Everyone wants to save some part of their income. They want to invest in a way that not only keeps their money safe, but also gives good returns. In that case, the small savings schemes of the Indian Post Office are quite popular. One of these schemes is the Post Office Recurring Deposit Scheme. Where there is an opportunity to earn Rs 2 lakh 54 thousand only from interest by investing regularly. The government itself guarantees this investment.
How much interest does the government give?
The most important thing about government-run savings schemes is that they are completely risk-free. This means that every investment is completely safe. By investing just Rs 5 thousand per month in the Post Office Recurring Deposit Scheme, you can deposit Rs 8 lakh and get more than Rs 2 lakh 54 thousand in interest. The government is giving 6.7% interest on the investment in this small savings scheme.
Income calculation
It is very easy to calculate the quick interest in the Post Office Recurring Deposit Scheme. You have to invest Rs 5 thousand in a deposit account regularly every month until the maturity period. The maturity period of this scheme is 5 years. So the total investment amount during this period will be 3 lakh Rs and the interest earned on it at the rate of 6.7% will be 56 thousand 830 Rs. This means that the total income in 5 years will be 3 lakh 56 thousand 830 Rs. If you extend this for another 5 years, then the total amount of deposit in 19 years will be 6 lakh Rs.. The interest on the deposit at the rate of 6.7% will be 2 lakh 54 thousand 272 Rs. Therefore, the total deposit in 10 years will be 8 lakh 54 thousand 272 Rs.
Open an account with 100 Rs. and take a loan
You can open an account under the Recurring Deposit Scheme at any nearby post office. You can start investing in this government scheme with just 100 Rs. Moreover, the account can be closed before the expiry of the 5-year period. As per the rules, a loan of up to 50% of the deposit amount can be taken and the interest is only 2%.