You can invest at least Rs 1000 in the National Savings Certificate of the Post Office. There is no maximum investment limit in this. You can buy the certificate from any branch
Post Office: If you want to avoid market risk and get guaranteed returns, then small savings schemes of the post office can prove to be better for you. In this, the National Savings Certificate (NSC) scheme of the post office is quite popular. It may prove to be better for you. PM Modi has also invested in this scheme.
You can get better returns than FD in the National Savings Certificate (NSC) scheme of the Post Office. Under this scheme, certificates can be purchased from any post office branch in the country. Due to being a government scheme, the money also increases according to the fixed interest while remaining completely safe.
National Savings Certificate (NSC)
The maturity period of NSC is 5 years. It is currently getting 6.8 percent annual interest, which is more than FD. One can invest a minimum of Rs 1,000 in this scheme. You can buy NSC for any amount as per your capacity. That is, there is no limit on the maximum investment in this. Investment in this is also available for tax exemption under section 80C of the Income Tax Act. However, this exemption is available only on investments up to Rs 1.5 lakh. A single holder type certificate can be purchased by any adult in his own name or in the name of his child. Certificates of 100, 500, 1000, 5000, 10,000 or more are available in NSC.
How much will the interest earn
Interest on NSC is compounded annually but is paid on maturity of 5 years. If you invest Rs 5 lakh in this scheme, you will get Rs 6,94,746 on maturity at 6.8 percent interest. That is, you will get the benefit of interest of Rs 1,94,746. On the other hand, if you invest 10 lakh rupees, then in 5 years you will get 14 lakh rupees.
