Post Office Monthly Income Scheme: If you have invested Rs 4.5 lakh in the scheme, then you will get interest of Rs 2,475 every month.
Post Office Savings Scheme: As soon as you want a safe investment like bank deposits, but earning more than them, then post office savings schemes will work for you. There are many schemes for investment in post office on which annual interest is better than fixed deposit. These have the facility of recurring deposits to term deposits like banks. Especially the Post Office Monthly Income Scheme gives you special benefits. It has the minimum amount to start investing and earning more than FD.
Post Office Monthly Income Scheme
A return of 6.6 percent is being given on the Post Office Monthly Income Scheme. The specialty of the scheme is that the interest earned on it will keep coming in your account every month. That is, you do not have to wait till full maturity for interest like fixed deposits.
Investment in this scheme can be started with a minimum investment of Rs 1000. The maximum investment that can be made in the scheme is Rs 4.5 lakh but if you have a joint account then the maximum investment limit is Rs 9 lakh. Holders’ share in the joint account will be equal. But even in a joint account, a holder can invest only a maximum of Rs 4.5 lakh.
If you have invested Rs 4.5 lakh in the Post Office Monthly Income Scheme, you will get an interest of Rs 2,475 per month. That is, an interest of Rs 29,700 will be earned in a year and in 5 years you will get a total of Rs 1,48,500.
The maturity of the scheme is 5 years, if you withdraw the amount before this, then some charges will also be applicable. There is no facility to withdraw money from the scheme before the completion of 1 year.
post office time deposit account
It is similar to a fixed deposit and one can start investing in this scheme with as little as Rs 1,000. Returns of 5.5 per cent to 6.7 per cent are being given on these accounts. Children above 10 years of age can also open an account in this. At the same time, a maximum of 3 people can be included in the joint account. At the same time, according to the post office website, 5-year term deposit comes under section 80C tax exemption.
You can also take a loan against this investment.
| Period | Rate of interest |
|---|---|
| 1 year | 5.5% |
| 2 years | 5.5% |
| 3 year | 5.5% |
| 5 years | 6.7% |
Post office recurring deposit
If you cannot invest 1000 rupees, then you can start with an investment of 100 rupees every month. Post Office Recurring Deposit is getting an interest rate of 5.8 percent and it is also compounded every quarter.
After opening a Recurring Deposit (RD) account at the post office and keeping it operational for 1 year, the depositor can get a loan up to 50% of the amount in the account .
You can repay this loan in lump sum or in equated monthly installments . The interest on this will be applicable as the rate of interest +2% applicable on the RD account .
