How to Open an FD Account in the Indian Post Office
Post Office Time Deposits (POTD), popularly known as Post Office Fixed Deposits are backed by the government. Under this scheme, you can earn up to 7.50% p.a. You can choose a tenure of 1, 2, 3, or 5 years.
Features of Post Office Fixed Deposit
The features of Post Office Fixed Deposit can be summed up as follows:
Investment Tenure | 1 year, 2 years, 3 years, and 5 years |
Minimum deposit amount | Rs.1,000 |
Payment mode | Cash, Cheque, and Online Payment |
Interest calculation and credit | Annual |
Withdrawal before maturity | Allowed; Only after the completion of 6 months |
Special Interest Rates for Senior Citizens | Not Applicable |
Tax Benefits under Section 80C | Applicable only for 5-year Fixed Deposits |
Post Office Fixed Deposit Interest Rates
The Government of India (GOI) is responsible for updating the rate of interest for Post Office Fixed Deposits. AS per the latest update, the rate of interests for the Post Office Fixed Deposits are listed below:
Investment Tenure | Interest Rate |
1 year | 6.90% |
2 years | 7.00% |
3 years | 7.00% |
5 years | 7.50% |
Benefits of Post Office Fixed Deposit
There are a host of benefits which can be enjoyed by investing in Post Office Fixed Deposit. These benefits can be listed as follows:
- Tax Deducted at Source (TDS) is not chargeable on the interest earned
- Easy money transferring facility from one post office to another
- One of the safest investments as it is backed by the Government of India
- Multiple FD accounts can be opened in any post office across the country
- Attractive rate of interest
- Nominal deposit terms wherein minimum deposit amount is Rs.1,000 only
- Nomination facility available for Post Office Time Deposit (POTD) accounts
- Joint FD accounts allowed with up to 3 members for each account
Eligibility Criteria for Post Office Fixed Deposit
The eligibility criteria for Post Office Fixed Deposit can be listed as follows:
Who can open the account | Eligibility |
Single adult | Should be at least 18 years old |
Minors | He or she should be more than 10 years old |
Minors (less than 10 years old) | Account can be opened by a legal guardian |
Person of unsound mind | Account can be opened by a legal guardian |
Documents Requirements for Opening a Post Office Fixed Deposit
The following documents will be required to open a Post Office Fixed Deposit account in any post office across the country:
Particulars | Document Required |
Proof of Identity | Aadhaar card, Voter's ID card, etc. |
Proof of Address | Aadhaar card, utility bills (such as electricity bill, water bill), ration card, etc. |
Compulsory Document | PAN card |
Photographs | At least 2 recent passport sized photographs |
How to Apply for a Post Office FD
You can open a Post Office Fixed in any post office across India using both online and offline methods. Both the methods are discussed below:
1) Online Method: You can open a Post Office FD online using the post office's internet banking facility. The following steps should be followed:
Step 1: Visit the official India Post e-Banking portal.
Step 2: Use your registered ID and password to log in to the portal.
Step 3: Click on the 'Service Request' option under the 'General Services' tab.
Step 4: Follow the on-screen steps, then click 'New Request' to start your FD application.
2) Offline Method:
Step 1: You can visit your nearest India Post branch and collect the form for opening a new Post Office Fixed Deposit account.
Step 2: Submit the copies of all the necessary document along with a duly filled up application form.
Step 3: The officials at the post office will guide you with further directions for the process.
Terms and Conditions in Regard to Premature Withdrawal Rules for Post Office FDs
Whether the tenure for your Post Office Fixed Deposit account is anywhere between 1 year to 5 years, in case of a premature withdrawal certain rules will be applicable. These rules are being pointed below:
- A premature withdrawal will not be allowed at least for 6 months from the date of opening the Fixed Deposit account.
- Withdraw between 6 and 12 months after opening the account, and you'll earn the Post Office Savings Account rate instead of the FD rate.
Apply for Other Banks FD
- Apply for SBI FD
- Apply for HDFC FD
- Apply for Axis Bank FD
- Apply for Canara Bank FD
- Apply for IDBI Bank FD
- Apply for Bank of India FD
- Apply for Bank of Maharashtra FD
- Apply for Union Bank FD
- Apply for Indian Bank FD
- Apply for Central Bank of India FD
- Apply for IOB FD
- Apply for IndusInd Bank FD
- Apply for Standard Chartered Bank FD
- Apply for Yes Bank FD
- Apply for Kotak Bank FD
- Apply for PNB FD
- Apply for RBL Bank FD
- Apply for HSBC Bank FD
- Apply for Bank of Baroda FD
- Apply for KVB FD
- Apply for Federal Bank FD
FAQs on How to Open an FD Account in Indian Post Office
- What is the maximum amount that I can deposit under the Post Office Fixed Deposit scheme?
There is no upper cap on the deposit amount under the Post Office Fixed Deposit scheme.
- Can I renew an investment made in Post Office Fixed Deposit account?
Yes, you will be able to renew your Post Office Fixed Deposit account investment.
- How to renew an investment made in Post Office Fixed Deposit account?
If you don't withdraw your money at maturity, the account renews automatically. Note: the renewed FD earns whatever rate the post office offers on the renewal date.
- I'm not an Indian citizen. Am I eligible to open a Post Office Fixed Deposit account?
No, you are not eligible to open a Post Office Fixed Deposit account. It is open for Indian citizens only.
- Do I have to pay a penalty if I make a premature withdrawal?
No, there's no penalty for early withdrawal. But if you withdraw between 6 and 12 months after opening the account, you'll earn the savings account rate instead.
Disclaimer
Credit Card:
Credit Score:
Personal Loan:
Home Loan:
Fixed Deposit:
Copyright © 2026 BankBazaar.com.