Post Office Schemes, Post Office Investment for Saving Schemes & Interest Rates

Post Office Schemes, डाकघर योजनाएं, Post Office Schemes Interest Rates, डाकघर योजनाओं की ब्याज दरें, Post Office Schemes FD Rates, डाकघर योजनाएं एफडी दरें, Post Office Saving Schemes, डाकघर बचत योजनाएँ, Post Office Investment.

India Post is a central government-run postal system in India, part of the Department of Posts under the Ministry of Communications, the world’s most widely distributed postal system, Indian Post offers a variety of fixed deposit / investment options to meet the needs of various investors in the country.

The interest rates on these Fixed Deposit / Savings Schemes are announced by the Government every three months (quarterly), through these schemes various investors are supported by the Central Government and where the returns are fixed and assured,

Post Office Schemes

Post Office Savings Account(SB)
National Savings Recurring Deposit Account(RD)
National Savings Time Deposit Account(TD)
National Savings Monthly Income Account(MIS)
Senior Citizens Savings Scheme Account(SCSS)
Public Provident Fund Account(PPF )
Sukanya Samriddhi Account(SSA)
National Savings Certificates (VIIIth Issue) (NSC)
Kisan Vikas Patra(KVP)
Mahila Samman Savings Certificate
PM CARES for Children Scheme, 2021

Post Office Investment

In the July to September quarter, the government has increased interest rates on some small savings schemes, including Public Provident Fund (PPF), Kisan Vikas Patra(KVP), Sukanya Samriddhi Account(SSA), Senior Citizens Savings Scheme Account, (SCSS), National Savings Some of these schemes like Time Deposit Account(TD) etc also offer tax saving benefits under Section 80C of the Income Tax Act, 1961.

All Post Office Savings Schemes are guaranteed returns as they are designed by the Government of India, moreover, most Post Office Investment Schemes are tax-exempt under Section 80C, i.e. Rs. Tax exemption up to 1,50,000 is admissible, Now let’s know what kind of Schemes are there in the post office and how much profit can be made if we invest in them.

Sukanya Samriddhi Yojana (SSY) Scheme

Sukanya Samriddhi Yojana (SSY) is a scheme introduced for the benefit of girl child.
Central Govt Scheme under the program “Beti Bachao Beti Padhao” initiative.
Parents or legal guardians can open only one account in the name of each girl child.
Age of the girl should be 10 years or less on the date of account opening.
You have to invest minimum amount every year for 15 years from the date of account opening.
The minimum investment amount in a financial year is Rs.1000 and the maximum is Rs.1,50,000.
Thereafter the account continues to earn interest till maturity.
If the required minimum amount is not deposited in a financial year, penalty will be assessed.
Sukanya Samriddhi Yojana Scheme It currently offers an attractive interest rate of 8% per annum compounded annually.
The investment amount, interest generated and maturity amount result in tax deduction.
Tax deduction under section 80C for investment in Sukanya Samriddhi account is Rs. 1.5 lakhs per annum.
Interest on Sukanya Samriddhi Account is also tax free and maturity amount is tax free.
The investment matures on completion of 21 years from the date of account opening or on marriage of a girl child after completing 18 years.
The account will also have to be closed when the girl child becomes an NRI or loses her Indian citizenship.
A partial withdrawal facility (not more than 50% of the balance) can also be availed after the girl attains 18 years of age.
To know more about Sukanya Samriddhi Yojana, click here.

