Small Savings Interest Rates October–December 2026: Full Table
Last updated: 13 October 2026
Quick answer: Small savings interest rates for October–December 2026 are unchanged from the previous quarter. The Ministry of Finance's order of 30 September 2026 keeps PPF at 7.1%, Sukanya Samriddhi and SCSS at 8.2%, NSC at 7.7%, KVP and the 5-year post office deposit at 7.5%, and MIS at 7.4%. These rates apply from 1 October to 31 December 2026.
Last updated: 13 October 2026 Quick answer: Small savings interest rates for October–December 2026 are unchanged from the previous quarter. The Ministry of Finance's order of 30 September 2026 keeps PPF at 7.1%, Sukanya Samriddhi and SCSS at 8.2%, NSC at 7.7%, KVP and the 5-year post office deposit at 7.5%, and MIS at 7.4%. These rates apply from 1 October to 31 December 2026. Key takeaways No change: every scheme keeps its July–September 2026 rate; the last revision took effect in January 2024. Highest rates: SCSS and Sukanya Samriddhi at 8.2%, followed by NSC at 7.7%. Tax-free pair: PPF (7.1%) and Sukanya (8.2%) beat any taxable FD for a 30% taxpayer. Locked rates: NSC, KVP, SCSS, MIS and time deposits keep today's rate for their full term. Next review: rates for January–March 2027 are due around 31 December 2026. The RBI raised the repo rate to 5.50% on 7 October 2026, its first hike since February 2023. A week earlier, the government had already decided that small savings would not move. On 30 September 2026 the Department of Economic Affairs issued an office memorandum keeping every rate for the third quarter of FY 2026-27 exactly where it was. For savers that is mostly good news. Small savings schemes still pay more than big-bank fixed deposits, and they carry a sovereign guarantee. This page gives you the official October–December 2026 table, what each scheme actually pays in rupees, how the rates have moved since 2020, and how to choose between them after the rate hike. Small savings interest rates for October–December 2026: the official table Small savings schemes are deposit schemes run by the Government of India through post offices and authorised banks, with rates reviewed every quarter by the Ministry of Finance. The table below lists the rates notified for 1 October to 31 December 2026, which are identical to the July–September 2026 rates. Scheme Rate (Oct–Dec 2026) Compounding / payout Tenure Deposit limits Post Office Savings Account 4.0% Credited yearly Open-ended Min ₹500 1-year Time Deposit 6.9% Quarterly compounding, paid yearly 1 year Min ₹1,000, no max 2-year Time Deposit 7.0% Quarterly compounding, paid yearly 2 years Min ₹1,000, no max 3-year Time Deposit 7.1% Quarterly compounding, paid yearly 3 years Min ₹1,000, no max 5-year Time Deposit 7.5% Quarterly compounding, paid yearly 5 years Min ₹1,000, no max 5-year Recurring Deposit 6.7% Quarterly compounding 5 years Min ₹100 a month Senior Citizens' Savings Scheme (SCSS) 8.2% Paid quarterly 5 years Max ₹30 lakh Monthly Income Scheme (POMIS) 7.4% Paid monthly 5 years Max ₹9 lakh single, ₹15 lakh joint National Savings Certificate (NSC) 7.7% Compounded yearly, paid at maturity 5 years Min ₹1,000, no max Public Provident Fund (PPF) 7.1% Compounded yearly 15 years ₹500 to ₹1.5 lakh a year Kisan Vikas Patra (KVP) 7.5% Compounded yearly; doubles in 115 months 115 months Min ₹1,000, no max Sukanya Samriddhi Account (SSY) 8.2% Compounded yearly 21 years ₹250 to ₹1.5 lakh a year The formal source is the Department of Economic Affairs office memorandum F.No.1/4/2019-NS dated 30 September 2026, which India Post circulated to post offices the same day as SB Order No. 12/2026 (https://utilities.cept.gov.in/dop/pdfbind.ashx?id=15533) . The memo states that the third-quarter rates "shall remain unchanged" from the second quarter. Bar chart of small savings interest rates for October–December 2026: SSY and SCSS 8.2%, NSC 7.7%, KVP 7.5%, PPF 7.1% Which rates are locked in, and which can change? This is the detail many savers miss. For fixed-tenure schemes, the rate on the day you invest applies for the