Que.1: Can a Post Office Recurring Deposit Account (PORD) be continued / extended beyond maturity period?
Ans: Yes, for a further period of 5 years by depositor at his option with or without deposits.
Que.2: Whether premature closure of the P.O.R.D. account is permissible?
Ans: Yes. The holder of the account may prematurely close the account after three years from the date of opening and in such a case interest @ of Post Office Savings Account shall be payable.
Que.3: Is there any provision of interest on discontinued account after maturity?
Ans: Yes. If maturity value of a discontinued account is retained by a depositor after the date of maturity, post maturity interest is allowed at P.O.S.A. rate as applicable from time to time.
Que.4: Is there any social security benefit in PORD account?
Ans: Yes. All accounts upto maximum deposit Rs. 50/- P.M. are eligible for social security benefit subject to certain terms and conditions and maturity amount is paid to the nominee/legal heir of the depositor.