POST OFFICE SAVINGS BANK-the largest retail bank

From 'annas' to millions, Post Office Savings Bank has come a long way

With a minimum amount of four annas ( 0.25 paisa) and with an interest rate of 3.75 per cent per annum, the 'Post Office Savings Bank' came into existence during the period of Director General Sir RF Fogg in 1882. But, no one had ever imagined that the Post Office Saving Bank would play a vital role in the GDP (gross domestic product) of the country. With the ongoing postal week, October 10 will be celebrated as the 'Savings Bank Day'. The day will be utilised to establish better communication with customers as well as to enhance the revenue collection by opening maximum savings account in the city. Chief Post Master Krishna Kumar Yadav said: "On the basis of networking, Post Office Savings Bank is the largest retail bank of the country. It had a deposit of Rs 3,515,477.2 million in the year 2007 and, according to a World Bank Report, the savings at post offices was equivalent to seven per cent GDP of the country. It has a network of 1,54,000 branches and more than 172 million savings bank account holders. Around 2,80,000 accounts are being operated by people at Kanpur General Post Office. "In the current financial year, around 54,394 new accounts have been opened. Around 1,900 accounts are beneficiaries of NREGA (National Rural Employment Guarantee Act, now Mahatma Gandhi Rural Employment Guarantee Act)," he informed. Since all banking services are provided by the postal department, Yadav discussed about various savings schemes which are going to be monetarily beneficial for those investing in them. "These are such schemes which will definitely attract a large number of people and we are hopeful of a good response." The various savings schemes include 'Savings Deposit' where one can open an account with a minimal amount of Rs 50 and can withdraw it any time. Whereas 'Term Deposits' are quite popular with clients as they provide the facility to deposit a certain amount of money for one year to five year at different rates of interest, per annum. The Chief Post Master also mentioned about the 'Recurring Deposits' where people have to open an account with a certain sum of money and has to deposit the same amount monthly for a year. Further discussing about the schemes, another officer said: "There is also the 'Senior Citizen Savings Schemes' which is only meant for the elderly. Besides Public Provident Fund Scheme, monthly income schemes are also very popular. They provide monthly interest to the depositor which is equivalent to fixed monthly income."