look news india
Post Office RD: The first objective of an investor is to earn money through their investments, and losing it amid market volatility is their nightmare. In such a scenario, any return that is guaranteed attracts investors, and perhaps this is why the attractiveness of various post office schemes offering guaranteed returns never diminishes. Among the array of various post office schemes offering guaranteed returns, National Savings Recurring Deposit Account (RD) remains a popular investment option. A large population in India looking for returns on their investments and a safe place to park their money consider RDs as a popular option. RD offers an interest rate of 6.7 percent per annum, and has a lock-in period of five years. One can deposit any amount with a minimum of Rs 100 or in multiples of Rs 10. RD account can also be opened in banks like State Bank of India. Here we will tell you how much return you will get if you invest Rs 25000 per month (Rs 300000 annually and Rs 1500000 in five years) in RD scheme. Before that, let us know about some of the key features of Post Office RD.
Minimum and Maximum Investment
The RD account holder has to deposit a minimum of Rs 100 or in multiples of Rs 10 in a month. There is no limit on maximum deposit.
Who can open an account?
One person or maximum 3 adults (Joint A or Joint B) can open the account.
A guardian can also open an account on behalf of a minor of at least 10 years of age.
Rate of interest
The guaranteed return plan offers an annual interest rate of 6.7 percent, compounded quarterly.
advance deposit
Advance deposits can also be made in the account for up to five years. These advance deposits can be made at the time of opening the account or at any time thereafter.
loan
The investment scheme also provides loan facility.
After depositing 12 installments and maintaining his account for one year, the investor can avail the facility up to 50 per cent of the balance in the account.
maturity
The maturity period of Post Office RD is 5 years (60 monthly deposits) from the date of account opening. However, the account can be extended for another 5 years by applying to the post office.
What will your investment of Rs 15 lakh become in 5 years?
Since you deposit monthly installments in an RD account, your monthly contribution should be Rs 25,000 to accumulate Rs 15 lakh in five years. On maturity, you will get interest of Rs 284146 on investment of Rs 15 lakh and your total maturity amount will be Rs 1784146.