(1) A certificate issued prior to 01.07.2016 may be presented for encashment at any Post Office in India doing S.B. work on CBS platform provided that certificates are issued by a post office also working on CBS platform. If it does not stand registered at the office where Presented, the holder will be requested to make an application expressing his/her desire to encash the certificate at that office giving therein the name of the Post Office at which it stands registered, the full particulars of the certificate viz., the serial number with the prefixed letters, date of issue and the registration number and the full name and address as given in the application for purchase. Below his/her signature should be given his/her present address. The counter PA should go to HACLI menu in Finacle CBS application and see that Certificates are genuine and stand in Finacle. He/She will verify signatures of the holder(s) on the certificates with that available in Finacle. Once it is confirmed from the signatures that holder is genuine, holder should be asked to fill NC-32 (Application for transfer of Certificates) and give fresh ID as well as Address Proof and Mobile number. After proper verification of KYC documents, Certificates first be transferred IN by using HACXFSOL menu through Head Post Office concerned, if the certificates are presented for encashment at a Sub Post Office. Customer’s new address and mobile number should be entered through CIF modification menu and it should be verified by Supervisor. The payment should be made by crossed cheque or credit into savings account. Payment should not be made by cash in any case. An intimation of Transfer/Discharge should be sent to office of issue by service registered post which will make Transfer/Discharge entry in the original Purchase Application/SB-AOF. NC-32 and KYC documents should be preserved in the CBS Post Office in a A4 size Ring Guard File.

The certificate to be encashed should be examined to see: -

(a) Whether the period of non-encashability has expired. In the following circumstances, however, a Certificate may be encashed before the expiry of the period of non-encashability: 

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(i) On the death of the holder or all the holders in case of joint holders;

(ii) On forfeiture by a pledgee being gazetted, Government Officer;

(iii) When the Certificate has been issued in contravention of the Rules;

(iv) When ordered by a Court of law; and

(v) On the death of all or any of the joint holders in case of KVP and N.S.C. (VIII-Issue) 

(b) That the name of the holder, the number of the Certificate and date of its issue appearing in the application, corresponds with the entries on the Certificate;

(c) That the Certificate is not the one which has been reported as lost or stolen before issue from Post Offices in the Departmental Circulars;

(d) That the Certificate has not been attached by a Court of law;

(e) That the identity slip if issued to the holder is surrendered, and it is in prescribed form. In case the identity slip is one on which the specimen signature of the holder is pasted, it should be carefully scrutinized to see that the specimen signature is not a substituted one and the stamp impression on it is intact;

(f) That the Certificate is not the one in lieu of which a duplicate has been issued;

(g) If full maturity value is claimed, the correctness of the date of maturity should be verified with reference to the Date Stamp and the date of issue noted on the Certificate and the application or the identity slip; and

(h) That the Certificate has not been reported at any time by the holder as having been lost, stolen or destroyed.

(2) If the counter Assistant is satisfied on all the above points, he/she will calculate the amount payable and then ask the holder to sign the endorsement on the certificate "Received payment of Rs.............." in words and figures in his/her presence. Then Counter PA should follow the procedure for closure of certificate accounts in Finacle using CSCCAAC menu. The Certificate will then be placed before the Supervisor who will satisfy himself about the authenticity of the certificate and the title of the holder. He/She will also ensure that the `examination of the certificate has been carried out in the manner prescribed and that the amount payable as noted on the Certificate is correct. He/She will verify the closure in Finacle CBS Application using CSCCAAC menu and then pass order 'Pay' under his/her signature at a suitable place above the place for the holder's signature to authorize payment. Payment will then be made by the counter Assistant.

In case the signature of the holder below the endorsement does not agree with that on record,

payment will be made only after the holder has been identified and his/her signature has been

attested in the manner laid down in the relevant rule applicable for other schemes. 

The date of discharge and payment of interest of each Certificate will be entered against the

entry relating to the Certificate on the reverse of the application under the dated initials of the

Postmaster.

Note 1 :-If the signature of the holder is attested by a Scheduled Bank, the form of attestation

may be in the following terms:-

"The applicant is known to the Bank and his/her signature is confirmed".

Note2: - A Scheduled Bank or a Cooperative bank can act as the agent of the holder for collecting the proceeds of the Certificate. If the bank presents the Certificate(s) duly signed by the holder and confirms the signature of the holder on the Certificate and furnishes an endorsement thereon to the effect that the payee's account will be credited with the proceeds, of the Certificate, a separate letter of authority need not be insisted upon from the holder. In such cases payment should be made by means of a crossed cheque in the name of the holder which will be handed over to the bank under receipt. Sub-Offices will obtain the cheque from the H.O. A scheduled bank or a co-operative bank acting as the agent of the holder as above can also authorize another bank to collect the amount from the post office on its behalf. In  such cases, the first bank, will, in addition to the endorsement referred to above, furnish a further endorsement in the form of an authority to the letter bank for collection only. Payment in such cases would be made to the collecting bank in the same manner as for the agent bank.

Note 1:-In case all the Certificates enumerated in the identity slip are not encashed, the identity slip shall be returned to the holder after deleting the entries relating to the Certificate Slip which contained reference to other Certificates has been returned to the holder, should be made in the List of transaction of Certificates discharged under the dated signature of the postmaster

.

(2) After a certificate issued before 01.07.2016 is encashed, it will be impressed with the oblong M.O. Stamp of the office on the back side.

Note:- After a certificate is discharged, all the entries on the reverse which are not written in Hindi or English should be carefully translated into English.

(3) Credit of proceeds of certificate in Post Office Savings Account:- 

In case the holder of a certificate issued prior to 01.07.2016 desires that the proceeds of the certificate be deposited in his/her Savings Account instead of being paid to him in cash, the holder should write on the back of the certificate "By credit to Savings account No. ..............." in addition to the existing entries over his/her signature. The Postmaster while affixing the oblong stamp in token of payment should add under his/her signature "Credited to P.O. Savings account No.............." The amount will as usual be shown in the Discharged Journal with the remark "Paid by credit to S.B. account No.............. A pay-in-slip for the discharge amount i.e. amount credited in Saving Account will be prepared by the Counter Assistant and signed by the Supervisor / APM / DPM / Postmaster.

 If the holder of a Certificate issued before 01.07.2016 desires to have a Certificate of discharge, the same should be granted to him on realizing fees as prescribed in the relevant rules of the different series of Certificates.

In Sub-Offices, the S.P.M. will pass the order 'Pay' under his/her signature at suitable place above the place for the holder's signature before payment irrespective of the fact whether there is a separate counter Assistant for certificate work or not.

When a certificate issued prior to 01.07.2016 is presented for discharge and if the relevant application for purchase/SB-AOF is found to be missing, the holder will be asked to submit a fresh antedated application for purchase/SB- AOF and also a declaration that the Certificate is not attached by a Court of Law. It will nevertheless be got verified from the Postal Accounts Office that the Certificate stands undercharged and no duplicate has been issued. Identification of the holder will be necessary.