Post Office TD: The government has changed the interest rates of small savings from 1 April 2023. Except PPF, the interest rates of all savings schemes have been increased by 10-70 basis points.
Post Office TD: The government has changed the interest rates of small savings from 1 April 2023. Except PPF, the interest rates of all savings schemes have been increased by 10-70 basis points. In these safe and guaranteed return schemes, there is also a scheme Post Office Time Deposit Account for 5 years. Post office time deposit is one of the best option for guaranteed income without taking any risk. Post Office’s 5-year time deposit government has increased the interest rate from 7 percent to 7.5 percent annually. In this 5-year fixed deposit scheme of the post office, the depositor can also take advantage of tax deduction under section 80C of income tax.
Post Office: 10 lakh deposit for 5 years
The customer is getting 7.5 percent interest from April 1, 2023, on 5-year FD in the post office. According to the Post Office FD Calculator 2023, if a deposit of Rs 10 lakh is made, then the regular customer will get Rs 14,49,948 on maturity. In this, Rs 4,49,948 will be earned from interest. That is, in five years, the guaranteed income of about Rs 4.5 lakh will be from interest.
Investors can make deposits for maturity of 1, 2, 3 and 5 years in post office time deposit. The time deposit can be carried forward after maturity. Single account and joint account are also opened under time deposit. A maximum of 3 adults can be included in a joint account. This account can be opened with a minimum of Rs 1000. After this you can invest in it in multiples of Rs.100. There is no investment limit in Post Office TD. The Finance Ministry reviews the interest rates on small savings every quarter.
Tax benefit on 5 years TD
The benefit of tax exemption is available on 5 years FD in the post office. Tax deduction can be claimed on investment up to Rs 1.5 lakh under section 80C of income tax. Keep in mind here that the amount received on maturity in FD is taxable. Post Office TD is getting 6.8 percent interest for 1 year, 6.9 percent for 2 years and 7.0 percent for 3 years. In this scheme, the interest rates are calculated on a quarterly basis, but the payment is done on an annual basis.
