Checked on 31 October 2026: the Ministry of Finance has kept the interest rates on small savings schemes unchanged for the October to December 2026 quarter, in an office memorandum dated 30 September 2026. By the National Savings Institute's rate table, PPF stays at 7.1 percent a year, the five year National Savings Certificate at 7.7 percent, and the Senior Citizens Savings Scheme and Sukanya Samriddhi Account at 8.2 percent. The quarter starts on 1 October 2026.
What changed, and what did not
Nothing changed in the rates. The office memorandum says the rates for the third quarter of FY 2026-27, from 1 October 2026 to 31 December 2026, remain unchanged from those notified for the second quarter, 1 July to 30 September 2026. The table below lists six schemes with the July to September 2026 rate from the National Savings Institute's rate table; the same rate applies for October to December.
| Scheme (name as the NSI table gives it) | July to September 2026 | October to December 2026 | Effective date |
|---|---|---|---|
| Public Provident Fund (PPF) | 7.1 percent | 7.1 percent | 1 October 2026 |
| Sukanya Samriddhi Account Scheme | 8.2 percent | 8.2 percent | 1 October 2026 |
| 5 Year National Savings Certificate | 7.7 percent | 7.7 percent | 1 October 2026 |
| 5 Year Senior Citizens Savings Scheme | 8.2 percent | 8.2 percent | 1 October 2026 |
| Kisan Vikas Patra (will mature in 115 months) | 7.5 percent | 7.5 percent | 1 October 2026 |
| 5 Year Monthly Income Account | 7.4 percent | 7.4 percent | 1 October 2026 |
Source: Ministry of Finance office memorandum F.No.1/4/2019-NS dated 30 September 2026 (rates unchanged); scheme rates from the National Savings Institute, Scheme Wise Interest Rate table, July to September 2026 column.
Who it affects
The rate table is the reference for anyone who opens an account or makes a deposit in these schemes during the quarter, and for anyone who uses a calculator to compare them. The memorandum deals with interest rates only; check the scheme rules for eligibility, deposit limits and tenure.
A bank fixed deposit is priced by the bank, not by this table. To work out a bank deposit, use the FD Calculator with the rate the bank quotes, and keep that figure apart from the government rates above.
For a monthly deposit, the RD Calculator takes a monthly amount, a rate and a number of months, and shows the maturity, so use the rate for your scheme from the table above.
Try it: Compound Interest Calculator lets you enter a principal, a yearly rate, a number of years and a compounding frequency, and shows the amount at the end.
Worked example at the NSC rate
The five year NSC compounds annually and pays at maturity. The example uses a round, labelled assumption: Rs 1,00,000 for five years at the October to December 2026 rate of 7.7 percent a year. It is a calculation, not a forecast, and it does not replace the certificate rules.
Worked example: Rs 1,00,000 for 5 years at an assumed 7.7 percent a year, compounded annually. Calculation only, not a forecast. Rate source: NSI table and Finance Ministry memorandum of 30 September 2026.
| Step | Working | Value |
|---|---|---|
| Principal | assumed deposit | Rs 1,00,000 |
| Annual rate | NSC rate for July to September 2026, unchanged for October to December 2026, used as an assumption | 7.7 percent |
| Years | NSC tenure | 5 |
| Amount at maturity | P x (1 + r) ^ n = 1,00,000 x 1.077 ^ 5 | Rs 1,44,903.38 |
| Interest earned | amount - principal | Rs 44,903.38 |
Example figures, not today's rates.
The same arithmetic works for any amount and rate. A PPF balance earns interest on a different basis, on the lowest balance between the 5th and the end of the month, so do not read this example as a PPF maturity figure.
What to do
- Open the Scheme Wise Interest Rate table on nsiindia.gov.in under Interest Rate, or the office memorandum on dea.gov.in under Budget Division.
- Find the row for your scheme and the latest quarter column filled in the table.
- Use that rate, which the memorandum confirms for October to December 2026, and not an older figure, in any calculator you run this quarter.
- Confirm the rate with your post office or bank before you deposit, since the deposit is made there.
What has not changed
The rates for the quarter are the same as the previous quarter for every scheme in the table. Small savings rates are set quarterly, so check the table again when the January to March 2027 quarter starts.
Common mistakes
- Reading 7.1 percent as the amount your balance will grow by in a year. It is the interest rate for the quarter, and the credited amount depends on your balance and the scheme rules.
- Using the rate from an older article. Some articles quote a PPF rate "at present" without naming the quarter, so check the quarter first.
- Treating a calculator result as the exact payout. A calculator assumes one rate for the whole period, while the scheme rules decide what is credited.
