PPF, NSC, SCSS: How much fees do you have to pay to add or change nomination in post office saving schemes?

In a move aimed at easing the process of managing nominations in small savings schemes, the government has scrapped the fee for adding or updating nominee details in accounts like the Public Provident Fund (PPF), Senior Citizens Savings Scheme (SCSS), and National Savings Certificate (NSC). This decision, formalised through a recent notification by the Ministry of Finance, ensures that accountholders can now make these changes free of cost, promoting easier compliance and financial security for investors’ families.

The Public Provident Fund (PPF), Senior Citizens Savings Scheme (SCSS), National Savings Certificate (NSC), and all other small savings schemes now allow nomination changes free of charge.

According to the Ministry of Finance notification dated April 3, 3035, “In the Government Savings Promotion General Rules, 2018, in the Schedule II, under Fee to be charged for services, the words and figures “(b) Cancellation or change of nomination – Rs.50” shall be deleted.”

The Public Provident Fund (PPF), Senior Citizens Savings Scheme (SCSS), National Savings Certificate (NSC), and all other small savings schemes now allow nomination changes free of charge.

According to the Ministry of Finance notification dated April 3, 3035, “In the Government Savings Promotion General Rules, 2018, in the Schedule II, under Fee to be charged for services, the words and figures “(b) Cancellation or change of nomination – Rs.50” shall be deleted.”

Earlier, financial institutions charged a fee of Rs 50 for making changes to nomination details in PPF, NSC, SCSS accounts. However, with the latest amendment, accountholders can now update, add, or modify nominees free of cost.

According to the SBI PPF FAQ page, “Yes. Depositor can nominate one or more individuals as nominee but not exceeding four individuals to receive the eligible balance. The balance in the account of the deceased account holder shall earn interest till the end of the month preceding the month in which the eligible balance is paid to the nominee/legal Heir.”

As per ICICI Bank website, “A nominee is someone who is chosen by the Account holder to receive the deposited funds in case of an unfortunate situation like the Account holder’s death. The benefit? If you name a nominee beforehand, the bank will know that the nominee is the one who is authorised to receive the funds.”