Small Savings Schemes New Interest Rates The government has not made any changes to the interest rates on small savings schemes for the third quarter of the financial year 2025-26.
This decision will be effective from October 1, 2025, to December 31, 2025. This decision, made before Diwali, will ensure investors continue to receive interest at the old rates. This government move will maintain stability in small savings schemes.
The government has decided on the interest rates on various small savings schemes for the third quarter of the financial year 2025-26. The decision, made before Diwali, stated that interest rates will remain unchanged for the quarter beginning October 1, 2025, and ending December 31, 2025.
Interest rates on post office small savings schemes, such as the Public Provident Fund (PPF), National Savings Certificate (NSC), and others, will remain unchanged. The Finance Ministry reviewed the rates on September 30, 2025. The unchanged rates will be applicable for the October-December 2025 quarter.
Small Savings Schemes New Interest Rates
Millions of Indians—especially senior citizens, pensioners, and middle-class families—depend on small savings schemes for stable returns. Any reduction in interest rates would directly impact their income. However, the government neither increased nor reduced interest rates. In the table below, we’ve provided the interest rates for each scheme in the July-September period and the projected interest rates for the October-December quarter.
| Serial number | Name of the scheme | July-September interest rates | October-December interest rates |
| 1 | National Savings Recurring Deposit Account | 6.70% | 6.70% |
| 2 | Public Provident Fund Account (PPF) | 7.10% | 7.10% |
| 3 | National Savings Certificate (NSC) | 7.70% | 7.70% |
| 4 | Sukanya Samriddhi Yojana | 8.20% | 8.20% |
| 5 | Kisan Vikas Patra Account | 7.50% | 7.50% |
| 6 | 1-year fixed deposit | 6.90% | 6.90% |
| 7 | 2-year fixed deposit | 7% | 7% |
| 8 | 3-year fixed deposit | 7.10% | 7.10% |
| 9 | 5-year fixed deposit | 7.50% | 7.50% |
| 10 | 5-year recurring deposit | 6.70% | 6.70% |
| 11 | Senior Citizen Savings Scheme (SCSS) | 8.20% | 8.20% |
| 12 | Monthly Income Plan | 7.40% | 7.40% |
Interest Rates on Small Savings Schemes for October-December 2025
Public Provident Fund: PPF is a long-term savings scheme with income tax benefits, ideal for retirement planning and has an interest rate of 7.1% for the October-December 2025 quarter.
Senior Citizens Savings Scheme : The SCSS is a government-backed savings scheme designed to provide regular income to senior citizens. Its interest rate for the October-December 2025 quarter is 8.2%.
Sukanya Samriddhi Yojana (SSY) is a savings scheme aimed at securing the future of girl children. Its interest rate for the October-December 2025 quarter is 8.2%.
National Savings Certificate: The NSC is a fixed-income investment plan suitable for risk-averse investors. Its interest rate for the October-December 2025 quarter is 7.7%.
Post Office Monthly Income Scheme: POMIS is a small savings scheme that provides a fixed monthly income. Its interest rate for the October-December 2025 quarter is 7.4%.
Kisan Vikas Patra: KVP is a savings certificate that doubles the investment over a specific period, backed by the government. The interest rate for the October-December 2025 quarter will be 7.5%.
1-Year Fixed Deposit: A short-term deposit with an interest rate of 6.9% in banks or post offices, suitable for conservative investors.
2-Year Term Deposit: A medium-term term deposit option with an interest rate of 7.0% for the October-December 2025 quarter , which balances liquidity and returns.
3-Year Fixed Deposit: Offers a slightly higher interest rate of 7.1% for those who want to keep their money safe for a longer period.
5-Year Fixed Deposit: A long-term fixed deposit scheme that offers a competitive interest rate of 7.5%, ideal for steady growth.
5-Year Recurring Deposit: RD is a disciplined savings scheme that allows monthly deposits for five years, with an interest rate of 6.7% for the October-December 2025 quarter.
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