Government of India
Ministry of Communication
Department of Posts
Dak Bhawan, New Delhi-110001
Dated :- 14/02/2020
All Head of Circles,
Addl. Director General, APS, New Delhi
Subject:- Amendments to procedural rules relating to Savings Account and Appendix-III in POSB(CBS) Manual in the light of recent changes circulated vide SB Order 13/2019 dated 18.12.2019.
The undersigned is directed to inform that MoF(DEA) has revised many statutory rules relating to different National Savings Schemes which were circulated vide SB order 13/2019 dated 18.12.2019. The competent authority has now approved to change relevant procedural rules and issue corrections slips of POSB(CBS) Manual [circulated vide SB Order No.9/2018 dated 17.7.2018].
2. Accordingly, the corrections relating to Savings Account and Appendix-III are given below:-
Correction Slips for Savings Account and General in POSB(CBS) Manual
Rule 13:- Below this rule , add below note :-
Note:- From the date of receipt of SB Order 13/2019 dated 18.12.2019, Post Office Savings Account Scheme Rules 2019 shall apply to all Savings Accounts. Only below types of savings account can be opened:-
(a) a single adult;
(b) two adults jointly;
(c) a guardian on behalf of a minor;
(d) a guardian on behalf of a person of unsound mind;
(e) a minor who has attained the age of ten years, in his own name:
Rule 13(i)(a) :- add following text below this sub rule:-
Provided that from the date of receipt of SB Order 13/2019 dated 18.12.2019, there will not be any difference in Savings Account opened with cheque book or without cheque book. Also, joint account can be opened by two adults only. An individual can open only one single account. Minimum amount required for opening of Savings Account shall be Rs.500/- irrespective of if Cheque Book is required or not. An individual can open one joint savings account with any other adult individual. Provided that only one account can be opened by an individual as a single account.
Rule 13(ii) :- add following text below this sub rule:-
Provide that from the date of receipt of SB Order 13/2019 dated 18.12.2019, minor account through guardian can not be opened if that minor has already opened a savings account in any post office in his/her own name.
Rule 13 (iii) :- Replace this sub rule with below text:-
Savings Account opened on behalf of persons of unsound mind through Guardian:-
Rule 13(iv) :- Replace this rule with below text:-
Pension Account:- From the date of receipt of SB Order 13/2019 dated 18.12.2019, there will be no separate Pension Account. If any Pensioner wants to get pension payment through Post Office savings Account, the pension Disbursing Authority has to ensure that Savings Account provided by pensioner is either a Single Savings Account opened in his/her name or a joint account opened with his/her spouse only. All other restrictions earlier mentioned for Pension Accounts shall not be applicable and the accounts shall be treated as normal savings accounts.
Rule 13(vi) :- Replace this rule with below text:-
(vi) Accounts not bearing interest:- From the date of receipt of SB Order 13/2019 dated 18.12.2019, this type of savings account should be treated as deleted.
Rule 13(vii):- Add following text below this rule:-
(vii) Basic Savings Account:- Provided that from the date of receipt of SB Order 13/2019 dated 18.12.2019, no new Basic Savings Account shall be opened under this category of savings account.
Rule 15 (12):- Add below sub rule after sub rule (12)
(13) From date of receipt of SB Order 13/2019 dated 18.12.2019, registration of nomination is mandatory in all types of accounts including minor accounts opened through guardian. Nomination can be made only in the name of maximum 4 individuals. In the Account Opening Form or in the application form for registration on nomination, account holder has to give following details:-
(a) Name(s) of the nominee(s);
(b) Percentage share each nominee shall be entitled to;
(c) Whether the nominee shall receive the amount as a beneficiary with absolute and exclusive right of ownership, or as a trustee for the benefit of the legal heirs of depositor.
(i) In case of an account opened by a minor or on behalf of a minor or a person of unsound mind,
as the case may be, the nomination shall be made by the guardian, who may nominate any individual, including himself in this regard:
Provided that in respect of such accounts opened before the 1st April 2018, in the event of the death of the depositor, the eligible amount shall be paid to the guardian.
Rule 16(a):- Add below note at the end of this sub rule:-
Note:- From that date of receipt of SB order 13/2019 dated 18.12.2019, Identification Proof and Address Proof should be taken from one of the below mentioned officially valid documents if the account holder has not mentioned his/her Aadhaar number details and provided copy of the same:-
(i) the passport, (ii) the driving licence, (iii) the Voter’s Identity Card issued by the Election Commission of India, (iv) job card issued by Mahatma Gandhi National Rural Employment Guarantee Act duly signed by an officer of the State Government, (v) letter issued by the National Population Register.
Post Office has to ensure that name and Address of the account holder mentioned in Account opening Form should match with identification and Address proof document given.
Rule 16(b)(iv):- Add following text below this sub rule:-
Provided that from the date of receipt of SB order 13/2019 dated 18.12.2019, 2 witnesses shall be taken at the time of registration, cancellation or variation of nomination in case account holder is illiterate and no witness shall be required in case of a literate depositor for the purpose.