whole term. An NSC, KVP, SCSS account, MIS account or time deposit opened in November 2026 earns its October–December rate until maturity, even if the government cuts rates later. PPF, Sukanya Samriddhi and the savings account work differently. Their balances earn whatever rate is notified each quarter, so the 7.1% on PPF and 8.2% on Sukanya are current rates, not guarantees for the next 15 or 21 years. How have small savings rates moved since 2020? The current rates have been stable for almost three years. The last revision took effect on 1 January 2024, when the Sukanya Samriddhi rate went from 8.0% to 8.2% and the 3-year time deposit from 7.0% to 7.1%. Before that, April 2023 brought the big jump: NSC rose 70 basis points to 7.7% and SCSS to 8.2%, as Business Standard reported (https://www.business-standard.com/amp/finance/news/national-savings-certificate-steeply-raised-by-70-bps-ppf-kept-unchanged-123033100987_1.html) at the time. The low point came in April 2020, when the pandemic-era cuts took PPF from 7.9% to 7.1%, SCSS from 8.6% to 7.4% and Sukanya from 8.4% to 7.6%, as The Week reported (https://www.theweek.in/news/biz-tech/2020/04/01/ppf-other-small-savings-schemes-to-fetch-lower-returns-from-today-check-revised-rates-here.amp.html) . PPF has stayed at 7.1% ever since, the longest unchanged stretch of any major scheme. Line chart of PPF, SCSS, Sukanya Samriddhi and NSC interest rates by quarter from January 2020 to October 2026 Scheme Jan–Mar 2020 Apr 2020 – Dec 2022 Jan–Mar 2023 Apr–Dec 2023 Jan 2024 – Dec 2026 PPF 7.9% 7.1% 7.1% 7.1% 7.1% SCSS 8.6% 7.4% (7.6% Oct–Dec 2022) 8.0% 8.2% 8.2% Sukanya Samriddhi 8.4% 7.6% 7.6% 8.0% 8.2% NSC 7.9% 6.8% 7.0% 7.7% 7.7% Why didn't the government raise rates after the RBI hike? Small savings rates are meant to follow government bond yields, not the repo rate directly. The formula comes from the Shyamala Gopinath Committee, which the government accepted in 2011: each scheme's rate is the average yield on government securities of similar maturity over the previous quarter, plus a spread. Most schemes get 0.25%, Sukanya 0.75% and SCSS 1%, as this explainer on the formula (https://stableinvestor.com/2026/09/how-small-savings-rates-quarterly-set.html) sets out. Quarterly resets began in April 2016. In practice the formula is a starting point. For most of 2025 and 2026, bond yields were low enough that a strict formula would have suggested lower rates for NSC, SCSS and MIS. The government held them instead. The July–September 2026 quarter, which sets the base for October, came before the repo hike. So the hike has not yet shown up in the formula. Could rates rise in January 2027? Possibly, but do not count on it. The 10-year G-sec yield rose to about 7.25% after the October policy. If yields stay there through October–December, the formula would support PPF at or slightly above its current rate. The decision is still political as much as arithmetic, and the government has kept rates frozen through both falling and rising yields. The next announcement is due around 31 December 2026. What do the schemes actually pay in rupees? Rates mean more when you see the cheque. Here is what the October–December 2026 rates produce on typical amounts. Calculations are ours and assume the rate stays constant where it can reset (PPF, Sukanya). Scheme Example What you get SCSS ₹30 lakh (maximum) ₹61,500 every quarter (₹2,46,000 a year) POMIS ₹9 lakh single / ₹15 lakh joint ₹5,550 / ₹9,250 a month 5-year Time Deposit ₹1 lakh ₹7,714 a year (effective 7.71%) NSC ₹1 lakh ₹1,44,903 after 5 years KVP ₹1 lakh ₹2 lakh after 115 months (9 years 7 months) 5-year RD ₹5,000 a month About ₹3,56,830 after 60 months PPF ₹1.5 lakh a year for 15 years About ₹40.68 lakh (₹22.5 lakh invested) Sukanya Samriddhi ₹1.5 lakh a year for 15 years About ₹71.8 lakh at maturity (21 years) Tiles showing what small savings schemes pay at October 2026 rates: SCSS, POMIS, PPF, NSC, KVP and RD Note that the 5-year time deposit pays interest out every year rather than compounding it over five years. If