SCSS accounts lose 8.2% rate, drop to 4% POSA if not extended within a year of maturity
Senior Citizens' Savings Scheme accounts left unextended past the one-year maturity window revert from 8.2% p.a. to the 4% Post Office Savings rate. November 2023 amendment permits unlimited 3-year extensions via Form-4, but partial extensions remain barred and no penalty applies beyond the opportunity cost.
What happened
Senior Citizens' Savings Scheme · SCSS accounts not extended within one year of maturity stop earning 8.2% and revert to 4% Post Office Savings rate. No
Key facts
- 8.2% p.a.
- 4% POSA rate
- ₹1,000 minimum
- ₹30 lakh maximum
- 5-year tenure
- 3-year extension blocks
- age 60 (55 retirees, 50 defence)
- November 2023 amendment
Why this matters
Wealth platforms and senior-focused fintechs have a low-cost acquisition wedge by offering SCSS extension reminders and Form-4 concierge services ahead of the maturity window.