Rule 17(2):- Add below note after end of this sub rule:-
Note:- From the date of receipt of SB Order 13/2019 dated 18.12.2019, age proof of minor should be taken as mandatory document while opening account either in the name of minor or on behalf of minor by the Guardian.
Rule 28(2)(a)(iii):- In this sub rule, word “Rs.5/- “shall be replaced with “Rs.50/-“.
Rule 42(1) :- Replace this rule with below text:-
Rule 42(1):- Post Office Savings Account can be transferred from one post office to another on payment of prescribed fee except in the following case:-
(i) After death of the depositor
(ii) After an account has been ordered to be closed.
Rule 43(2)(a):- Add below note after this sub rule:-
Note:- From the date of receipt of SB order 13/2019 dated 18.12.2019, transfer of account can be done by that HPO only where account stands or in case account stands at a SO, it can be transferred by only that HPO in whose jurisdiction that SO is working. If application for transfer of account along with prescribed documents is presented at any other SO or HO, the application alongwith documents should be sent to the SO or HO where accounts stands (home SOL) in a service insured cover and details of such applications should be entered in a register to be maintained in manuscript.
Rule 45(1):- In this sub rule, word “Rs.10/-” should be replaced with “Rs.50/- + GST @ 18%”. Text ” . Words “in the shape of postage stamp in the space provided for the purpose” should be replaced with ” in cash and accounted as per procedure laid down in SB order 3/2020 dated 10/1/2020″.
Rule 48(2) :- This sub rule should be treated as deleted from the date of receipt of SB order 13/2019 dated 18.12.2019 as conversion of single into joint and vice versa is not allowed as per new Rule 8 of GSPR 2018.
Rule 54(5):- Add below sub rule after sub rule (5)
(6) From date of receipt of SB order 13/2019 dated 18.12.2019, maintenance charges of Rs.100/- + GST @18% shall be deducted on the last working day of the Financial year from all the savings accounts which shall not maintain minimum balance of Rs.500/ irrespective of if the account is silent or not. Rule 55(8):- Notice printed below this sub rule to be replaced with below
TO BE ISSUED TO DEPOSITOR WHERE ACCOUNT MAINTENANCE CHARGE IS DEDUCTED
Subject : Recovery of Account maintenance charges.
This is informed that in your savings account No …………………………….. standing at ………………….. post office, minimum balance of Rs.500/- is not maintained during the financial year___________________________ . Under Paragraph 4(6) of the Savings Account Rules 2019, an account maintenance charge of Rs. 100/- + GST applicable has been deducted from your account. If balance in your account shall become NIL after deduction of this charge, your account shall be automatically closed.
Correction Slips for Appendices POSB(CBS) Manual
Para 3(vi):-In this sub para, word “Rs.5/-” should be replaced by” Rs 50/-“
Para 8:- Replace this para with below text:-
8. Collection Charges for Outstation Charges:– Outstation cheque collection charges as notified by Reserve bank of India from time to time should be charged from the account holder. However, no cheque collection charges should be charged if any cheque issued by Postmaster on account of maturity of any account or certificate is treated as outstation during clearing.
Para 14(1)(a):- Add Note 3 below Note 2 of this sub para:-
Note 3:-From the date of receipt of SB Order 13/2019 dated 18.12.2019, cheque book upto 10 leafs in a calendar year will be issued free of any charge and thereafter a charge of Rs. 2 per cheque leaf will be deducted from account of the account holder at the time of issue of cheque book.
Para 21. This para should be replaced with below text:-
Service charges on dishonored cheques:-
(1) In case any cheque presented by any account holder of a savings account in any Post Office for deposit into his/her savings account or for opening of any new account under any other scheme is dishonored during clearing, a service charge of Rs.100/- + 18% GST will be debited from his/her savings account.
(2) In case a non- account holder presents a cheque for investment in any of the national savings Schemes and that cheque is dishonored, fee @Rs.100/- + GST @ 18% shall be collected from that person as and when he/she attends post office and account for the same as per accounting procedure mentioned in SB order 03/2020 dated 10.1.2020.
3. It is requested to circulate these corrections to all concerned for information and guidance and necessary action.
4. This issues with the approval of Competent Authority.
Assistant director (SB)
1. DDG(FS)/DDG(VIG)/AS&FA/DDG(PAF)/DDG(RB)/DDG (Estt.)/DDG(PG & Inspections)/DDG (PCO/Sr. DDG(PBI)
2. Director of Audit (P&T), Delhi.
3. Resident Audit Officer, Room No.517-B, Dak Bhawan, New Delhi.
4. All Directors/Dy. Directors of Accounts, Postal
5. Director, RAKANPA, Ghaziabad, All Directors, Postal Training Centres.
6. Director PTC Mysore for uploading the SB order on India Post Web Site.
7. Deputy Director (CEPT) 0/o CPMG T.N.Circle, Chennai for information.
8. AD /Inspection/PF/Vigilance
9. All recognized unions.
10. MOF(DEA), NS-II, North Block, New Delhi
11. National Savings Institute, 4 Deen Dayal Upadhyay Marg, New Delhi.
12. PS to Member (Banking)
13. PPS to DG Posts.
14. PPS to Secretary Posts.