Amidst the fluctuations in the stock market, even today, many people choose such investment options where the money is safe and also get good returns in the stipulated time. In such a situation, post office savings schemes emerge as a great option. Post office schemes are a great option for those who do not want to take risks, but also expect better returns. So, if you also want to invest your hard-earned money in a safe and profitable place, then these great schemes of the post office are for you.
Post Office Savings Account
If you want to keep your money in a safe place, then a post office savings account can be a great option for you. You get 4% interest annually on this (Post Office Savings Account Interest Rate). Only ₹ 500 is required to open an account in it. There is no maximum limit of deposit in it, and the interest received in it is also tax-free (tax exemption under section 80TTA) up to ₹ 10,000! So, it is not only safe, but also helpful in saving tax.
Post Office RD
Post Office RD is very popular, especially among middle class families. In this, you can start investing with ₹ 100 every month and get a good amount after 5 years. Currently, this scheme is getting 6.7% annual interest, which is compounded every quarter. There is a penalty for not depositing the installment on time in RD, and after a year, you can also take a loan against the deposit amount. This is a great way to turn small savings into big profits.
Post Office Time Deposit
If you want to invest money for a fixed time, then the Post Office Time Deposit (TD) scheme will be right for you. Interest rates in TD from 1 year to 5 years range from 6.9% to 7.5%. The highest interest is available on 5-year deposits, i.e., 7.5%. Also, a 5-year TD gets tax exemption under Section 80C of the Income Tax Act. This is a great way to keep your investment safe as well as save tax.
Post Office Monthly Income Scheme
If you want a fixed amount to come into your account every month, then Post Office MIS (Monthly Income Scheme) is beneficial for you. It gives 7.4% annual interest, which comes into your account every month! You can invest up to ₹9 lakh in a single account and ₹15 lakh in a joint account. This scheme is especially useful for senior citizens and retired people who are looking for a source of regular income.
Sukanya Samriddhi Yojana
Sukanya Samriddhi Yojana (SSY) is a great scheme designed to secure the future of daughters! It gives 8.2% annual interest and is one of the highest interest paying schemes. In this, parents can open an account in the name of their daughter below 10 years of age. In this, you can invest from ₹ 250 to ₹ 1.5 lakh annually and maturity occurs in 21 years. This scheme becomes a great support for the education and marriage of daughters.
Public Provident Fund
If you are looking for a safe and tax-free investment for the long term, then PPF (Public Provident Fund) is right for you. It has a lock-in period of 15 years, and it gives 7.1% annual interest. In this too, you can invest from ₹ 500 to ₹ 1.5 lakh annually. The interest and maturity amount received in PPF is completely tax-free. It is an excellent option to meet long-term financial goals.