SB Order No. 16/2023
F. No 113-03/ 2017-SB(Pt.1)
Government of India
Ministry of Communications
Department of Posts
(Financial Services Division)
Dak Bhawan, New Delhi – 110001
Dated: 18.07.2023
To
All Head of Circles/ Regions
Subject: Circulation of amendments in Government Savings Promotion General Rules (GSPR), Post Office Savings Account Scheme and National Savings (Monthly Income Account) Scheme – Reg.
Madam/ Sir,
The undersigned is directed to forward the copy of the Gazette notifications dated 03.07.2023 issued by Department of Economic Affairs, Ministry of Finance in connection with the amendments in rules related to National (Small) Savings Schemes.
(i). G.S.R.488(E) – Government Savings Promotion General (Amendment) Rules, 2023
(ii). G.S.R.489(E) – Post Office Savings Account (Amendment) Scheme, 2023
(iii). G.S.R.490(E) – National Savings (Monthly Income Account) (Fourth Amendment) Scheme, 2023
2. The following amendments have been notified in the above said notifications.
(I). Amendments in Government Savings Promotion General Rules, 2018 (herein after referred as GSPR 2018)
(a). New rules inserted in GSPR 2018
| Sl. No. | Rule No. after which new provision inserted | New Provision |
| 1. | Rule 5 (2) clause (b) | Provided that, in case of account opened on behalf of a minor, recent passport size photograph of the guardian only shall be submitted; |
| 2. | Rule 5 (6) | (7) Change of name or surname may be allowed by the account office by following the procedure laid down by Reserve Bank of India for change of name or surname in Bank Savings Account |
| 3. | Rule 14 (8) | (9) Non-resident Indians shall be eligible to be nominated as nominee subject to the condition that payment to such nominee/s shall be on non-repatriation basis. |
| 4. | Rule 15 (6) | (7) Surviving nominees will have to submit any of the identity documents prescribed in rule 6 of these rules. |
| 5. | Schedule -I (“Forms to be used for operation of an account”) serial number 15 | 16. GSPR-16 To be issued by transferor Accounts Office |
| 6. | after FORM – 15 | FORM-16 (See Rule 13 of Government Saving. Promotion Rules, 2018) To be issued by transferor account office. Specimen of the form is attached herewith). |
(b). Rules amended in GSPR 2018
| Sl. No | Rule No. | Existing Provision | Amended Provision |
| 1. | Rule 8 (3) | Single Account cannot be subsequently converted into a Joint Account or vice versa. | An account opened as a Single Account cannot be subsequently converted into a Joint Account or vice versa:Provided that, conversion of Joint Account into single account shall be allowed only in case of a single surviving Joint Account holder.” . |
| 2. | Rule 10 (4) | In the event of death of the guardian, the succeeding guardian shall be eligible to operate the account of the Minor or the person of unsound mind, as the case may be | In the event of death of guardian or on order from any Court of Law in any case of change in the guardian, the succeeding guardian shall be eligible to operate the account of the minor or the person of unsound mind as the case may be.” |
| 3 | Rule 13 (3)(i) | Account Opening Form | Account Opening Form or Certificate of non-availability of account opening form by the Account Office and in such cases all the information appearing in account opening form shall be verified by the transferor Accounts Office. |
| 4. | Rule 13 (3) (vii) | Pay Order or Demand Draft in respect of the balance at the credit of the Account. | Pay Order or Demand Draft in respect of the balance at the credit of the account in favour of transferee Accounts Office. |
| 5 | Rule 15 (6) | Ifa depositor dies and there is no nomination in force at the time of his death, and probate of his will or letters of administration of his estate or a succession certificate as granted in the Indian Succession Act, 1925 (39 of 1925) is not produced within six months from the death of the depositor to the authorized officer of the Accounts Office where the account stands, then,- | If a depositor dies and there is no nomination in force at the time of his death, and the probate of his will or letters of administration of estate or a succession certificate granted under the Indian Succession Act, 1925 (39 of 1925), or legal heir certificate issued by the revenue authority not below the rank of Tahsildar having jurisdiction, is not produced within six months from the date of death of the depositor to the Authorised Officer of the Accounts Office where the account stands, then, |
| (i) if the eligible amount in the account does not exceed Rs. 5 lakh, the authorized officer of the Accounts Office or the authority specified by the Institution to which the Accounts Office belongs, may pay the same to any person appearing to him as the rightful claimant and to his satisfaction to be entitled to receive the amount or to administer the estate of the deceased, on an application in Form-11 accompanied by the following documents; namely:- (a) Death certificate, (b) Pass Book or deposit receipt/ statement of account in original,(c) Affidavit in Form-13, (d) Letter of disclaimer in Form-14,(e) Bond of Indemnity m Forrn-15 | (i) if the eligible amount in the account does not exceed Rupees five lakh, the Authorised Officer of the Accounts Office or the authority specified by the Government Savings Bank to which the Accounts Office belongs, for reasons to be recorded in writing, may pay the same to any person appearing to him as the rightful claimant and to his satisfaction to be entitled to receive the amount or to administer the estate of the deceased, on an application in Form 11 accompanied by the following documents; namely:- (a) Death certificate of the account holder; (b) Passbook or deposit receipt or statement of account in original; (c) Affidavit in Form-13; (d) Letter of disclaimer in Form-14; (e) Bond of Indemnity in Form-15; and (f) Identity proof of the legal heir; Provided further that, in case of any dispute raised before the Accounts Office and before the payment of claim, the amount shall be paid by the Accounts Office to the claimant on submission of a succession certificate granted under the Indian Succession Act, 1925 (39 of 1925) issued by the Court only along with the following documents; namely: –(a) Claim form; (b) Pass book or deposit receipt or statement of account in original; (c) Death certificate of the account holder; and (d) Identity proof of the legal heir. | ||
