Savings, Banking & Rates

Savings, banking and rates is where you find out how safe your money is and how much interest it earns. The direct answer for 1 October to 31 December 2026: PPF (Public Provident Fund) pays 7.1%, Sukanya Samriddhi and SCSS pay 8.2%, and the Post Office 5-year Time Deposit pays 7.5%, while the RBI repo rate is 5.50%. Here we explain FDs, RDs, PPF, SSY, savings accounts and KYC in plain language: which scheme fits which goal, what you really earn after tax, and what to do when rates change. Every guide uses rupee examples and links to a calculator, so you can test the numbers yourself. New to small savings? Start with the PPF guide. Planning a deposit? Open the FD calculator.

Key Highlights

Small savings rates for 1 Oct-31 Dec 2026 are unchanged. PPF 7.1%, SSY 8.2%, SCSS 8.2%, NSC 7.7%, KVP 7.5% (Ministry of Finance (DEA) OM, 30 Sep 2026; India Post).
RBI repo rate: 5.50%, raised by 25 bps from 5.25% on 7 Oct 2026 (RBI, 7 Oct 2026). Next MPC meeting: 2-4 Dec 2026. Bank FD rates often move with the repo rate.
PPF accepts Rs 500 to Rs 1.5 lakh a year, has a 15-year lock-in, and can then be extended in 5-year blocks.
DICGC insures each depositor up to Rs 5 lakh per bank, principal and interest combined (DICGC FAQs).

Start with these guides

Start here
PPF 2026: Eligibility, Interest Rate (7.1%), Loans and Benefits

PPF full form, rules, extension and tax benefits.

Latest
FD Interest Rates October 2026: SBI vs Post Office, Post-Tax Returns

What each FD pays, and your real return after tax.

Compare
SIP vs RD: Which is a Better Investment Option in 2026?

RD or SIP for a 3-5 year goal?

Compare
EPF vs PPF: Key Differences Explained

Interest, lock-in, tax and withdrawals side by side.

Guide
Best Safe Investment Options in India (October 2026 Rates)

FD, PPF, SCSS, NSC and more in one place.

Banking basics
What is a Digital Savings Account and Its Advantages

How to open a paperless account and what to check.

Banking basics
What is KYC: Importance, Documents and Types

What KYC means, the documents you need and Video KYC.

Calculators and rates

FD Calculator

Your FD maturity amount and interest in seconds.

RD Calculator

How much a monthly RD will grow to.

PPF Calculator

Your PPF corpus after 15, 20 or 25 years.

PPF Interest Rate Today

The current PPF rate and its history.

Post Office Interest Rates

Latest rates for every small savings scheme.

RBI Repo Rate Today

Repo rate 5.50% and every MPC decision, with dates.

Small savings interest rates (1 Oct-31 Dec 2026)

Scheme	Interest rate (p.a.)
PPF	7.1%
Sukanya Samriddhi (SSY)	8.2%
Senior Citizens Savings Scheme (SCSS)	8.2%
NSC	7.7%
Kisan Vikas Patra (KVP)	7.5% (115 months)
Post Office MIS	7.4%
Post Office TD 1 / 2 / 3 / 5 years	6.9% / 7.0% / 7.1% / 7.5%
Post Office RD (5 years)	6.7%
Post Office Savings Account	4.0%

Source: Ministry of Finance (DEA) OM F.No.1/4/2019-NS dated 30.09.2026 (Q3 rates unchanged from Q2); Department of Posts SB Order 12/2026 dated 30.09.2026; scheme-wise rates as listed by India Post (checked 23 Oct 2026).

Frequently asked questions

What is the full form of PPF and how does it work?

PPF stands for Public Provident Fund, a long-term savings scheme backed by the Government of India. You can deposit between Rs 500 and Rs 1.5 lakh in a financial year, the account has a 15-year lock-in, and after maturity you can extend it in blocks of 5 years. For 1 October to 31 December 2026 PPF earns 7.1% a year, compounded annually.

What is the difference between an FD and an RD?

In a Fixed Deposit (FD) you invest a lump sum once. In a Recurring Deposit (RD) you invest a fixed amount every month. An FD suits a bonus or other one-time money, while an RD suits saving from your monthly salary. Interest on both is taxed at your income tax slab rate.

Is my money in a bank FD safe?

Up to a limit, yes. DICGC insures each depositor up to Rs 5 lakh per bank, covering principal and interest together. If you have more than that, spreading your FDs across different banks keeps more of your money insured.

What are the current small savings interest rates (Oct-Dec 2026)?

For 1 October to 31 December 2026 the government kept all rates unchanged: PPF 7.1%, SSY 8.2%, SCSS 8.2%, NSC 7.7%, KVP 7.5% (matures in 115 months), Post Office MIS 7.4%, 5-year Time Deposit 7.5%, 5-year RD 6.7% and Post Office savings account 4.0%. Rates are reviewed every quarter.

Is FD still worth it in the 30% tax bracket?

Post-tax FD returns are low in the 30% slab, but an FD still does a job nothing else does as well: guaranteed capital and quick access. Use it for your emergency fund and the stable part of your portfolio, and use other options for long-term growth.

Expert take: Ashutosh Joshi

"For an emergency fund there is no better place than an FD, and it also protects you from market volatility. Even in the 30% tax slab, I recommend keeping part of your portfolio in FDs, because debt funds carry uncertainty."

"The real power of PPF starts after the 15-year lock-in. If you want a good corpus, extend the account to at least 20-25 years. I invest in my own PPF in instalments through the year."

"For a 3-5 year goal, both an RD and a debt fund SIP work. If you can take some risk and have a longer view, use a debt fund SIP, and add an RD alongside if your budget allows. If you do not want risk or your budget is small, an RD is the better choice. Read the full comparison in SIP vs RD."

Ashutosh Joshi, PGDM (Finance), B.Com, founder of Diving Finance

Updated: 23 October 2026. Sources: Ministry of Finance (DEA) OM F.No.1/4/2019-NS (30 Sep 2026) and India Post small savings rates; RBI Monetary Policy Statement (7 Oct 2026); DICGC FAQs. This page is educational, not personalised advice.