Post Office Saving Schemes And Interest Rates (2022)

Post office savings schemes form a large part of the financial portfolio of an Indian depositor helped by their country-wide reach, risk-free and relatively high rate of interest earning needs. Also, small account holders, poor and uneducated people of all ages and backgrounds find dealing with Indian postal service somewhat easier as it comes with sovereign guarantee on depositors’ money, whereas, earning professionals can also avail of tax benefits on the interest earned on their investment.

Forbes Advisor India has analyzed nine saving schemes offered by the Indian Post Office as well as interest rates earned on the investment to help you create a balanced financial portfolio. Here are the features and interest rates on post office saving schemes.

Summary

  • Post Office Savings Account (SB)
  • 5-Year Post Office Recurring Deposit Account (RD)
  • Post Office Time Deposit Account (TD)
  • Post Office Monthly Income Scheme Account
  • Senior Citizen Savings Scheme (SCSS)
  • Public Provident Fund Account (PPF)
  • Sukanya Samriddhi Account (SSA)
  • National Savings Certificate (NSC)
  • Kisan Vikas Patra (KVP)
  • Interest Rates On Post Office Savings Schemes
  • Frequently Asked Questions (FAQs)

Post Office Savings Account (SB)

The savings account provided by the Post Office Savings Bank is one of the government-backed schemes, and offers 4.0% interest rates on both individual and joint accounts. Some of its features include:

  • Account type

The savings bank offers a single account, joint account (up to two adults), a guardian or parent of a minor and/or of a person of unsound mind; and even under the name of a minor above 10 years of age.

  • Application forms can be downloaded from the department of posts’ website, or at the nearest post office.
  • Nomination is mandatory.
  • Fresh application is required if the account is silent, or inactive for three financial years.
  • Investment

A minimum investment of INR 500 is required to open an account and a balance of INR 10 per month to maintain the savings, though it has no maximum monthly deposit limit.

  • Withdrawal

A depositor can visit the nearest branch to withdraw the full amount (above INR 50) and still maintain the account with INR 500 as minimum balance. At ATMs, the withdrawal limit is INR 25,000 with INR 10,000 per transaction. A fine up to INR 100 can be levied if the balance is nil or has not maintained the minimum balance since three financial years (then the account is closed).

  • Return on Investment

The post offers an interest rate of 4.0% per annum.

The interest rate is calculated at the end of each financial year, and is accordingly credited to an account. The current rate of interest (ROI) has remained unchanged since 2020.

  • Taxation

Depositors can claim exemption up to INR 10,000 on the interest earned per financial year under Section 80TTA of the Income Tax Act.

  • Other benefits

The post office provides depositors with passbook, cheque, ATM card as well as credentials to log into its internet banking or mobile banking to access their account.

Risk Level: Low to nil.

Interest Rate

SchemeInterest
Post Office Savings Scheme Account4.0%


5-Year Post Office Recurring Deposit Account (RD)

A depositor can fill up the purchasing certificate form to open a national savings recurring deposit (RD) account with the Post Office Savings Bank. The current interest rate on the 5-year scheme is 5.80% per annum on both individual and joint accounts. Some of its features include:

  • Account type

The recurring deposit (RD) offers account holders provisions of single account, joint account (up to three adults), a guardian or parent of a minor and/or of a person of unsound mind; and even under the name of a minor above 10 years of age.

  • Investment

Minimum investment amount per month is INR 100.

The monthly investment has no upper limit, and deposits are accepted in cash/cheque at the branch, or using the internet or mobile banking provided to savings account holders.

  • Return on Investment

The current interest rate on the RD account is 5.80%. The interest is paid at the end of the maturity.

  • Maturity

The monthly investments are paid in 60 installments or up to five years.

Premature withdrawal with interest is possible after three years.

  • Taxation

Under Section 80C of the Income Tax Act, a depositor can claim tax exemption of up to INR 1.5 lakh per annum on the post office RD scheme. The interest earned is, however, subject to taxation.

