Notification No. GSR 221(E) , Dated 13-3-2014
In exercise of the powers conferred by Section 15 of the Government Savings Bank Act, 1873 (5 of 1873), the Central Government hereby makes the following rules further to amend the Post Office Recurring Deposit Rules, 1981, namely:—
1. (1) These rules may be called the Post Office Recurring Deposit (Amendment) Rules, 2014.
(2) They shall come into force on the date of their publication in the Official Gazette.
2. In the Post Office Recurring Deposit Rules, 1981,
(i) in rule 6, for sub-rule (4), the following sub-rule shall be substituted, namely:—
“(4) Where a deposit is made by means of a cheque, pay order or demand draft, the date of its clearance into the Post Office Savings Bank shall be deemed to be the date of deposit.”
(ii) in Rule 7, for sub-rule (2), the following sub-rule shall be substituted, namely:—sub-rule (2) of Rule 7 shall be substituted by the followings:—
“(2) If there are more than four defaults, the account shall be treated as discontinued and revival of the account shall be permitted only within a period of two months from the month of fifth default and in case a depositor fails to deposit next monthly deposit within the time prescribed in sub-rule (3) of rule 6, a default fee at the rate of five paise for every five rupee per defaulted deposits shall also be paid along with regular monthly deposit.
(3) An account, in which all defaulted deposits are deposited with prescribed default fee and prescribed time as specified in sub-rule (2) shall not be treated as discontinued:
Provided that notwithstanding anything contained in sub-rule (1), sub-rule (2) in the case of personal of Defence Services (excluding Civilian Defence Employees).
(i) if there are not more than seven defaults in the monthly deposits, the depositor may, at his option, extend the maturity period of the account by as many months as the number of defaults and deposit the defaulted deposits during the extended period.
(ii) If there are more than seven defaults in the monthly deposits, the account shall be treated as discontinued and the revival of the account shall be permitted only within a period of two months from the month of eighth default, subject to payment of default fee and defaulted deposits.”