you reinvest that interest yourself, your effective return will depend on where you park it. NSC, by contrast, compounds internally, which is why ₹1 lakh grows to ₹1.45 lakh. Small savings vs bank FDs after the October 2026 rate hike As of 13 October 2026, big banks' best general FD rates sit around 6.25% to 6.50% for one to three years, while small finance banks offer 7.40% to 8.00%, according to our October 2026 FD rate comparison (/insights/fd-rates-comparison-october-2026) . Most banks had not yet passed on the repo hike. That leaves small savings ahead on almost every comparable tenure. The 5-year post office deposit at 7.5% beats big-bank 5-year FDs by about a percentage point, and SCSS at 8.2% beats senior-citizen FDs at major banks, which top out near 7.05% to 7.10%. The gap widens after tax for tax-free schemes. PPF's 7.1% is equivalent to a taxable return of about 10.3% for someone paying 31.2% tax. A 6.5% FD in the same bracket leaves about 4.47% after tax. Bar chart comparing post-tax returns of PPF, Sukanya Samriddhi, SCSS and NSC with a bank fixed deposit for the 30% tax bracket When a bank FD still makes more sense Short horizons: for money needed within a year, a sweep-in FD or liquid fund is more flexible than a post office deposit. Online convenience: bank FDs open and close instantly online. Post office schemes are easier via IPPB or net banking now, but some still need a branch visit. Small finance banks: an SFB paying 7.5% to 8% for three years can beat a 3-year post office deposit at 7.1%, though DICGC insurance only covers ₹5 lakh per bank. See our guide to SFB FDs and DICGC cover (/insights/small-finance-bank-fd-dicgc-insurance) . Expecting higher rates: if you think rates will rise further, a ladder of shorter deposits keeps options open. Our piece on locking in FDs now or waiting (/insights/lock-in-fd-now-or-wait-rate-hike-2026) runs the numbers. Which small savings scheme suits you in October 2026? There is no single best scheme. The right one depends on your age, tax regime, horizon and whether you need income or growth. Use this as a starting framework. If you are… Look first at Why Retired, 60 or above, needing income SCSS, then POMIS 8.2% paid quarterly, rate locked for 5 years. See our SCSS guide (/insights/senior-citizens-savings-scheme-scss-guide) . Parent of a girl under 10 Sukanya Samriddhi 8.2% tax-free, highest rate on offer. See the Sukanya guide (/insights/sukanya-samriddhi-yojana-guide) . Long-term saver in the 20–30% bracket PPF Tax-free 7.1% with a sovereign guarantee. See the PPF complete guide (/insights/ppf-complete-guide) . Old-regime taxpayer wanting a 5-year lock NSC or 5-year TD Both qualify for the ₹1.5 lakh deduction; NSC compounds. See NSC and KVP explained (/insights/nsc-kisan-vikas-patra-guide) . Wanting regular monthly income below 60 POMIS 7.4% paid monthly. See the POMIS guide (/insights/post-office-monthly-income-scheme-pomis) . How tax changes the picture Under the Income-tax Act, 2025, in force since 1 April 2026, the old section 80C deduction is now section 123. It is available only in the old tax regime and is capped at ₹1.5 lakh a year. PPF, Sukanya, NSC, the 5-year time deposit and SCSS deposits qualify. Interest from SCSS, NSC, KVP, MIS, time deposits and RD is taxable at your slab rate. PPF and Sukanya interest and maturity are tax-free. If you use the new regime, which most salaried taxpayers now do, compare schemes on post-tax interest alone. For bank-style TDS rules and Form 121 (which replaced Forms 15G and 15H), read our senior citizen tax planning guide (/insights/senior-citizen-tax-planning-interest-pension-rent) . How to invest in small savings schemes: step by step Pick the scheme and amount using the table above and your goal's timeline. Choose where to open it: any post office, or an authorised bank (SBI, other public sector banks and some private banks such as ICICI, HDFC and Axis for PPF, SSY and SCSS). Complete KYC: PAN and Aadhaar are required. PAN is mandatory for most deposits and for KVP above ₹50,000. Add