The 7% Savings Bonds, 2002 issued in terms of government of India, ministry of finance, department of economic affairs notification No. F.4 (13)-W&M/2002 dated Sep. 5, 2002 will start maturing for repayment with effect from Oct. 1, 2008.

The holders may note that `no interest would be payable on the bonds after maturity date`.

As per sub-regulation 24(2) and 24(3) of Government Securities Regulations, 2007 payment of maturity proceeds to the registered holder of government security held in the form of bond ledger account (BLA) and stock certificate (SC), shall be made by a pay order incorporating the relevant particulars of his bank account or by credit to the account of the holder in any bank having facility of receipt of funds through electronic means, a government notification said.

To facilitate repayment of the above bonds on the due dates, holders of BLAs/SCs may furnish the relevant particulars of their bank account to the issuing officers well in advance so that the automatic redemption of BLAs/ SCs can be made on due date without requiring to give any discharge upon the security/Annexure 1A, it added.

Holders may, therefore submit the relevant particulars of their bank account for automatic redemption of the maturity value on the due date.

However, in the absence of relevant particulars of bank account/mandate for receipt of funds through electronic means, repayment will be made on receipt of discharge upon the security (in case of SC) and on Annexure-lA(in case of BLA).