Public Provident Fund (PPF) Scheme

Public Provident Fund is a savings-cum-tax-saving instrument in India,
The main objective of the scheme is to combine small savings with income tax benefits by providing investment with reasonable returns.
There is no minimum or maximum age for opening a PPF account.
The minimum amount to open a PPF account is Rs. 500 is allowed and the maximum is 1.5 lakhs in a financial year. Investment can be made in lump sum or in installments.
PPF is a long-term investment that currently offers an interest rate of 7.1% per annum (compounded annually) for a period of 15 years.
After completion of 15 years maturity period can be extended by another 5 years.
You can extend the maturity in blocks of five years indefinitely.
Despite the 15-year lock-in term, it starts allowing partial withdrawals after the seventh year.
PPF is a pure long-term investment plan with premature closure facility.
This is only after 5 years of account opening
Premature closure is permitted and only for serious illnesses or higher education.
An investor can avail loan facility from 2nd financial year to 5th year of account opening.
The maximum amount under this PPF scheme is Rs. 1,50,000 in a financial year. Further, the deposit qualifies for exemption from income under Section 80C of the Income Tax Act.
PPF interest rate for this quarter January-March 2024 is 7.1%.
Investment in PPF account qualifies for tax exemption under Section 80C of the Income Tax Act.
However, you have to report the PPF interest on your income tax return.
To know more about Public Provident Fund click here.

National Savings Certificate (NSC) Scheme

National Savings Certificates, popularly known as NSC, is a Government of India savings bond.
NSC It is mainly used for small savings and income tax saving investments in India.
National Savings Certificate (NSC) Scheme It is a part of Postal Savings System of India Post.
NSC is a risk-free and tax-efficient savings scheme for long-term and traditional investors.
NSC Scheme It can be purchased by adults, minors, trust and two adults jointly from any post office in India.
NSC Savings Bond These are issued for maturity of five and ten years.
Five years from the date of NSC Savings Bond deposit, the account reaches its maturity.
NSC can provide collateral to banks for availing savings bond loans.
Transfer of certificates is allowed only once from one person to another person during the investment period of NSC Savings Bond.
Holder of NSC Savings Bond will get tax benefit under Section 80C of Income Tax Act, 1961
To know more about National Savings Certificate (NSC) Scheme click here.

Post Office Savings Account (POSB) Scheme

Post Office Savings Account is a deposit scheme under the Government of India.
It is a Post Office Savings Account which operates in all post offices across India.
A person can open a savings account in a post office just like a bank savings account.
The post office also pays interest on the balance of the POSB account.
Only one account can be opened in one post office and account can be transferred from one post office to another post office.
An account can be opened with a minimum of Rs 1000 in Post Office Savings Account and a maximum of Rs 9 Lakhs can be deposited in a single account up to Rs 15 Lakhs in a joint account.
In a Post Office Savings joint account, all the joint holders have an equal share in the investment.
It gives you a return on your investment at a fixed rate of interest decided by the Reserve Bank of India.
An account can also be opened in the name of a minor, Post Office Savings Account carries an interest rate of 4% and is fully taxable, however, no TDS is deducted on it.
To know more about Post Office Savings Account (POSB) Scheme click here.

Post Office Monthly Income Scheme (POMIS) Scheme

India Post The postal system in India offers postal services as well as several savings schemes with different interest rates.
One such savings scheme offered by India Post is the Monthly Income Scheme (MIS).
Post Office Monthly Income Scheme (POMIS) is one such scheme where you invest a certain amount and get fixed interest every month.
Any person can open a MIS account in single or joint holding mode.
A minor can also invest in this scheme If a minor is above 10 years of age he or she can also manage the account.
As the name suggests you can invest in it month by month from any post office.
The minimum amount required to set up a monthly income account is ₹ 1,500.
According to India Post’s official website, indiapost.gov.in, the maximum investment limit is ₹ 4.5 lakh in a single account and ₹ 9 lakh in a joint account.
Maturity period of Post Office MIS account is 5 years.
The Post Office MIS account offers an interest rate of 7.3 percent per annum, payable monthly.
MIS account can be transferred from one post office to another.
A new small savings scheme was announced in the budget and limits were increased in Senior Citizen Small Savings Scheme (SCSS) and Post Office Monthly Income Scheme (POMIS).
The Post Office Depository Service has a variety of schemes that provide consistent returns on investment.
All Post Office Savings Schemes are linked to a sovereign guarantee benefit, which means that this investment avenue is backed by the government.
This compares to equity shares and many fixed-income options
Post Office Savings Schemes are safe investment options.
One of the highest earning schemes like Post Office Monthly Income Scheme with an interest rate of 7.4%.
Interest in this scheme, as the name suggests, is disbursed monthly.
A POMIS account can be encashed as an accountant after one year but before three years at a discount of 2 per cent on the deposit and after three years at a discount of 1 per cent on the deposit.
A special scheme that provides guaranteed fixed monthly income on lump sum investment made by the investor.
This scheme, like other post office schemes, is recognized and validated by the Ministry of Finance.
To know more about Post Office Monthly Income Scheme (POMIS) Scheme click here.

