Interest rate of small savings schemes remains unchanged for July-September quarter — Check latest PPF, SCSS, SSY rates

The government has kept interest rates unchanged on all small savings schemes for the July-September 2026 quarter (Q2 FY27), extending the status quo for the ninth consecutive quarter.

The decision means investors in schemes such as the Public Provident Fund (PPF), Senior Citizens Savings Scheme (SCSS) and Sukanya Samriddhi Yojana (SSY) among others will continue to earn the existing rates for another three months.

“The rates of interest on various Small Savings Schemes for the second quarter of FY 2026-27 starting from 1st July, 2026 and ending on 30th September, 2026 shall remain unchanged from those notified for the first quarter (1st April, 2026 to 30th June, 2026) of FY 2026-27,” the Department of Economic Affairs, Ministry of Finance, said in a statement issued on Tuesday.

How are interest rates determined?

The government reviews interest rates on small savings schemes every quarter, taking factors such as government bond yields, prevailing interest rates and current market and geopolitical conditions into account. The rate revisions made today will take effect on 1 July, 2026.

Small savings schemes interest rates from July to September 2026

For the quarter starting July 1, 2026, here's a look at the interest rates applicable to popular schemes, including the PPF, SSY, SCSS and Post Office deposits.

1. Sukanya Samriddhi Yojana (21 years lock-in period): 8.2% p.a
2. Public Provident Fund (15 years lock-in period): 7.1% p.a
3. Senior Citizens Savings Scheme: 8.2% p.a
4. National Savings Certificate: 7.7% p.a
5. Kisan Vikas Patra: 7.5% p.a
6. Monthly Income Scheme: 7.4% p.a
7. Post office savings account: 4% p.a
8. 1-year fixed deposit: 6.9% p.a
9. 2-year fixed deposit: 7% p.a
10. 3-year fixed deposit: 7.1% p.a
11. 5-year fixed deposit: 7.5% p.a
12. 5 Year Recurring Deposit Scheme: 6.7% p.a

When were small savings rates last changed?

Interest rates on most small savings schemes have now remained unchanged for night consecutive quarters, since the January-March quarter of FY 2023-24.

The last time it was revised was in April 2024, when the government hiked the interest rate on the three-year Post Office Time Deposit from 7% to 7.1% and increased the rate on Sukanya Samriddhi Yojana from 8% to 8.2%.

Small savings schemes remain a preferred choice for conservative long-term investors looking to avoid day-to-day market fluctuations and geopolitical-driven economic complications.

These investment options are fundamentally secure, backed by the government and offer stable, predictable returns, along with several tax benefits on contributions and withdrawals. Some schemes such as PPF and SSY also offer EEE (exempt-exempt-exempt) tax benefit, meaning all contributions, interest accrued and withdrawals are tax-free.