In times of inflation, if you are looking for a safe investment without risk, then Post Office Recurring Deposit (RD) scheme can become a reliable option for you. Especially for those people who want to create a good fund for the future by saving a small amount every month, this scheme is very useful for them. Post Office RD not only comes with government guarantee, but the interest received in it is also stable, due to which the investor can know in advance how much amount he will get on maturity.
What is Post Office RD Scheme?
In Post Office’s RD i.e. Recurring Deposit Scheme, the investor has to deposit a fixed amount every month. This scheme is designed for those who cannot invest a large amount at once, but want to develop the habit of regular savings. At present the post office is offering 6.7% annual interest on this scheme, which is added on the basis of quarterly compounding.
With how much amount can you start?
The minimum monthly deposit to open an account in this scheme is only Rs 100. The good thing is that there is no limit on the maximum deposit, that is, you can invest as much as your income allows. This is the reason why this scheme is very popular among working people, housewives and small businessmen.
Maturity and Duration
The duration of Post Office RD Scheme is 5 years i.e. 60 months. During this period, the amount has to be deposited every month by the due date. If any monthly installment is missed, it can be deposited later with a nominal penalty.
How much will you get by depositing Rs 2500 every month?
If you deposit Rs 5000 every month in the post office RD scheme, your total deposit in 5 years will be Rs 3,00,000. If you add the interest received on this, then after 60 months you will get a total of around Rs 3,56,830. That means you will get interest benefit of more than Rs 56,830.
Why choose Post Office RD?
The Post Office RD scheme is considered completely safe because it is backed by the government. In this, there is no impact of market fluctuations and the investor gets fixed returns. This scheme can become a strong financial plan for children’s education, marriage or any small future goal.
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