Description : It is an Indian Government Savings Bond, primarily used for small savings and income tax saving, offering good interest rates. No maximum limit for investment. No Tax deduction at source. Certificates can be kept as collateral security to get a loan from banks.Eligibility : 1. Can be bought by an adult for himself or on behalf of a minor or by a minor. 2. Trust and Hindu Undivided family cannot invest. 3. NRIs are not eligible.Process : 1. Visit a post office with the required documents in person or via an authorized agent and fill in the application. 2. NSC can be bought by an adult for himself or on behalf of a minor or by a minor. 3. The lowest possible certificate is of Rs 1000 and there is no maximum limit cap on it. 4. The certificate is available in denominations of Rs 100, Rs 500, Rs 1,000, Rs 5,000 & Rs 10,000. 5. Maturity period is 5 years.

*Any adult person on behalf of a minor or for minor can buy NSC. NRIs are not eligible. If, while purchasing NSC a person is a resident of India and turns Non-resident within the maturity period then he/she can claim the benefit amount. Trusts and HUF cannot make the investments.Benefit : 7.7 % compounded annually but payable at maturity