Best Safe Investment Plan: If you are retired, a businessman, or have no fixed source of income, you need not worry. In such a situation, the Post Office Monthly Income Scheme (Post Office MIS) can be extremely useful. This scheme is designed for those who want to keep their money safe and also receive a fixed income every month. Investment in this scheme carries minimal risk as it is a post office savings scheme directly operated by the Government of India.
Read Here: Honda Activa 125: India’s Favorite Scooter with Style, Reliability, and Modern Features
What is the Post Office Monthly Income Scheme?
Post Office MIS is an investment option in which an individual deposits a fixed amount and receives a fixed monthly interest in return. Currently, this scheme offers an annual interest rate of 7.4 percent. This interest is credited to the investor’s account every month. Single or joint accounts can be opened under this scheme.
Learn about the investment limit
A maximum of ₹9 lakh can be invested in a single account, while a maximum of ₹15 lakh can be deposited in a joint account. Investments can start with just ₹1,000. Investors can open this account at any nearby post office.
How much interest will be earned each month?
If an individual invests ₹9 lakh in this scheme, they will receive ₹66,600 annually at an interest rate of 7.4 percent. Divided over 12 months, this will generate a monthly income of approximately ₹5,550. If an individual invests ₹15 lakh through a joint account, they will receive an annual interest of ₹1,11,000. This translates into a fixed monthly income of approximately ₹9,250.
Read Here: The Aprilia RS 457 Is the New Favorite Supersport Bike Among Indian Riders
What is maturity and money security?
The Post Office Monthly Income Scheme has a tenure of five years. After five years, the investor receives their full principal back. If the investor wishes, they can reinvest this amount in the same scheme. The entire investment process is extremely secure, and interest is directly credited to the Post Office Savings Account. If a person does not make monthly withdrawals, the amount remains safe in their account.