KVP (Kisan Vikas Patra) Scheme & Rules, 2019
New Delhi, the 12th December 2019
G.S.R. 920(E). - In exercise of the power conferred by Section 3 of the Government Savings Promotion Act, 1873 (5 of 1873), the Central Government hereby makes the following scheme, namely:-
1. Short title and commencement
- (1) This Scheme may be called the Kisan Vikas Patra Scheme, 2019
- (2) It shall come into force on the date of its publication in the Official Gazette.
(1) In this scheme, unless the context otherwise requires.
- (a) "account" means an account opened under this Scheme;
- (b) "account holder" means an individual in whose name the account is held;
- (c) "Act" means The Government Savings Promotion Act, 1873 (5 of 1873);
- (d) "Form" means forms appended to this Scheme;
- (e) "General Rules" means the Government Savings Promotion General Rules, 2018;
- (f) "year" means a period of twelve months commencing from the date of deposit in the account.
(2) Words and the expressions used herein but not defined shall have the meanings respectively assigned to them in the Act and the General Rules.
3. Type of accounts
- (1) On an application to the accounts office in Form-1, the following types of accounts can be opened under the Scheme, namely:-
- (a) Single Holder Type Account;
- (b) Joint A- Type Account; and
- (c) Joint B- Type Account.
- (a) A Single Holder Type Account may be opened by an adult for himself, or on behalf of a minor or a person of unsound mind of whom he is the guardian, or by a minor who has attained the age of ten years;
- (b) Joint A-Type Account may be opened jointly in the names of upto three adults payable to all the account holders jointly or to the survivors;
- (c) Joint B-Type Account may be opened jointly in the name of upto three adults payable to any of the account holders or to the survivor or survivors.
- (1) A minimum of one thousand rupees and any sum in multiples of one hundred rupees may be deposited in an account.
- (2) There shall be no maximum limit for deposit in an account or in accounts held by an account holder.
- (3) An individual may open any number of accounts.
5. Payment on Maturity
- (1) Deposits made in the account shall double on maturity. Maturity period of an account shall be nine years and five months commencing on the date of deposit. Amount of maturity may be repaid to the account holder on an application in Form-2 submitted to the accounts office.
- (2) The maturity period of the deposit under this Scheme shall be determined on the rate of interest applicable at the time of opening the account.
6. Premature closure of account
7. Pledging of account
8. Transfer of account
An account may be transferred from one individual to another, subject to the condition that the transferee is eligible to open an account under this Scheme, in the following cases, namely:-
- (i) on the death of the account holder in case of a single account or on the death of all the account holders in a
joint account, the amount shall be transferred to the legal heirs or the nominees, as the case may be;
- (ii) on the order of the court, the account shall be transferred from the account holder to the court or to any other individual as per the orders of the court;
- (i) on pledging, account shall be transferred in accordance with paragraph 7;
- (ii) in the event of the death of any of the account holders in a joint account, the account shall be transferred in the name of the surviving account holder or account holders, as the case may be.
9. Payment on the death of account holder
- (1) In the event of death of the depositor of a single account or of all the depositors in a joint account, the deposit shall be payable to the nominee if a nomination exists or to the legal heir(s).
- (2) Where there are not more than three surviving nominees or legal heirs, they may, at their option continue the account and receive the amount of deposit alongwith interest on maturity in the manner provided for in this scheme, as if they had opened the account themselves.
- (3) Where the account is not continued under sub-paragraph (2), it shall be closed and the amount of deposit alongwith interest as provided in paragraph 6 shall be repaid.
- (4) On the death of one or two of the account holders in a joint account, the surviving account holder or holders, if any, shall be treated as the owner or owners of the account and such account holder or holders may continue the account under sub-paragraph (2) or close the account under sub-paragraph (3).
10. Application of General Rules
- Provisions of the General Rules shall, so far as may be, apply in relation to the matters for which no provisions have been made in this Scheme.
11. Power to relax
- Where the Central Government is satisfied that the operation of any of the provisions of this Scheme causes undue hardship to an account holder, it may, by order for reasons to be recorded in writing, relax the requirements of that provision or provisions in a manner not inconsistent with the provisions of the Act.