NSC interest rate 2026: Has the government changed rates for April–June? Check latest update

The government has kept interest rates on small savings schemes unchanged for the April–June 2026 quarter. This means the NSC interest rate remains unchanged, even as many banks are offering 5-year FDs at below 7% interest.

According to the Finance Ministry, interest rates for Q1 FY 2026–27 (April 1 to June 30, 2026) will remain the same as those notified for January–March 2026, with no revisions announced.

The NSC continues to offer 7.7% interest per annum for the April–June 2026 quarter, making it a competitive fixed-income option backed by the government.

The minimum investment in NSC is Rs 1,000, and additional deposits can be made in multiples of Rs 100. There is no upper investment limit, and the invested amount qualifies for tax deduction under the old tax regime, making it useful for tax-saving.

NSC has a fixed maturity of 5 years from the date of investment. Interest is credited annually and is automatically reinvested until the end of the fourth year, adding to the certificate value.

Investors can obtain a certificate of annual interest accrual from the post office or download it through India Post Internet Banking (DoP) for record-keeping and tax purposes.

NSC accounts generally cannot be closed before maturity, except under specific situations such as:
● Death of the account holder(s)
● Forfeiture by a pledgee (as per scheme rules)
● Closure ordered by a court

● If closed within 1 year, only the principal amount is returned
● If closed after 1 year but before 3 years, interest is paid at post office savings account rates
● If closed after 3 years, payout (including interest) is calculated as per scheme provisions (Para 7(4))