Post Office Term Deposit 2023: Even today a large section of the country relies heavily on the Post Office Scheme. It keeps on bringing a variety of schemes for its customers. You get a large number of scheme options in the post office, giving you good returns (Small Saving Scheme). If you are also looking for a safe investment option, then you can invest in the fixed deposit scheme of the post office.
The special thing about this scheme is that the money invested in it is absolutely safe and also gives you good returns. You can open Fixed Deposit Account in the post office for a period of 1 to 5 years. It is a small savings scheme which gives you very good returns.
You will get this much money on investment of one lakh
Let us tell you that under the Post Office Term Deposit Scheme (Post Office Term Deposit Scheme), you can invest money for up to 5 years. On this you will get interest of around 6.7% per annum. That is, if a person opens an account by depositing Rs 1 lakh in term deposit for 5 years, then after 5 years he will get Rs 1,39,407 in return including interest. On the other hand, on the term issue of 1, 2 and 3 years, you will get the interest rate of post office term deposit around 5.5 percent.
Post Office Term Deposit 2023: These people can open account
Let us tell you that under the Post Office Term Deposit Scheme, you can open both single or joint accounts. Children below the age of 10 years under the supervision of parents or mentally challenged persons can also open an account in the Fixed Deposit Scheme of the post office.
You can start this account with Rs 1000. At the same time, you will also get tax exemption under 80C of income tax on 5-year term deposit scheme. But, while taking the scheme keep in mind that if you close the account after completion of 6 to 12 months of account opening, you will get both savings scheme and fixed deposit interest rate.
The following facilities are available in the Post Office Fixed Deposit Scheme-
- In this scheme (Post Office Term Deposit Scheme), you get the facility of nomination.
- You can transfer it to any post office.
- You can open it both single and joint.
- You can also open an account through net banking.
post office fixed deposit interest rate
The interest rates offered on Post Office Term Deposit Scheme are quite low as compared to other investments, however being backed by the government, these deposits are risk-free.
The interest rate for the Post Office Fixed Deposit (POTD) scheme is reviewed by the Finance Ministry at the beginning of each quarter of the financial year. However, interest is payable annually. Post Office Fixed Deposit interest rates for various tenors from 01.01.2023 to 31.03.2023 are presented in the following table.
Risk involved
In Post Office Term Deposit Scheme, there is very low level of risk involved as this scheme is backed by the Government of India. However, there are some provisions that should be kept in mind by the investors looking to invest in this scheme.
1. Investment Protection
Investment under Post Office Term Deposit Scheme is completely safe and the returns from this scheme are guaranteed as the scheme is backed by the Government of India.
2. Inflation
When it comes to inflation, the POTD scheme is not that safe. There is no provision of inflation protection for this scheme, which can make the situation worse by not earning any real returns from the scheme to the investors if inflation exceeds the guaranteed rate of interest . Therefore, there will always be potential for returns to be affected by inflation.
