Type of Deposit :
An individual or a Hindu Undivided Family (HUF) who is an Income Tax assessee with Permanent Account Number.
Mode of Holding :
Deposits may be of following types :
- Single holder type deposits.
- Joint holder type deposits.
- The single holder type deposit receipt shall be issued to an individual in personal name or in the capacity of the Karta of the Hindu undivided Family.
- The joint holder type deposit receipt may be issued jointly to two adults or jointly to an adult and a minor, and payable to either of the holders or to the survivor Provided that in the case of joint holder type deposit, the Deduction from income U/S 80/C sub section 2(XXI) of the Act shall be available only to the first holder of the deposit.
Tenure of the Deposit :
Fixed period of 5 years.
Amount :
- Minimum: Rs.100/- or multiples thereof.
- Maximum: Rs.1,50,000/- (Rs. One Lac Fifty Thousand only) in a financial year.
Rate of Interest :
The rate of interest to be applied to Cent tax Savings Deposit Scheme will be in accordance with the interest rate on domestic term deposits (upto Rs. 15 lacs) applicable to the five-year term.