Small Savings Schemes Interest Rates October to December 2025: PPF, NSC, SSY and More

Small savings schemes have long been a preferred choice for Indian households, offering both safety and assured returns. On September 30, the Ministry of Finance will declare the interest rates for the October-December quarter of FY 2025-26 for schemes like PPF, NSC, SCSS, SSY, and others. In June, the government had kept the rates unchanged for the sixth straight quarter, raising expectations about whether there could be a revision this time.

Rates Unchanged for July-September Quarter

For the July-September quarter of FY 2025-26, the Finance Ministry had confirmed in a notification that the interest rates across various small savings schemes would remain unchanged. “The rates of interest on various Small Saving Schemes for the second quarter of FY 2025-26 starting from 1st July, 2025 and ending on 30th September, 2025 shall remain unchanged from those notified for the first quarter (1st April, 2025 to 30th June, 2025) of FY 2025-26,” the notification stated.

Sukanya Samriddhi Yojana (SSY)

The Sukanya Samriddhi Yojana (SSY), a scheme aimed at securing the financial future of the girl child, continues to be one of the highest-yielding options in the small savings portfolio. For the July-September quarter, SSY has maintained an interest rate of 8.2% per annum, compounded annually. Its long-term structure and tax benefits make it a preferred choice for families looking to invest in their daughters’ future.

Senior Citizens’ Savings Scheme (SCSS)

Designed specifically for senior citizens, the SCSS remains highly attractive, offering 8.2% per annum. The interest is paid quarterly, ensuring a steady income stream for retirees. This scheme not only provides financial stability but also comes with the backing of government security, making it a safe and rewarding option.

Post Office Monthly Income Scheme (POMIS)

The Post Office Monthly Income Scheme (POMIS) is meant for individuals looking for consistent returns. With an interest rate of 7.4% per annum, paid monthly, POMIS ensures a regular inflow of funds. It is particularly popular among those who wish to supplement their income without taking on high investment risks.

Kisan Vikas Patra (KVP)

The Kisan Vikas Patra (KVP) continues to offer 7.5% interest per annum. Since April 2023, this rate has remained unchanged. The unique feature of KVP is that the investment amount doubles over a set maturity period, making it attractive for investors who prefer a long-term, assured return without market-linked risks.

Public Provident Fund (PPF)

The Public Provident Fund (PPF), one of the most trusted long-term savings instruments in India, currently provides 7.1% per annum. Its annual compounding and tax-free returns make it an evergreen choice among investors. The lock-in period of 15 years ensures disciplined savings while offering the benefit of partial withdrawals after a certain period.

National Savings Certificate (NSC)

The National Savings Certificate (NSC) continues to earn investors 7.7% per annum. NSC is a fixed-income scheme available through post offices, designed to encourage small and middle-income households to save. With guaranteed returns and tax benefits under Section 80C, NSC remains a popular investment product.

Post Office Time Deposits (TDs)

Post Office Time Deposits function similarly to bank fixed deposits but with assured government-backed returns. The three-year TD offers an interest rate of 7.1%, while the five-year TD provides the highest at 7.5%. The flexibility of choosing tenure and the assurance of fixed returns makes TDs a reliable investment avenue.

Post Office Savings Account (POSA)

The basic Post Office Savings Account (POSA) has remained steady with an interest rate of 4% per annum. Remarkably, this rate has not changed since December 1, 2011, making it one of the most consistent but lowest-yielding savings options in the portfolio.