Risk Level: Low to nil.
Interest Rate

(Video) Post Office Savings Schemes Latest Interest Rate | February 2022 | RD, TD, NSC, KVP, MIS, PPF, SSA.

SchemeInterest
5-Year Post Office Recurring Deposit Account5.80%

Post Office Time Deposit Account (TD)

The popular fixed deposit scheme provided by Post Office Savings Bank offers depositors interest rate from 5.50% to 6.70%. Some of its features include:

  • Account type

A depositor can invest a lump sum amount for a period of 1-5 years, and avail of interest rate that is calculated quarterly and payable at the end of maturity.

  • Investment

Minimum investment amount is INR 1,000, and has no upper limit.

  • Maturity

The time-deposit investment matures as per deposit made for 1-year, 2-year, 3-year, 4-year, and 5-year.

Premature withdrawal is possible after six months Interest will be calculated at 2.0% less for premature withdrawal after 1 year.

  • Taxation

A depositor can claim tax exemption on their 5-year post office time deposit account under Section 80C of the Income Tax Act.

Risk Level: Low to nil.

Interest Rate:

SchemePeriodInterest (%) p.a.
2-year5.70%
3-year5.80%
Post Office Time Deposit Account1-year5.50%
5-year6.70%

Post Office Monthly Income Scheme Account (MIS)

The scheme provides account holders to receive benefits on the interest earned on the lump-sum deposit that are payable every month. The government-backed scheme offers 6.70% interest rates on both individual and joint accounts. Some of its features include:

  • Account type

The Indian postal service offers single account, joint account (up to three adults), a guardian or parent of a minor and/or of a person of unsound mind; and even under the name of a minor above 10 years of age.

  • Investment

A minimum investment of INR 1,000 is required to open an account and a maximum balance of up to INR 4.50 lakh and 9 lakh are permitted for single and joint accounts, respectively.

  • Return on Investment

The scheme offers an interest rate of 6.70% per annum payable monthly.

The interest amount can be auto credited into the depositor’s savings account, or through electronic clearance service.

  • Closure

Account can be closed after five years from the date of opening. However, premature closure before one year is not allowed. Similarly, 2% is deducted from the principal amount if the account is closed between one year and three years, and 1% for three and five years.

Nominees can file a claim if the depositor dies before the maturity period.

  • Taxation

Interest earned on the deposit is taxable.

Risk Level: Low to nil.

Interest Rate

SchemeInterest
Post Office Monthly Income Scheme Account6.70%

Senior Citizen Savings Scheme (SCSS)

The 5-year SCSS scheme provides senior citizens to receive benefits on the interest earned on the lump-sum deposit that are payable on a quarterly basis. The government-backed scheme offers 7.60% interest rates on the SCCS account. Some of its features include:

(Video) Post Office Saving Schemes | Latest Interest Rates in Post office | By knowlgy

  • Account type

The Indian postal service offers a single account to an individual above 60 years of age, retired citizen or employees between 55 to 60 years; whereas, joint account can be opened with spouse only and the entirety of the amount pledged to the first account holder.

  • Investment

A minimum investment of INR 1,000.

A maximum balance of up to INR 15 lakh is permitted.

  • Return on Investment

SCSS offers an interest rate of 7.60% per annum payable on a quarterly basis on Mar. 31, Jun 30, Sept. 30, and Dec. 31.

The interest amount can be auto credited into the depositor’s savings account, or through electronic clearance service.

  • Taxation

Under Section 80C of Income Tax Act, 1961, a depositor can claim for tax deduction if the interest earned on the amount is below INR 50,000 in a financial year.

  • Closure

Account can be closed after five years from the date of opening an SCSS account. However, interest cannot be earned if the account is closed before one year. Similarly, 1.5% is deducted from the principal amount if the account is closed between one and two years, and 1% for two and five years.

A nominee can file a claim if the depositor dies before the maturity period.

In case of a joint account with the spouse, the account can be continued till maturity.

