Post Office Scheme: Post Office schemes are a great option for safe and better returns. Like banks, you can make fixed deposits (FD) here, which often gives more interest than banks. Investing in a post office is also easy because you can open a savings account for just Rs 500.

Post Office Time Deposit Scheme account is a great option for investment at this time. It offers a high interest rate of 6.9% to 7.5%, much better than banks. You can open this account for just Rs 1000. This account is available for a period of 1 to 5 years and there is no maximum limit of investment in it. Visit your nearest post office to open it.

What is the scheme?
Under the time deposit account in the post office, 6.9% interest is available on deposit for 1 year, 7.0% for 2 years, 7.1% interest on FD for up to 3 years, and 7.5% interest on investment for 5 years. This interest is calculated every quarter. However, it is paid annually. Compared to bank savings accounts, the interest in this scheme is almost double.

If you invest Rs 5 lakh in a post office time deposit account for 5 years, you will get an interest of Rs 2,24,974 at an interest rate of 7.5 percent. On maturity after 5 years, you will get a total of Rs 7,24,974. If you extend it for another 5 years, after 10 years you will get a total interest of Rs 5,51,175, which is more than your principal. In this way, you will have a total of Rs 10,51,175 in 10 years.

You can also open an account in the name of the child-
Although parents can open an account in the name of their children. If the child is more than 10 years old, then he can operate the account himself. Apart from this, you can open as many accounts as you want under this scheme. There is also a facility to open a joint account in this scheme. Not only this, you can also convert your joint account into a single account whenever you want.

National Savings Certificate (NSC)-
Apart from this, a 5-year National Savings Certificate (NSC) gives a 7.7% return in the post office. The investment made in this is eligible for tax exemption under section 80C of Income Tax. However, it has a lock-in period of 5 years, which means that you cannot withdraw money before maturity.

Money doubles in 115 months-
Also, if you invest in Kisan Vikas Patra, the amount will double in 115 months (9 years and 7 months). Currently, the government has a fixed 7.5 percent annual interest rate on KVP.

Disclaimer: This content has been sourced and edited from Hr Breaking. While we have made modifications for clarity and presentation, the original content belongs to its respective authors and website. We do not claim ownership of the content.