a nominee at the time of opening; it avoids a legal-heir process later. Fund it before the 5th for PPF and Sukanya, so that month's deposit earns interest. Diarise the next review around 31 December 2026 if you hold PPF or Sukanya, since their rate can change. Small savings work best as the safe core of a plan, alongside growth assets. For a view of how they fit with equity, read our guide to real returns after inflation and tax (/insights/inflation-real-returns-india-2026) , or use the calculators on our tools page (/tools) . Related reading PPF: Complete Guide to Returns, Extension and Withdrawals (/insights/ppf-complete-guide) NSC and Kisan Vikas Patra Explained (/insights/nsc-kisan-vikas-patra-guide) Senior Citizen Income: FD vs SCSS vs RBI Floating Rate Bonds (/insights/senior-citizen-fd-vs-scss-vs-rbi-floating-rate-bonds) FD Calculator: Cumulative vs Payout, and How TDS Works (/insights/fd-calculator-cumulative-vs-payout-tds) RBI Hikes Repo Rate to 5.50%: What It Means for You (/insights/rbi-repo-rate-hike-october-2026-emi-fd-debt-funds) Frequently Asked Questions What is the PPF interest rate for October–December 2026? The PPF interest rate for October–December 2026 is 7.1% a year, compounded annually. It has been unchanged since April 2020. Because PPF rates are reset every quarter, 7.1% applies to your whole balance only for this quarter; the next review is due around 31 December 2026. PPF interest and maturity proceeds are tax-free. Which small savings scheme gives the highest interest in 2026? Sukanya Samriddhi Account and the Senior Citizens' Savings Scheme both pay 8.2%, the highest of all small savings schemes for October–December 2026. Sukanya is only for girls under 10 and is tax-free; SCSS is for those aged 60 and above (with some early-retiree exceptions) and its interest is taxable. NSC is next at 7.7%. Are post office interest rates unchanged for October 2026? Yes. The Department of Economic Affairs office memorandum dated 30 September 2026 kept all post office savings scheme rates unchanged for 1 October to 31 December 2026. India Post circulated it as SB Order No. 12/2026. The last change to any scheme's rate took effect on 1 January 2024. If I buy NSC now, will my rate change if the government cuts rates later? No. NSC, KVP, SCSS, MIS and post office time deposits lock in the rate that applies on the date you invest, for the full term. An NSC bought in October–December 2026 earns 7.7% compounded annually for all five years. Only PPF, Sukanya Samriddhi and the savings account move with each quarterly revision. When will the next small savings rate revision be announced? The Ministry of Finance usually announces rates on the last working day before a quarter begins. Rates for January–March 2027 should be notified around 31 December 2026. Higher government bond yields after the October 2026 repo hike could support an increase, but the government has often held rates steady regardless of the formula. Are small savings schemes safer than bank FDs? Small savings schemes are obligations of the Government of India, so there is no credit risk and no deposit-insurance cap. Bank FDs are insured by DICGC only up to ₹5 lakh per depositor per bank. Both carry inflation risk and, for fixed-rate schemes, the risk of locking in before rates rise. Is the 5-year post office time deposit better than NSC? NSC pays 7.7% compounded annually and returns ₹1,44,903 on ₹1 lakh after five years. The 5-year time deposit pays 7.5% (7.71% effective) but distributes interest every year. Choose NSC to compound, or the time deposit if you want annual income. Both qualify for the old-regime ₹1.5 lakh deduction. Sources: Department of Posts SB Order 12/2026 (30 Sep 2026) (https://utilities.cept.gov.in/dop/pdfbind.ashx?id=15533) ; DEA office memorandum text via TaxGuru (https://taxguru.in/finance/small-savings-interest-rates-unchanged-october-december-2026.html) ; Business Standard, 30 Sep 2026 (https://www.business-standard.com/amp/finance/news/interest-rates-on-small-savings-schemes-remain-unchanged-for-oct-dec-126093001595_1.html) ; Business