In
exercise of the powers conferred by section 3A of the Government Savings
Promotion Act, 1873 (5 of 1873), the Central Government hereby makes the
following Scheme to further amend the National Savings Time Deposit Scheme,
2019, namely:- (1) This Scheme may be
called the National Savings Time Deposit (Fourth Amendment) Scheme, 2023. (2) It shall come into
force on the date of its publication in the Official Gazette. In
the National Savings Time Deposit Scheme, 2019, for paragraph 8, the following
paragraph shall be substituted, namely:- "8.
Premature closure of account.- Premature
closure of an account shall be allowed on an application by the account holder
in Form-4, subject to the following conditions, namely:- (a) no deposit shall be withdrawn
before the expiry of six months from the date of deposit; (b) where a deposit in a
one-year, two-year or three-year account is withdrawn prematurely after six
months, but before the expiry of one year from the date of deposit, interest
shall be payable to the account holder at the rate applicable to Post Office
Savings Account for the completed months; (c) where a deposit in a
two-year or three-year account is withdrawn prematurely after the expiry of one
year from the date of deposit, interest on such deposit shall be payable to the
account holder for the completed years and months, commencing on the date of
deposit and ending with the date of withdrawal, and such interest shall be
calculated at the rate which shall be less by two per cent. points than the
rate specified for a deposit of one-year or two-year, as the case may be, and
interest for the completed year shall be calculated on quarterly compounding
basis in accordance with the provisions of paragraph 7, and for any part of a
year, interest shall be payable as per the provisions of sub- paragraph (b); (d) Where a deposit in a
five -year account is withdrawn prematurely after four years from the date of
opening of account, interest shall be payable at the rate applicable to Post
Office Savings Account; and (e) any interest already
paid on the deposit under paragraph 7 shall be recovered from the amount of
repayment of deposit and the interest payable under this paragraph.".NATIONAL
SAVINGS TIME DEPOSIT (FOURTH AMENDMENT) SCHEME, 2023
PREAMBLE