Indian Post Office Recurring Deposit (RD) 2026

Here’s a clear, up-to-date summary of the Indian Post Office Recurring Deposit (RD) Scheme for 2026 — one of the government-backed small savings investment options you can open at any post office in India:

Indian Post Office Recurring Deposit (RD) 2026

Post Office Recurring Deposit (RD) – Key Details (2026)

What It Is

A Recurring Deposit (RD) with India Post (also called National Savings Recurring Deposit Account) is a safe, low-risk savings plan where you deposit a fixed amount every month for a fixed tenure and earn guaranteed interest on your savings.

Tenure

Fixed Term: 5 years (60 months) — this is the standard tenure for post office RD accounts.

Interest Rate (2026)

6.7% per annum, compounded quarterly — this rate has been retained for the Jan–Mar 2026 quarter by the Government of India.

Unlike some bank RDs where rates vary by duration within the RD, Post Office RD interest is a flat rate for the full 5-year term under the small savings scheme.

Deposit Rules

Minimum Monthly Deposit: ₹100

Subsequent Installments: Must be in multiples of ₹10.

No Upper Limit: You can invest as much as you like (no cap on deposit amount).

Who Can Open an RD?

Any Indian resident can open an RD account.

Can be opened singly or jointly (up to three adults).

A minor (above 10 years) can also open the account in their own name, and a guardian can open it on behalf of a minor.

Holding & Operation

Deposits: Cash or cheque at the post office (cheque is credited on the clearance date).

Account Transfer: You can transfer your RD account from one post office to another.

Nomination Facility: Available so you can nominate someone to receive proceeds in case of an emergency.

Premature Withdrawal

Allowed after 3 years from the date of account opening (with certain conditions/penalties).

Interest Calculation

Interest is compounded quarterly, which helps your savings grow a bit faster within the 5-year period.

Tax Treatment

Interest earned is taxable as per your income tax slab (no tax exemption on interest).

No TDS applies unless the interest exceeds the threshold for TDS on savings schemes.

Tax benefits under Section 80C: Unlike some RD products (e.g., in banks), Post Office RD does not typically give Section 80C deduction — check current tax rules/consult a tax advisor before investing.

Quick Snapshot – Post Office RD (2026)

Feature	Details
Tenure	5 years
Interest Rate	6.7% p.a. (compounded quarterly)
Minimum Deposit	₹100/month
Maximum Deposit	No limit
Premature Withdrawal	Allowed after 3 years
Transferable	Yes, between post offices
Nomination	Yes
Tax on Interest	Yes (taxable)