National Savings Certificates (NSC) VIII Issue

Who Can Purchase NSC VIII ?
- Any adult individual can purchase NSC VIII Issue
- on his own name
- or jointly with another adult (jointly or survivor) or (either or survivor)
- Parents and guardians on behalf of a minor
- Karta on behalf of a Hindu undivided family.

Where to Purchase NSC VIII?
- Departmental Post – offices authorized to transact savings bank business.

How to Purchase NSC VIII?
- application in the prescribed form alongwith payment has to be deposited in the post office directly or through its authorized agent.
- the payment is to be made in cash or by cheque/pay order/demand draft or by surrender of a matured old certificate.

Denomination:
- NSCs VIII issue are issued in the denominations of Rs. 100, Rs. 500, Rs. 1,000, Rs. 5,000 and Rs. 10,0000
- NSCs VIII certificate can be purchased for any amount above Rs. 100 in multiples of Rs. 100.
Interest :
- NSCs VIII issue’s the rate of interest is 8% w.e.f. 1.3.2003.

Maturity Period:
- A Certificate shall mature after 6 years from the date of the certificate

Income Tax Deduction:
- You can avail deduction upto a maximum of Rs. 1,00,000 u/s 80C
- Interest accrued during the year (except for the last year) shall be deemed to be reinvested and shall also qualify for deduction u/s 80C

Interest/maturity value :
-With effect from 1st March, 2003, Maturity value a certificate of Rs. 100
denomination is Rs. 160.10.

- Maturity value of a certificate of any other denomination shall be at
proportionate rate.

- Interest accrued on the certificates every year is liable to income tax but
deemed to have been reinvested.

Transferability:
- Transferable from one Post Office to another.
- The certificate can also be transferred from one person to another with the previous consent of the Postmaster or the Head Postmaster. The transfer can be made after expiry of a period of at least one year from the date of the certificate.

- On an application being made in the prescribed Form by the transferor and transferee, the Postmaster may permit the transfer of any certificate (pledging of certificate) as a security.
The transfer is permitted only for the whole amount and not for the part of it.

- Transfer of the Certificate purchased on behalf of minor is permitted only if his guardian certifies that the minor is alive and the transfer is for the benefit of the minor.

For calculation of accrued interest and maturity value use this calculator
See NSC accrued interest table.

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2. NSC Accrued Interest Calculator India
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