Post Office Recurring Deposits (RD) Scheme

Post Office Recurring Deposit (RD) is a popular savings scheme offered by the Government of India.
If you are thinking of investing in a Post Office RD account then don’t delay.
A 5 year RD account can be registered with a post office to invest small amounts on a regular basis.
It is a type of investment where you can save a fixed amount every month for a fixed period and earn a fixed rate of interest on it.
Post Office Recurring Deposit is considered as medium term investment option by working-class people.
Common people invest in RD to protect their immediate future from adverse events in life.
Make sure that you pay continuous deposits for the next 5 years in the Post Office RD account because the minimum tenure of the Post Office RD account is 5 years.
Post Office RD is basically a monthly investment for a fixed term of 5 years with an annual interest rate of 6.5% (compounded quarterly).
After completion of fixed tenure of five years, RD Account Rs. 10,000 invested every month you will get Rs. 1,04,327.
Post Office Account RD allows small investors to invest any amount from Rs.100 per month and minimum multiples of Rs.10.
It is one of the best investment options for every investor who is looking for a risk-free investment route to systematically save some amount every month.

Mahila Samman Savings Certificates (MSSC) Scheme

Mahila Samman Savings Certificate A small savings scheme for women and girls introduced by the Union Finance Minister in the Union Budget 2024-24.
The Finance Ministry has authorized all public sector banks and eligible private sector banks to accept and implement the Mahila Samman Savings Certificate.
Mahila Samman Savings Certificate Scheme can now be purchased at post offices and eligible scheduled banks.
It is a one-time small savings scheme introduced by the government for women with a maturity period of two years.
A woman or a guardian of a girl child can open this account and deposit a maximum of Rs.2 lakhs and they will earn 7.5% interest.
The scheme is being implemented by the Department of Posts from April 1, 2024. Interested women investors can submit application form and KYC document Aadhaar and PAN card for account opening.

Senior Citizen Savings Scheme (SCSS)

Senior Citizens Savings Scheme (SCSS) account is a retirement benefit account supported by the Government of India.
The account provides income tax benefits along with access to regular income after retirement.
Indian senior citizens who make lump sum investment in the plan individually or jointly can avail the benefits of the account.
Senior citizens savings schemes can be availed by any person above 60 years of age.
Anyone taking voluntary retirement after 55 years of age can also open this account within one month of receiving retirement benefits.
Senior Citizens Savings Schemes offer long-term effective savings options with attractive features and unmatched security.
Senior citizens, defined as those aged 60 years and above, can invest in the Senior Citizen Savings Scheme and receive a fixed interest payment.
In Budget 2024, the maximum investment limit of Senior Citizen Savings Scheme (SCSS) is Rs. 15 lakh to Rs. 30 lakhs has been increased. This program pays interest on deposits in four quarterly periods.
The principal of SCSS has a lock-in term of five years, but premature withdrawal is permitted after the expiry of one year but only on payment of penalty.
You can open your SCSS account and checks are allowed only for deposits above 1 lakh.
The deposit has a maturity period of 5 years.
The account can be extended for another three years after the scheme matures.
Senior Citizen Savings Scheme allows premature withdrawal of deposits at any time after the date of account opening but incurs penalties.
A penalty of 1.5% of the deposit amount is levied before completion of 2 years of account opening.
1% penalty is levied after 2 years of deposit from account opening.
Under Section 80C of Income Tax, the plan is eligible for tax exemption.
If the interest amount exceeds Rs.10,000 in a year, tax is deducted at source.

NOTE – Post Office fixed deposit rates are subject to change at the discretion of Post Office, the information given here is only the current interest rates given by Post Office, when you want to make a fixed deposit in Post Office, you should visit the URL https://www.indiapost.gov.in/Financial/pages/content/post-office-saving-schemes.aspx official website of Post Office and confirm.