| (ii) if the eligible amount in a deceased account is above Rs. 5 lakh, the amount shall be paid by the Accounts office to the claimant on submission of ‘Succession Certificate’ issued by the court along with the following documents; namely:-(a) Claim form, (b) Pass Book or deposit receipt or statement of account in original, (c) Death certificate of the account holder. | (ii) if the eligible amount in a deceased account is above Rupees five lakh, the amount shall be paid by the Accounts office to the claimant on submission of the probate of his will or letters of administration of estate or a succession certificate granted under the Indian Succession Act, 1925 (39 of l925) issued by the Court, or legal heir certificate issued by the revenue authority not below the rank of Tahsildar having jurisdiction along with the following documents; namely:- (a) Claim form; (b) Passbook or deposit receipt or statement of account in original; (c) Death certificate of the account holder; and (d) Identity proof of the Iegal heir;Provided further that, in case of any dispute raised before the Accounts Office and before the payment of claim, the amount shall be paid by the Accounts Office to the claimant on submission of a succession certificate granted under the Indian Succession Act, 1925 (39 of 1925) issued by the court only along with the following documents; namely:- (a) Claim form; (b) Passbook or deposit receipt or statement of account in original; (c) Death certificate of the account holder; and (d) Identity proof of the legal heir |
| 6. | Rule 24 (1), clause (a). | opening of Accounts, accepting deposits, making payments, closing and transferring accounts under these rules and maintaining records thereof; | Opening of Accounts, accepting deposits, making payments of interest and maturity or prematurity proceeds, disbursal of loan or withdrawal, closing and transferring accounts in conformity to these and scheme provisions and maintaining records thereof;” |
(II). Amendments in Post Office Savings Account Scheme, 2019
| Sl No. | Rule No. | Existing Provision | Amended Provision |
| 1. | Rule 3 (1) clause (b) | two adults jointly | up to a maximum of three adults in joint names |
| 2. | Rule 4 (3) | Withdrawals from the account for not less than fifty rupees may be made by presenting pass book along with Form-2 duly filled in and signed. Withdrawals from the account may also be made subject to the availability of balance above minimum prescribed limit by way of cheque or electronic means. | Withdrawals from the account for not less than fifty rupees may be made by presenting passbook along with application for loan or withdrawal in Form-3 of the Government Savings Promotion General Rules, 2018 duly filled in and signed. Withdrawals from the account may also be made subject availability of balance above to the minimum prescribed limit by way of cheque or electronic means |
| 3. | Rule 5 (5) | In the event of death of an account holder, the interest in his account shall be paid only in the end of the month preceeding the month in which the account is closed. | In the event of death of an account holder, the interest in his account shall be paid only till the end of the month preceeding the month in which the account is closed. |
(III). Amendments in National Savings (Monthly Income Account) Scheme, 2019
| S No. | Rule No. | Existing Provision | Amended Provision |
| 1. | Rule 4 (3) | Deposits in all the accounts taken together for an individual shall not exceed four lakh fifty thousand rupees in a single account and nine lakh rupees in a joint account. | Deposits in all the accounts taken together for an individual shall not exceed nine lakh rupees in a single account and fifteen lakh rupees in a joint account. |
4. Necessary changes are being made in Finacle and till such time, the above provisions are to be complied and handled by the post offices procedurally.
5. It is requested to circulate it to all concerned for information, guidance, and necessary actions.
6. This is issued with the approval of the Competent Authority.
Encl: As Above
FORM-16
(See Rule 13 of Government Savings Promotion Rules, 2018)
To be issued by transferor account office
To
The Branch Manager / Post Master
_ _ _ _ _ _ _ (Name of Account Office)
_ _ _ _ _ _ _ (Address)
Subject:- Transfer of _ _ _ _ _ _ _ _ (Name of Scheme) account number _ _ _ _ _ _ _ in the name of _ _ _ _ _ _ _ (Name of account holder/s).
Sir,
It ts certified that the account opening form for account No. _ _ _ _ _ _ of _ _ _ _ _ _ (Name of Scheme) was maintained by this office with the following details:
1. Name of Account holder;
2. Name of Joint Holder(s) if any;
3. Address;
4. Scheme Name;
5. Account Number;
6. Date of opening;
7. Date of extension/s, opted by the account holder; and
8. Name of nominee/s
It is further certified that the account opening form is not traceable and the transferee account office may obtain new account opening form along with prescribed identification document.
Yours faithfully,
(Branch Manager/ Post Master)
Name of Bank/ Post Office
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