MCQ 1377 of 1461 | Bank-PO (NRA) General-Awareness

Taxability

Quarterly

Frequency of computing interest

9.2 per cent per annum

Rate of interest

5 years, which can be extended by 3 years.

The tenure of the deposit account under the Senior Citizens Savings Scheme is 5 years, which can be extended by 3 years started in 2004 by RBI.

Interest is fully taxable.

Tenure of the deposit account

Whether TDS is applicable

Yes. Tax will be deducted at source.

Investment to be in multiples of

₹1000/-

Maximum investment limit

₹15 lakh

Minimum eligible age for investment

60 years (55 years for those who have retired on superannuation or under a voluntary or special voluntary scheme). The retired personnel of Defence Services (excluding Civilian Defence Employees) will be eligible to invest irrespective of the age limits subject to the fulfillment of other specified conditions

Premature closure/withdrawal facility

Permitted after one year of opening the account but with penalty.

Transferability

Not transferable

Tradability

Not tradable

Nomination facility

Nomination facility is available.

Modes of holding

Accounts can be held both in single and joint holding modes. Joint holding is allowed only with spouse.

Application forms available with

Post Offices and designated branches of 24 Nationalised banks and one private sector bank

Applicability to NRI, PIO and HUFs

Non Resident Indians (NRIs), Persons of Indian Origin (PIO) and Hindu Undivided Family (HUF) are not eligible to open an account under the Scheme.

Transfer from one deposit office to another

Transfer of account from one deposit office to another is permitted.