Freezing of Small Savings Schemes accounts get matured but not closed after 3 years of maturity – Standard Operating Procedure : SB ORDER NO. 25/2022

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Freezing of Small Savings Schemes accounts get matured but not closed after 3 years of maturity – Standard Operating Procedure : SB ORDER NO. 25/2022

Freezing of Small Savings Schemes accounts get matured but not closed after 3 years of maturity – Standard Operating Procedure : SB ORDER NO. 25/2022

SB ORDER NO. 25/2022

F. No. FS-13/7/2020-FS-Part(1)
Government of India
Ministry of Communications
Department of Posts

Dak Bhawan, Sansad Marg,
New Delhi-110001.
Date: 16.12.2022


All Heads of Circles/Regions

Subject: – Freezing of Small Savings Schemes accounts get matured but not closed after 3 years of maturity reg.

Sir /Madam,

As part of continuous improvement in making the CBS system robust, incremental changes are implemented to ensure that the risk of misappropriation involved in CBS operations is minimized.

2. In view of the safety of depositors’ hard-earned money and ensuring effective KYC compliance, competent authority has decided to freeze those MIS/SCSS/TD/KVP/NSC/RD accounts which have been matured till 30.09.2019 but not closed.

3. The details of freeze code is as under: –

(i) Freeze reason code: INOP: – Inoperative more than 3 years.

(ii) Cutoff date: -30.09.2019 (1.e. account matured 3 years ago and remains live).

(iii)Schemes identified: – MIS/SCSS/TD/KVP/NSC/RD (matured but not extended)/PPF (matured but not extended)

4. A “Standard Operating Procedure for handling of accounts/certificates marked freeze under reason code “INOP: – Inoperative more than 3 years” to be followed in this regard is enclosed herewith.

5. It is requested to circulate it to all concerned for information, guidance and necessary action.

This issues with the approval of competent authority.

Enclosed: – As above (Annexure)

Yours Sincerely

(Devendra Sharma)
Asstt. Director (SB-II)


Standard Operating Procedure for handling of handling of accounts/certificates marked freeze under reason code “INOP: – Inoperative more than 3 years

The following accounts under various National Savings Schemes have been marked as freeze with freeze reason code “INOP: – Inoperative more than 3 years, which already have been matured but not closed within 3 years and cut-off date is taken as 30.09.2019.

2. The details of schemes are as under: –

(i) MIS/SCSS/TD/KVP/NSC/RD (matured but not extended)
(ii) PPF (matured but not extended)

3. As and when account holder approaches the post office concerned for closure of account identified under “INOP: – Inoperative more than 3 years”, the post office concerned shall follow the below mentioned procedure: –

(i) lf any account holder whose account/certificate is found to be Frozen with freeze code “INOP: – Inoperative more than 3 years” attends any Post Office with Certificate or Passbook for closure, the account/certificate holder should be requested to submit the following documents: –

a) Passbook/Certificate

b) KYC Documents (Mobile number, PAN card and Aadhaar or address proof as per rule 6 of Government Savings Promotion General Rules-2018)

c) Account Closure Form (SB-7A): – Account holder should also be requested to submit account closure form, passbook and details of PO Savings Account number or Bank account details along with a cancel cheque/copy of passbook for credit of maturity value into his/her savings account. Depositor(s) signature shall be obtained on acquittance portion of account closure form, so account holder(s) need not to visit post office again and maturity value get credited in his/her PO Savings Account or Bank Account.

(ii) The SPM/Counter PA will first check & confirm the details of depositor and tally signature with Finacle/SS Book/SB-3/AOF and ensure genuineness of the account holder with relevant records.

(iii) If the account stands in Sub Office/Branch Post Office the SPM concerned shall forward the passbook, account closure form, KYC document of account holder to Head Post office concerned for unfreezing and closure of account/certificate concerned.

Procedure at Head Post Office

Note: – For account standing in Head Post Office, similar documents shall be obtained from the account holder and follow the procedure prescribed below.

(iv) After receipt of a case for unfreezing and closure at Head Post Office, designated PA and APM (SB) shall verify the account details of documents received with Finacle. After verification of the genuineness of the case, the account/certificate concerned shall be unfreezed with two Supervisors of HO.

(v) After unfreezing of the account/certificate, Counter PA of Head Post Office, shall proceed for closure of account/certificate. The maturity value shall be credited either in PO Savings Account or Bank Account of the Account holder (Through ECS outward credit).

(vi) After closure of account by counter PA, APM (SB) shall verify closure of account.

(vii) In Head Post Office, a separate register will be maintained for ‘REGISTER FOR CLOSURE of account identified as INOP-Inoperative for more than 3 years. The register shall be maintained in Head Post Office in following proforma: –

Date of receipt of case from Sub Office Account No./ Certificate Registration number Name of Account/ Certificate Holder Name of SOL where Account/Certificate Stands Date of opening Date of maturity Scheme
1 2 3 4 4 5 6
Date of closure Principal Amount paid Interest Amount paid Maturity credit details (POSB Account No. or Bank Account No with MICR code) Signature of Counter PA Signature of Supervisor Signature of Postmaster
7 8 9 10 11 12

(viii) After entering closure details in the above register, APM (SB) shall put up a register to Head Postmaster for seen.

(ix) Thereafter, Passbook, Account closure form, KYC document and cancel cheque/copy of the passbook shall be forwarded to SBCO concerned along with other vouchers.

(x) SBCO PA and supervisor while checking vouchers of closed accounts which were identified as INOP-Inoperative for more than 3 years, will check account details with Account Closure Form and copies of KYC documents of Account holder are attached with the voucher. If any shortcoming is noticed, objection should be recorded as per laid down procedure.

(xi) All Visiting/Inspecting Officers, while visiting/inspecting Head Post Offices, should invariable check the prescribed register “REGISTER FOR CLOSURE OF account identified as INOP-Inoperative for more than 3 years” and see that procedure prescribed above is followed scrupulously.

(xii) CEPT shall share fortnightly report with circle CPC (CBS)on details of accounts unfreezed from “INOP-Inoperative for more than 3 years” reason code.

(xiii) Circle shall get the report verified within a week with reference to the “REGISTER FOR CLOSURE OF account identified as INOP-Inoperative for more than 3 years” maintained at the Head Post Office and take appropriate measures in case any discrepancy noticed.


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