Post Office RD: Small Savings Scheme is a very good option if you are looking to invest in government savings schemes. Government is running many small savings schemes through Post Office. Guaranteed compensation is available in these plans.
Post Office RD: Small Savings Scheme is a very good option if you are looking to invest in government savings schemes. Government is running many small savings schemes through Post Office. Guaranteed compensation is available in these schemes. If you don’t have a huge amount to invest at once, you can also invest monthly savings every month. Yes, you can invest a fixed amount every month in Post Office Recurring Deposit. The government recently revised the interest rates on Post Office Rd. From October 1, 2023 to December 31, 2023, the 5-year Post Office RD is earning 6.7 percent annual interest instead of 6.5 percent.
You will get interest on an investment of Rs 5,000 on RD
At an RD of Rs 5,000 per month, you will invest Rs 60,000 in one year and a total of Rs 3,00,000 in five years. You will get Rs 56,830 interest after 5 years at the rate of 6.7%. On maturity you will get Rs 3,56,830. If you invest Rs 3,000 in RD every month, you will invest Rs 36,000 in a year. Your total investment in 5 years will be Rs 1,80,000. According to the Post Office RD Calculator, according to the new interest rates, you will get Rs 34,097 as interest. On maturity you will get a total of Rs 2,14,097.
The Post Office Savings Scheme changes every three months
TDS is deducted on interest earned on RD. 10% TDS is applicable on interest rates received on RD. TDS will be deducted if one month’s interest on RD exceeds Rs 10,000. The Ministry of Finance of the Union Government reviews the interest available on small savings schemes every three months. This time in the festive season, the government has changed the interest rates on only 5-year recurring deposits in the October to December quarter. Old rates of interest have been applied to the rest of the schemes.
