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INFORMATION ON PROTECTED SAVINGS SCHEME

PROTECTED SAVINGS SCHEME

(1)    Under the RD scheme, benefit of protected savings scheme is admissible for an account of denomination of Rs. 50/-.
(2)     No declaration should be required from the depositor to avail this facility.
(3)    The benefit will be admissible provided the following conditions are satisfied :-

 (a) Twenty four months should be completed from the date of opening the account and during the said
Period all the monthly installments have been paid into the account without any default and there has been no withdrawal from the account during the said period.

 Note:- Defaulted installment(s) paid with interest during the period of 2 years before the death of the
Depositor or surviving depositor, as the case may be, shall not be treated as default.

 (b) The age of the depositor or depositors, at the time of opening the account should  not be less than 18 years and not more than 53 years.

 (c) The legal heir/nominee of deceased depositor has not made any claim or has not already been
        given the benefit in respect of any other account under the scheme.

 (d) Claim is applied for within one year of the death of depositor.

 (4) Date of birth of the depositor is to be mentioned in the application while opening the account.

 (5) If a depositor , has more than one account of denominations not exceeding fifty rupees, the benefit of payment under this scheme will be admissible in respect of all such accounts which specified by the depositor subject to a maximum of the maturity value of an account of denomination of Rs. 50/-.

(6) Where the depositor has only one account of the denomination Rs. 50/- the benefit will be available for that account.


(7)   If the depositor has more than one account, and different nominations have been made in respect of the accounts, the benefit of payment shall be admissible to the nominees .

SANCTION OF CLAIM  in  Protected Savings Scheme.

 (1) The legal heir or nominee, as the case may be, when reports the death of the depositor, shall be
asked to apply for the full maturity value of the account in form (SB-101) to the post office where the
account stands not later than one year from the death of such depositor.

On the basis of the information  given by the claimant and other information available in the post office records, the post office will fill in 3 copies of the form (SB-101 A). The Head Postmaster should process the claim in the same way as other  SB claims. He should ensure that the account/accounts is/are eligible to get the benefit of the scheme and  after he is satisfied, he will send two copies of form SB-101A duly completed to the Head of the Circle for verification of the claim.



 (2) In sub offices the claim applications duly completed should be forwarded to the Head
Postmaster in the usual manner.

 (3) In ED sub offices and branch offices all claim applications received by the ED SPM/Branch
Postmaster for the balance in the account of a deceased depositor should be forwarded to the head/account office. An entry regarding the claim should be made in the remarks column of the RD Journal relating to the account against the last date of transaction and no withdrawal will be allowed till intimation is received from the head/account office.


(4)    The post office should not hesitate to entertain such claims even in case where the
depositor has not given the declaration expressing his wish to avail of the benefit of the Protected Savings Scheme. The post office should, however, ensure that where the deceased depositor was having more than one account, the maximum benefit admissible shall be restricted to as admissible for an account of denomination of Rs. 50/-.

(5)    The amount of advance deposits remaining after the death of the depositor may also be
refunded back to the claimant along with the full maturity value of the account under the Protected Savings Scheme.

(6)     The interest due on outstanding withdrawal and defaulted instalments, if any, should be
recovered/adjusted up to the date of death of the depositor and not upto the date of payment of maturity value.


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