Standard, 31 Mar 2023 (https://www.business-standard.com/amp/finance/news/national-savings-certificate-steeply-raised-by-70-bps-ppf-kept-unchanged-123033100987_1.html) ; The Week, 1 Apr 2020 (https://www.theweek.in/news/biz-tech/2020/04/01/ppf-other-small-savings-schemes-to-fetch-lower-returns-from-today-check-revised-rates-here.amp.html) ; SCSS rate history (https://stableinvestor.com/2022/11/scss-interest-rate-history.html) . Worked examples are Money n Wealth calculations. Not sure which small savings scheme fits your plan? The right mix depends on your age, tax regime and goals, and a short review can save years of locked-in mistakes. Talk to Money n Wealth (/contact) for a free portfolio review. This article is for general educational purposes only and does not constitute financial advice. Figures and examples are illustrative. Please consult a qualified financial adviser for guidance specific to your situation. Money n Wealth (Predics Fintech Services Pvt Ltd) is an AMFI-registered Mutual Fund Distributor (ARN-121995) and APMI-registered PMS Distributor (APRN07444); it is not a SEBI-registered investment adviser and may earn distribution commission on investments made through it.
Frequently Asked Questions
What is the PPF interest rate for October–December 2026?
The PPF interest rate for October–December 2026 is 7.1% a year, compounded annually. It has been unchanged since April 2020. Because PPF rates are reset every quarter, 7.1% applies to your whole balance only for this quarter; the next review is due around 31 December 2026. PPF interest and maturity proceeds are tax-free.
Which small savings scheme gives the highest interest in 2026?
Sukanya Samriddhi Account and the Senior Citizens' Savings Scheme both pay 8.2%, the highest of all small savings schemes for October–December 2026. Sukanya is only for girls under 10 and is tax-free; SCSS is for those aged 60 and above (with some early-retiree exceptions) and its interest is taxable. NSC is next at 7.7%.
Are post office interest rates unchanged for October 2026?
Yes. The Department of Economic Affairs office memorandum dated 30 September 2026 kept all post office savings scheme rates unchanged for 1 October to 31 December 2026. India Post circulated it as SB Order No. 12/2026. The last change to any scheme's rate took effect on 1 January 2024.
If I buy NSC now, will my rate change if the government cuts rates later?
No. NSC, KVP, SCSS, MIS and post office time deposits lock in the rate that applies on the date you invest, for the full term. An NSC bought in October–December 2026 earns 7.7% compounded annually for all five years. Only PPF, Sukanya Samriddhi and the savings account move with each quarterly revision.
When will the next small savings rate revision be announced?
The Ministry of Finance usually announces rates on the last working day before a quarter begins. Rates for January–March 2027 should be notified around 31 December 2026. Higher government bond yields after the October 2026 repo hike could support an increase, but the government has often held rates steady regardless of the formula.
Are small savings schemes safer than bank FDs?
Small savings schemes are obligations of the Government of India, so there is no credit risk and no deposit-insurance cap. Bank FDs are insured by DICGC only up to ₹5 lakh per depositor per bank. Both carry inflation risk and, for fixed-rate schemes, the risk of locking in before rates rise.
Is the 5-year post office time deposit better than NSC?
NSC pays 7.7% compounded annually and returns ₹1,44,903 on ₹1 lakh after five years. The 5-year time deposit pays 7.5% (7.71% effective) but distributes interest every year. Choose NSC to compound, or the time deposit if you want annual income. Both qualify for the old-regime ₹1.5 lakh deduction.
Not sure which small savings scheme fits your plan?
The right mix depends on your age, tax regime and goals, and a short review can save years of locked-in mistakes. Talk to Money n Wealth for a free portfolio review.