BANKING AFFAIRS

Detailed explanation-1: -Both the minimum and the maximum balance that may be kept are Rs. 500. The person may only open one account as a single account. The maximum amount that can be placed into a post office savings account is unlimited.

Detailed explanation-2: -Minimum INR. 500/-Maximum INR. 1, 50, 000/-in a financial year. Deposits can be made in lump-sum or in installments. (i) a single adult by a resident Indian.

Detailed explanation-3: -Account holders can also opt for retaining RD accounts after maturity of 5 years to another five years maximum. In this case, the account holder is not required to make any fresh deposit to retain the remaining amount. The further account holder must only apply to the Post Office of India as in Form-3.

Detailed explanation-4: -The 5 year Post Office Recurring Deposit (PORD) scheme allows you to save on a regular monthly basis for 5 years i.e. 60 monthly installments. These deposits earn interest as per applicable rate compounded on a quarterly basis.

Detailed explanation-5: -Yes, you can close your term deposit prematurely. To do so, your account should have been active for the last 6 months. If the withdrawal is made between 6 months and 1 year, simple interest is payable as per Post Office Savings Account interest rate.