Risk Level: Low to nil.

Interest Rate

SchemeInterest
Senior Citizen Savings Scheme 7.60%

Public Provident Fund Account (PPF)

PPF is a government-backed fixed income scheme that is a risk-free investment as its returns are guaranteed by the government, and offers 7.10% interest rate per annum.

  • Account type

The Indian postal service offers PFF for single accounts, and a guardian or parent of a minor and/or of a person of unsound mind.

  • Investment

A minimum investment of INR 500.

A maximum balance of up to INR 1.50 lakh in a financial year, which can be deposited in one to 12 times during the period.

  • Return on Investment

The PPF offers an interest rate of 7.10% per annum, which is fixed by the Ministry of Finance on a quarterly basis.

The interest amount is credited to the depositor’s account at the end of the financial year.

  • Taxation

Under Section 80C of Income Tax Act, 1961, a depositor can claim for tax deduction for interest earned below INR 1.50 lakh per financial year.

  • Maturity

A PPF fund matures in a span of 15 years.

Partial withdrawals are allowed after five years of the account opening.

Risk Level: Low to nil.

(Video) Senior Citizen Savings Scheme.. Rules Change 2022

Interest Rate

SchemeInterest
Public Provident Fund Account7.10%

Sukanya Samriddhi Account (SSA)

As the name suggests, SSA is a government-backed scheme for a girl child, and offers 7.60% interest rate per annum.

  • Account type

SSA can be opened by a guardian as a single account in the name of the girl child below 10 years of age, or a maximum of two girls in a family, and two accounts in cases of twins or triplets.

  • Investment

A minimum amount of investment is INR 250.

A maximum balance of up to INR 1.50 lakh in a financial year, which can be deposited in multiple installments or in lump sum.

  • Return on Investment

The SSA offers an interest rate of 7.60% per annum, which is fixed by the Ministry of Finance on a quarterly basis.

The interest amount is credited to the depositor’s account at the end of the financial year.

  • Taxation

Under Section 80C of Income Tax Act, 1961, a depositor can claim for tax deduction on interest earned below INR 1.50 lakh per financial year.

  • Maturity

Interest on Sukanya Samriddhi Account matures in a span of 15 years.

Partial withdrawals are allowed after the girl attains 18 years of age, with up to 50% of the balance.

Risk Level: Low to nil.

Interest Rate

SchemeInterest
Sukanya Samriddhi Account (SSA)7.60%

National Savings Certificate (NSC)

A 5-year NSC plan is a government-backed scheme for all citizens, and offers 6.80% interest rate per annum.

  • Account type

NSC offers single account, joint account (up to three adults), a guardian or parent of a minor and/or of a person of unsound mind; and even under the name of a minor above 10 years of age.

  • Investment

A minimum investment of INR 1,000, and has no upper limit.

  • Return on Investment

The NSC offers an interest rate of 6.80% per annum, which is compounded annually and payable at maturity.

  • Maturity

A NSC plan matures in a span of five years.

  • Taxation

Interest earned is tax free under section 80C of Income Tax Act.

Risk Level: Low to nil.

Interest Rate

(Video) Post Office FD 2022 | Can you get 8% Returns on Post Office Fixed Deposit | Every Paisa Matters

SchemeInterest
National Savings Certificate (NSC)6.80%

Kisan Vikas Patra (KVP)

As the name suggests, KVP is a government-backed scheme for farmers, and offers 7.00% interest rate per annum.

  • Account type

KVP offers single account, joint account (up to three adults), a guardian or parent of a minor and/or of a person of unsound mind; and even under the name of a minor above 10 years of age.

  • Investment

Minimum investment of amount is INR 1,000, and has no upper limit.

  • Return on Investment

The NSC offers an interest rate of 6.90% per annum, which is payable at the end of maturity as fixed by the Ministry of Finance.

  • Maturity

A KVP plan matures in a span of 10 years 4 months from the date of opening an account.

