You can open Post Office Savings Accounts easily in India. It is a regular savings account like a bank account and you can earn interest on funds parked in it.
This article will discuss the minimum balance in post office savings accounts.
The ‘minimum balance in post office savings account’ is Rs.500. You need to deposit this amount while opening the account and need to maintain this balance to hold the account. There is no limit on the maximum amount that can be held in a post office savings account.
Some other rules and regulations related to a post office savings account are -
The minimum withdrawal that is allowed is Rs.50
You can earn an interest of 4% per annum
The interest is calculated based on the minimum amount from the 10th of a month to the end of the month
If the balance falls below Rs.500, no interest will be paid for that month
If the minimum balance is not raised to Rs.500 at the end of the financial year, Rs.50 will be deducted as a maintenance fee
If an account has no activity for three consecutive financial years, it will be treated as a Silent or Dormant Account
No, a zero minimum balance account cannot be opened in a Post Office. You need to deposit Rs.500 while opening the account and need to maintain that amount.
If your balance becomes zero at any point, your account will be automatically closed.
The following parties can open a Post Office Savings Account -
a single adult
two adults only (Joint A or Joint B)
a guardian on behalf of a minor
a guardian on behalf of a person of unsound mind
a minor above 10 years in their name
Please note that a joint account cannot be converted to a single account or vice versa.
Post Office Savings Accounts are a safe way to save money while not having to worry about high maintenance charges. The ‘minimum balance in post office savings account’ is Rs.500. A zero minimum balance account cannot be opened in a post office.
You can earn an interest of 4% on the savings in your post office account. ATM, cheque, and other services are also provided by Post Office Savings Accounts.
The minimum balance in a post office savings account is Rs.500.
Yes, you can get ATM cards from your post office savings accounts. You can use these ATMs at most ATMs.
Yes, the post office is a safe and secure place to open a savings account.
If you do not maintain a minimum balance of Rs.500 in the post office savings account, Rs.50 will be deducted as a maintenance fee.
The minimum withdrawal amount from a post office savings account is Rs.50.
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