SB Order No. 08/2021

 F. No. 113-03/2017-SB(Pt-I)
Govt. of India
Ministry of Communications
Department of Posts
(FS Division)

Dak Bhawan, New Delhi-110001
Dated: 30.04.2021


All Heads of Circles/Regions

Subject: – Introduction of “Basic Savings Accounts” under Post Office Savings Account Scheme 2019 to facilitate opening of Zero Balance Accounts by beneficiaries of any Government Welfare Scheme and reduction in account maintenance fee on PO Savings Account- regarding.



The undersigned is directed to say that Ministry of Finance (DEA) vide its O.M. No. 14/10/2021-NS dated 13.04.2021 duly appended notification No. G.S.R. 257(E) dated 09.04.2021 has incorporated another category of PO Savings Account called “Basic Savings Account” under new inserted paragraph 3 of Post Office Savings Account Scheme 2019 and reduction in Account Maintenance Fee on PO Savings Account. Copy of notification is attached.

2. Account Maintenance Fee prescribed in rule 4(6) of Post Office Savings Account Scheme 2019 has been revised from 100 (One hundred rupees) to Rs. 50 (Fifty) inclusive of GST. Account Maintenance Fee will not be applicable on Basic Savings Account.

3. Basic Savings Account has been restored through aforesaid gazette The procedure to be followed for opening and operating these accounts is given below: –

i) A registered adult member of any Government Welfare Scheme can open Basic Savings Account at any Post Office including GDS Branch Post Officer.

ii)  guardian of a minor whose name is registered for any Government Welfare Scheme can also open Basic Savings Account on behalf of minor.

iii) Only one Basic Savings Account can  be  opened by  the  beneficiary  and guardian of beneficiary.

iv) Any Government benefit and any other deposit can be made in these accounts.

v) Basic Savings Account will be governed by Post Office Savings Account Scheme 2019 & Government Savings Promotion General Rules, 2018.

vi) Only a single account can be opened under Basic Savings Accounts.

vii) The depositor who desires to open Basic Savings Account under this category has to provide copy of letter/card issued by a competent authority of any State or Central Government Department mentioning name of beneficiary under any welfare scheme, copy of letter/ Aadhaar card issued by UIDAI, Account Opening Form & KYC form.

viii) The postmaster concerned will compare copy of this document with the original under his/her dated signature.

ix) While opening Basic Savings Accounts, scheme code and registration/enrolment/reference number of the beneficiary contained in letter/card issued by competent authority of any State of Central Government or letter/card number and date should be entered in the field provided for entering Job Card in Finacle/Sanchay Post and Aadhaar no. of the beneficiary.

x) All other formalities applicable to PO Savings Account i.e. Specimen Signature, issue of PR in GDS Branch Post Offices, issue of passbook etc. should be followed.

xi) Interest will be calculated and credited in Basic Savings Accounts by following the normal procedure laid down for PO Savings Accounts.

xii) All existing Basic Savings Account will  also  be  incorporated  and  treated  as Basic Savings Accounts.

xiii) Other facilities like Cheque Book, ATM Card, e-Banking, m-Banking may be availed by Basic Savings Account holders, subject to fulfillment of eligibility conditions for these services. For the purpose minimum balance of Rs. 500 is to be maintained by account holder and Basic Savings Accounts may be converted in to PO Savings

4. Where circle received proposal from State Government for bulk account opening under any Governments Welfare Scheme, Circle may proceed  for  bulk account opening after taking list of beneficiaries, AOF, KYC form, Aadhaar from respective State Government/ Beneficieries.

5. This is issued with the approval of DDG (FS).

Encl: As above

Your’s Faithfully,

(Devendra Sharma)
Asst. Director (SB-II)

Copy to:

1. PPS to Secretary (Posts)

2. PS to Director General Postal Service.

3. PPS/ PS to Addl. DG (Co-ordination)/Member (Banking)/Member (O)/Member (P)/ Member (Planning & HRD)/Member (PLI)/Member (Tech)/AS & FA

4. Director General, APS, New Delhi

5. Chief General Manager, BD Directorate / Parcel Directorate / PLI Directorate

6. Deputy Director General (Vig) & CVO) / Sr. Deputy Director General (PAF)

7. Director, RAKNPA / CGM, CEPT / Directors of all PTCs

8. Director General P & T (Audit), Civil Lines, New Delhi

9. Secretary, Postal Services Board/ All Deputy Directors General

10.All General Managers (Finance) / Directors Postal Accounts / DDAP

11. Chief Engineer (Civil), Postal Directorate

12. All recognized Federations / Unions / Associations

13. The Under Secretary, MOF (DEA), NS-II Section, North Block, New Delhi.

14. The Joint Director & HOD, National Savings Institute, ICCW Building, 4 Deendayal Upadhyay Marg, New Delhi-110002

15. GM, CEPT, Mysuru – for uploading the order on the India Post website.

16. Director, CEPT Chennai for information and configuration in Finacle accordingly.

17. ADG (OL) for information and Hindi Translation of SB Order.

18. Guard File

(Devendra Sharma)
Asst. Director (SB-II)


(Department of Economic Affairs)


New Delhi, the 9th April, 2021

G.S.R. 257(E).—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 amend the Post Office Savings Account Scheme, 2019, namely:-

1. Short title and – (1) This Scheme may be called the Post Office Savings Account (Amendment) Scheme, 2021.

(2) It shall come into force on the date of its publication in the Official Gazette.

2. In the Post Office Savings Account Scheme, 2019,-

(i) in paragraph 3, after sub-paragraph (2), the following sub-paragraphs shall be inserted, namely:-

“(3) Notwithstanding anything contained in sub-paragraphs (1) and (2), the beneficiaries of this Scheme may open and operate Basic Savings Account and the particulars required for opening of such an account are specified in the Table below, namely :-


Type of Account Who may open the account Deposit required for opening of account Number of accounts that can be opened Type of deposits that can be made into the account Minimum balance to be maintained in the account Who may operate the account
(1) (2) (3) (4) (5) (6) (7)
Basic Savings Account. (i) Registered adult member of any Government Welfare Scheme;

(ii) Guardian of a minor whose name is registered for any Government Benefit.

Nil. One. Any Government benefit or any other deposit under the scheme. Nil. (i) An individual adult whose name is registered for any Government Welfare Scheme;

(ii) guardian of any minor whose name is registered under any Government Welfare Scheme.

(4) Any Basic Savings Account opened/under the Post Office Savings Account Rules, 1981 shall remain operational.”;

(ii) in paragraph 4, in sub-paragraph (6), for the words “one hundred rupees”, the words and brackets “fifty rupees (inclusive of Goods and Services Tax)” shall be

[F. No. 14/8/2019-NS (Pt.I)]

Note : The principal Scheme was published in the Gazette of India, Extraordinary, Part II, Section 3, Sub- section (i) vide number G. S. R. 921 (E), dated the 12th December, 2019.

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