17 January 2017
Fixed-assets
Fixed Deposit: Getting the principal amount back
I have a fixed deposit worth Rs 1 lakh at a post office in Bengaluru since November 2009. I have been withdrawing the interest from the fixed deposit from time to time. Now, I want to close the account. Will I get my Rs 1 lakh back?
Molleti Praveen, Bengaluru
Yes, you will get the money back. Since what you have withdrawn is only interest, the principal amount still remains with the post office and you can close the deposit on its maturity date and withdraw the sum. Please check your passbook to understand what kind of deposit this is, and when it matures. There are restrictions on pre-mature withdrawals in some accounts.