Post Office Schemes: Most of the Indians are searching for a government backed schemes that offers safety and better returns. Then this new Post Office Time Deposit Scheme can be perfect choice for you. This Post Office scheme is not only safe but also offers a guaranteed return.
In this todays article we will see how you can earn ₹2.25 lakh interest by depositing only ₹5 lakh in a Post Office Time Deposit account. We will also see all the important details about this scheme including tenure, interest rates, and investment benefits.
What’s the Post Office Time Deposit Scheme?
The Post Office Time Deposit Scheme is one of the most popular saving scheme offered by Government of India. It works better than bank fixed deposit. In this scheme you want to deposit lump sum amount for fixed tenure and then interest is paid on deposit at fixed rate. As the scheme is operated by Indian government your capital and interest earned are fully secured and free from any type of risk.
Interest Rates and Investment Duration
This New Post Office Time Deposit account can be opened for different time periods. Deposit duration options include one year, two years, three years, and five years. Every type of duration offers a different interest rate. For a one year deposit interest rate is 6.9 percent per annum.
For two years interest rate is 7.0 percent per annum. If you choose to invest for three years interest rate increases to 7.1 percent per annum. Highest interest rate of 7.5 percent is available for five year deposit scheme. Interest rates will remains fixed throughout the investment period.
Minimum and Maximum Deposit Limits
To open a Time Deposit account in the post office you will need minimum amount of ₹1,000. There is no any upper limit for investment in this scheme. This means that you can deposit any amount depending on your earning capacity. This scheme is open and accessible for all type of income groups.
How You Earns ₹2.25 Lakh Interest
In this new scheme if you invest ₹5 lakh for a period of five years then you will receive fix interest of ₹2,24,974 at the end of the maturity period. This means that totally after five years you will receive ₹7,24,974. Which makes it an excellent investment option for those who are looking for fixed income without risk.
Process to Open the TD Account
Opening a Time Deposit account in the post office is a very simple process. For that you need to visit your nearest post office branch and needs submit basic documents like Aadhar card, PAN card, and passport size photo. You can deposit amount through cash or cheque. If you have an account with India Post Payments Bank IPPB then you can open TD account online through their digital platform.