Post Office Scheme: Investing in post office schemes is a common and secure way to invest your money. The post office offers various investment options similar to those available in banks.
One advantage of investing in post office schemes is that it is a government-run institution, which means you can trust it for security. Recently, the post office increased the interest rates on several of its schemes. This means that investors can expect even higher returns on their investments. One such scheme is the Post Office Time Deposit Scheme, also known as the National Savings Time Deposit Account.
Earn Guaranteed Returns with Post Office Time Deposit Scheme
Investing in the Post Office Time Deposit Scheme offers a secure way to earn fixed returns for a duration of 1 to 5 years. Similar to fixed deposits in banks, this scheme ensures guaranteed returns. You have the flexibility to choose investment periods of 1, 2, 3, and 5 years, each with its own interest rate. The maximum interest rate offered is 7.5%.
Deposit Tenure with interest rate
|Time Deposit Tenure||Rate of interest|
|on 1 year deposit||6.8%|
|on 2 years deposit||6.9%|
|on 3 years deposit||7.0%|
|on 5 years deposit||7.5%|
Post Office Time Deposit Calculator 2023
The interest is calculated on a quarterly basis and credited annually to your account. Additionally, you can avail tax exemption under section 80C for a 5-year investment. There is no maximum investment limit for this scheme.
Let’s take an example using the Post Office Time Deposit Calculator for the year 2023. Suppose you invest Rs. 5 lakh for 5 years at an interest rate of 7.5%. Your total maturity amount would be Rs. 7,24,149, with an interest amount of Rs. 2,24,149.
Who Can Benefit from this Scheme?
Any Indian citizen can invest in the Post Office Time Deposit account. You can open a single account, a joint account with up to 3 individuals, or open an account on behalf of a minor with their parents or guardian. If the minor is above 10 years old, they can also open an account in their own name under this scheme.