Deposit | 7.1% (Rs 729 annual interest on Rs 10,000 deposit) | Quarterly |
| 5-year Time Deposit | 7.5% (Rs 771 annual interest on Rs 10,000 deposit) | Quarterly |
| Post Office 5-year Recurring Deposit (RD) Scheme | 6.7% | Quarterly |
| Post Office Senior Citizen Savings Scheme (SCSS) | 8.2% (Rs 205 quarterly interest on Rs 10,000 deposit) | Quarterly and Paid |
| Post Office Monthly Income Account (MIA) | 7.4% (Rs 62 monthly interest on Rs 10,000 deposit) | Monthly and paid |
| Post Office National Savings Certificate (NSC)-VIII Issue | 7.7% (Rs 14,490 maturity value on Rs 10,000 deposit) | Annually |
| Post Office Public Provident Fund (PPF) Scheme | 7.1% | Annually |
| Kisan Vikas Patra (KVP) | 7.5% (matures in 115 months) | Annually |
| Mahila Samman Savings Certificate | 7.5% (Rs 11,602 maturity value on Rs 10,000 deposit) | Quarterly |
| Sukanya Samriddhi Account (SSA) Scheme | 8.2% | Annually |
Which small savings schemes pay the highest interest rate?
Out of these schemes, Senior Citizen Savings Scheme (a special scheme for senior citizen depositors) and Sukanya Samriddhi Scheme (focused on the girl child) each pay the highest interest rate of 8.2 per cent per annum.
