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These accounts can be maintained either individually or by a group of up to three persons. Minor accounts are permitted; however, the legal guardian must manage them until the minor reaches the age of maturity. Under this approach, an individual may have many accounts.

Features Of Post Office Term Deposit Scheme

A few of the requisite details regarding investment in the post office term deposit are as follows –

Eligibility and Joint Accounts
Any individual above the age of 10 can open a time deposit account at any post office. Further, guardians can open an account on behalf of a minor. However, the minor has to apply for ownership of the account after he or she reaches the requisite age.
Accounts can also be held jointly by up to 3 individuals. Depositors can also nominate a person before or after opening an account.
One of the primary benefits of post office time deposit is that individuals can create multiple accounts without any restriction. Depositors also have the freedom to transfer their accounts from one post office to another.

Multiple Lock-in Periods
Depositors get the option to open a time deposit account for 1, 2, 3, and 5 years. However, account tenure can be extended by giving a formal application to the post office.

Income Tax Benefits
Income tax benefits are available only for a 5-year post office time deposit account. Depositors will be able to claim income tax exemptions of up to Rs.1.5 lakh under Section 80C of the Income Tax Act, 1961.