new Delhi. For long-term investment, most people prefer to take a policy that has less risk. This is why people consider Post Office schemes to be trustworthy. With this money is safe and good return is also available. If you are also thinking of investing your money, then the Time Deposit Scheme of the post office can prove to be beneficial. In this, you will get higher returns than FD. In this, you can make a profit of up to two and a half million within 5 years. So what is this plan and how to invest in it, let us know.
What is time deposit scheme
In this scheme operated by the post office, you get more interest than bank FD. You can invest in it for 1 year, 2 years, 3 years and 5 years. If you invest 5 lakh rupees for a period of 5 years in a time deposit, then you will get a profit of around 2.25 lakh rupees. It currently adds compounding interest at a rate of 7.7% per annum. It can be opened with a minimum amount of 1000 rupees. While there is no limit to the maximum amount.
How is the deal profitable
If the investor invests Rs 5 lakh for 5 years and adds a compound interest of 7.7%, then at maturity you will get a total of Rs 7,24,517. On the other hand, if you take this plan for 3 years, then the maturity amount will be 6.10 lakhs and on a 2-year deposit, Rs 5,71,381, while on 1-year deposit, the maturity amount will be Rs 5,34,500. If you invest more amount in this, your amount may also double.
– 100% investment in this scheme guarantees security.
– These accounts can be opened both single and joint. If the account is to be opened in the name of the child, it can be done as a guardian by the guardian.
-If there is an emergency, you can withdraw the amount before maturity. However, 6 months of account should be completed for this.
– Investments made for 5 years in the scheme are also exempt under Section 80C of the Income Tax Act 1961.