Post Office Scheme: In the matter of investment, there is a large section which even today does not trust the market. Of course, they will take slightly less benefits, but they prefer to invest their money in only those schemes in which they get guaranteed returns and the investment remains safe. This scheme of post office can be useful for such people.
Post office RD: In today’s time, SIP is considered a better means of investment, yet there is a large section of people who still do not trust the market. Of course, they will take slightly less benefits, but they prefer to invest their money in only those schemes in which they get guaranteed returns and the investment remains safe. If you are also among such investors then you can invest in Post Office Recurring Deposit- RD. You do not need to invest a huge amount in lump sum in this. You can get better returns even by investing a fixed amount every month.
Post office RD is for 5 years. In this, interest is being given at the rate of 6.7 percent, which is calculated on quarterly basis. In such a situation, you collect a good amount of fund. If you invest Rs 7000 every month in Post Office RD, you can add up to Rs 5 lakh in 5 years and around Rs 12 lakh in 10 years.
Understand how 12 lakhs will be added
If you invest Rs 7000 every month in this scheme, then you will invest a total of Rs 4,20,000 in Post Office RD in 5 years. In this you will be given interest at the rate of 6.7 percent. In such a situation, according to the calculation, you will get Rs 79,564 only as interest in 5 years. In such a situation, by adding your invested amount and interest, your maturity amount will be Rs 4,99,564 i.e. around Rs 5 lakh.
Whereas if you get this RD extended for 5 more years, then you can add around Rs 12 lakh. In this case your total investment will be Rs 8,40,000. On this, only Rs 3,55,982 will be given as interest at the rate of 6.7 per cent and on maturity, Rs 11,95,982 i.e. approximately Rs 12 lakh will be given.
Benefits of Post Office RD
- Post Office RD can be opened with Rs 100, this is an amount which anyone can easily save. There is no maximum investment limit in this.
- You get the benefit of compounding interest on Post Office RD. In such a situation, you get a good profit in the form of interest in 5 years.
- A person can open any number of accounts in the Post Office Recurring Deposit Scheme. In this, apart from single, joint account can be opened for up to 3 persons. There is a facility to open an account in the name of the child also.
- The maturity of RD account is 5 years. But, pre-mature closure can be done after 3 years. It also has the facility of nomination. At the same time, after maturity, RD account can be continued for further 5 years.
