Heavy Cuts on Interest Rates of PPF, NSC, and Post Office Small Savings now Uplifted

The government recently introduced heavy cuts on Interest Rates of PPF, NSC, and Post Office Small Savings schemes for the 1st quarter of FY 2021-22. Due to this, PPF interest went down by 0.7%, NSC by 0.9%, and 1 year post deposit by 1%.

Today, our FM Nirmala Sitharaman tweeted that these cuts are taken back and are no longer valid. This means that the rates will now be similar to that in Jan-Mar 2021. On the other hand, banks are offering in the average range of 5-5.5%. Besides, you can have a look at the Top 5 ETFs in India to invest in 2021 using SIP for more options.

Let's check on Current vs Proposed Interest Rates on PPF, NSC, and Post Office Small Savings Scheme. This will help us know that if the cuts would have been implemented then how much interest would be lost.

Should Interest Rates be improved or are satisfactory? You can share your views in the comments below.

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