New Delhi: The Post Office currently offers several popular investment schemes—programs that allow people to fulfil their dreams of earning substantial returns. To build a secure future, these impressive Post Office schemes can prove to be immensely beneficial. You have likely already heard of the Post Office Time Deposit Scheme.
Key Highlights
Interest Rate Structure
| Tenure | Interest Rate |
|---|---|
| 1 Year | 6.9% p.a. |
| 2 Years | 7.0% p.a. |
| 3 Years | 7.1% p.a. |
| 5 Years | 7.5% p.a. |
By investing in this scheme, you can earn handsome returns. With a single lump-sum investment, you stand to earn up to ₹2 lakh through the Post Office. This scheme offers not only a secure avenue for investment but also promises significant future profits. Read on to understand the key details regarding this scheme.
**Attractive Interest Rates on Offer**
Speaking of the Post Office Time Deposit Scheme, the maximum interest rate currently offered stands at 7.5% per annum. The interest rate applied depends on the tenure of your investment. For instance, a 1-year time deposit earns 6.9% interest; a 2-year deposit earns 7%; a 3-year investment earns 7.1%; and an investment held for 5 years earns the maximum rate of 7.5%.
Bumper Interest on Investments Ranging from 1 to 5 Years
Under the Post Office Time Deposit Scheme, you have the flexibility to invest for a duration ranging from 1 to 5 years. As mentioned, the interest rate offered in this scheme varies according to the chosen investment tenure. This means that investors can make a lump-sum deposit in this savings scheme for a period of one, two, three, or even five years, entirely based on their personal convenience and financial planning.
How to Earn ₹2 Lakh
You can easily earn up to ₹2 lakh through this scheme. The calculation behind this is quite simple to understand. To achieve this, you must make a lump-sum investment for the maximum tenure of 5 years. You can perform the precise calculation using the Post Office Time Deposit Calculator.
If you deposit ₹4.5 lakh into the account for a period of five years, then—based on an interest rate of 7.5% per annum—you will easily receive a total maturity amount of ₹6,52,477 at the end of the tenure. Out of this total sum, approximately ₹2,02,477 will constitute the interest earned alone.
The Freedom This Investment Offers
Under this Post Office scheme, investors are granted the freedom to determine both the investment tenure and the investment amount according to their own convenience. If you wish to earn interest amounting to ₹2 lakh within just three years—rather than the standard five-year period—you would need to invest a sum of approximately ₹10 lakh. Thanks to the 7.1% interest rate applicable to a three-year investment, your total fund value will grow to ₹12,35,075. Of this amount, the earnings generated from interest alone will stand at ₹2,35,075.
