The Department of Posts has issued an order to enhance the security of small savings schemes by implementing a bi-annual freezing process for matured accounts that remain unclosed after three years. Building on a previous directive from 2022, this measure applies to accounts under schemes such as MIS, SCSS, TD, KVP, NSC, RD, and PPF (if not extended after maturity). Starting July 1st and January 1st each year, accounts that reach the three-year unclosed maturity mark by June 30th and December 31st, respectively, will be identified and frozen with the ‘INOP: Inoperative more than 3 years’ code within 15 days. The existing Standard Operating Procedure for handling these frozen accounts will continue to be followed. This initiative aims to add a layer of security for depositors’ funds within these schemes.
SB Order No.10/2025
FS-13/7/2020-FS-Part (1)
Government of India
Ministry of Communications
Department of Posts
(Financial Services Division)
Dak Bhawan, New Delhi — 110001
Dated: 15.07.2025
To
All Head of Circles/Regions
Subject: Freezing of Small Savings Schemes accounts matured but not closed after 3 years.
Sir/Madam,
Please refer to SB Order No. 25/2022 dated 16-12-2022, concerning the freezing of Small Savings Schemes accounts, under INOP-freeze Code, that have matured but not closed even after three years of maturity.
2. As per the aforementioned SB Order, it was decided to freeze matured accounts under the schemes MIS, SCSS, TD, KVP, NSC, RD, and PPF accounts (that are matured but not extended), which have not been closed even after three years since maturity. The designated freeze reason code for these accounts is ‘INOP: Inoperative more than 3 years’.
3. To further enhance security of hard-earned money of depositors, it has now been decided that this freezing activity will be conducted twice a year as a continuous cycle. The process of identification and freezing of such accounts will be completed within 15 days, commencing from 1St July and 1St January of each year. This means accounts that complete three years of maturity as on 30th June and 31st December every year, respectively, will be identified and frozen
4. The Standard Operating Procedure (SOP) for handling these frozen accounts, as detailed in SB Order 25/2022, remains in effect and must continue to be followed.
5. This issues with the approval of the Competent Authority.
Yours faithfully,
(Devender Kumar Sharma)
Assistant Director (SB-II)
Copy to: –
1. PPS to Secretary (Posts)
2. PS to Director General Postal Services
3. PPS/ PS to Member (Financial Services)/Member (0)/Member (P)/ Member (HRD)/ Member (Tech)/ Member (Service Quality and Marketing), Member (Infrastructure), AS & FA
4. Director General, APS, New Delhi
5. Chief General Manager, BD Directorate / Parcel Directorate / PLI Directorate.
6. CGM, CEPT for kind information and necessary action.
7. Deputy Director General (Vig) & CVO) / Sr. Deputy Director General (PAF)
8. Director, RAKNPA / Directors of all PTCs
9. Director General P & T (Audit), Civil Lines, New Delhi
10. Secretary, Postal Services Board / All Deputy Directors General
11.AII General Managers (Finance) / Directors Postal Accounts / DDAP
12. The Joint Director & HOD, National Savings Institute, ICCW Building, 4 Deendayal Upadhyay Marg, New Delhi-110002
13. The Under Secretary, MOF (DEA), NS-II Section, North Block, New Delhi.
14.AII recognized Federations / Unions / Associations
15. Guard File/e-File.
(Devender Kumar Sharma)
Assistant Director (SB-II)
