How Post Office Saving Schemes Can Double Your Returns?

You probably don’t have a major financial institution. Compared to the Post Office, which will currently promise you to double your investment. Although it is possible to see a bank fixed deposit as an alternative. That comes with some sort of return assurance. The interest rates that major banks such as SBI and HDFC provide are poor.

By depositing 5,000 rupees or some other sum in the Kisan Vikas Patra Post Office (Kisan Vikas Patra). (Kisan Vikas Patra). At the present 7.6 percent interest rate, you will get a guaranteed return of Rs 10,000 within 113 months (9 years and 5 months). If you deposit the same balance in the SBI Fixed Deposit, then in 113 months it will be just Rs 8965. 

Rs 10,000 to Rs 1,79,31 and SBI provide Rs 1 lakh to Rs 1,79,318 within the same time, as per SBI’s online maturity value calculator. The HDFC Fixed Deposit will rise in 113 months by Rs 5000 to Rs 9526, Rs 10,000 to Rs 19,049 and Rs 1 lakh to Rs 190,490. Today, HDFC Bank pays 6.9 per cent interest on such deposits into HDFC Bank Current. The Post Office’s KVP pays 7.6 per cent interest, which is compounded annually, as opposed to SBI and HDFC Bank. 

Post office savings scheme calculation

In the context of a post office savings scheme, you can even open time deposits for tenures of 1, 2, 3 and 5 years. This is close to that given by banks on a fixed deposit. The fixed deposit of 1-3 years from the post office has a 5.5 per cent interest rate. The fixed five-year deposit is 6.7 per cent. In the Post Office MIS Scheme, you can deposit a limit of Rs 4.5 lakh independently and Rs 9 lakh jointly. MIS helps investors to deliver a stable monthly income which has a 6.6 per cent interest rate.

National Savings Certificate

There is a lock-in term of 5 years for the National Savings Certificate. This will provide an interest of 6.8 per cent for the eligible investors.

Public Provident Fund

A prominent savings scheme for the provident fund that matures in 15 years. That being said, after 5 years, investors can take advantage of partial withdrawals. To keep the account active, a minimum deposit of Rs 500 is required each year which will give you an interest rate of 7.1%.

5 Year Post Office RD

These RD accounts, with small monthly deposits, provide competitive interest rates. In this recurring deposit scheme proposed by post offices, new investors will earn a 5.8 per cent interest rate.

Senior Citizen Savings Scheme

Investors who can invest Rs 15 lakh up to 60 years old are eligible to gain monthly interest income in a Senior Citizen Savings Scheme over their lifetime. The period of the lock-in is 5 years. 7.4 per cent is offered by the senior citizen scheme.

Kisan Vikas Patra

A minimum Rs 1000 rupees can be deposited in KVP and more in multiples of 1000 rupees. The upper contribution ceiling does not exist. An adult person can purchase a KVP certificate for himself or on behalf of a minor from any post office, as per the official Post Office website. This certificate can be transferred from one individual to the other and one post office to another. With a current interest rate of 6.9 per cent, this scheme will double your returns.