  • Taxation

The investment does not qualify for tax deduction under section 80C of Income Tax Act.

Risk Level: low to medium.

The Government of India also offers families of land holding farmers to avail of the PM Kisan scheme with an income support of INR 6,000 every year.

Interest Rate

SchemeInterest
Kisan Vikas Patra (KVP)7.00%

Interest Rates On Post Office Savings Schemes

SchemeInterest (%) P.A.Taxation
2-year5.70%
3-year5.80%
Post Office Monthly Income Scheme Account (MIS)6.70%Interest earned is taxable
Senior Citizen Savings Scheme (SCSS)7.60%Interest earned below INR 50,000 pe FY is non-taxable
Kisan Vikas Patra (KVP)7.00%Interest earned is taxable
Post Office Savings Account4.00%Interest earned below INR 10,000 is non-taxable
5-Year Post Office Recurring Deposit Account5.80%Interest earned below INR 1.5 lakh p.a. is non-taxable
Post Office Time Deposit Account1-year5.50%Interest earned below INR 40,000 per FY is non-taxable taxable
5-year6.70%
Public Provident Fund Account (PPF)7.10%Interest earned below INR 1.5 lakh per FY is non-taxable
Sukanya Samriddhi Account (SSA)7.60%Interest earned below INR 1.5 lakh per FY is non-taxable
National Savings Certificate (NSC)6.80%Interest earned below INR 1.5 lakh per FY is non-taxable

Bottom Line

Although investments on post office savings schemes have a sovereign guarantee of the Government of India, investing money without knowing the prospects has its own risks.

Frequently Asked Questions (FAQs)

How to apply for post office savings schemes?

There are various forms available as per savings schemes you opt for, which are downloadable from the India Post’s website, or can be availed at any branch of your nearest post office.

What is the minimum balance required to apply for savings schemes?

All savings schemes provided by post offices are backed by the government, and can be availed at the minimum investment from INR 250 to INR 1,000.

What facilities are available on Indian Post’s online banking?

One has to open a savings account with the post to avail of online banking facilities to view passbook, account statement, transfer funds, deposit funds on RD, SSA, PPF TD schemes, to name a few.

What documents are required to open a savings account with the post office?

Depending on the account, the post office asks for documents for address proof, identity proof, and in some cases your PAN and Aadhaar card. The applicants are advised to read the form carefully before filling up the details.

FAQs

Which saving scheme is best in post office? ›

Well-known schemes are Public Provident Fund (PPF), Kisan Vikas Patra and Sukanya Samriddhi Yojanas. The government has made these small savings schemes available via post offices to provide a safe investment avenue for the public by providing good returns and keeping their investments safe.

Which scheme gives highest rate of interest in post office? ›

Sukanya Samriddhi Scheme

It currently offers an attractive interest rate of 7.6% per annum compounded annually. The minimum amount of investment is Rs.1000 and maximum of Rs.1,50,000 in a financial year.

Which scheme is best in Post Office 2022? ›

Post Office Savings Account Interest Rate 2022
SchemeInterest Rate (Updated)Minimum Investment
National Savings Time Deposit Account5.5% – 6.7%Rs. 200
Public Provident Fund Account (PPF)7.1% per annum (Annually Compounded)Rs. 500 annually
Senior Citizen Savings Scheme Account7.4% per annum (Annually Compounded)Rs. 1,000
6 more rows

What is the interest rate on post office saving account? ›

1.00% gross/AER variable for the first 12 months. This rate includes a 0.70% gross fixed bonus for 12 months from account opening. After 12 months the rate reverts to the underlying rate of 0.30% gross/AER.

Which is better FD or Post Office? ›

The bank FDs have flexible tenures ranging between 7 days and 10 years, whereas post office schemes can be stretched only up to five years.

Can I double my money in 5 years? ›

As a rate of return, long-term mutual funds can offer rates between 12% and 15% per year. With these mutual funds, it may take between 5 and 6 years to double your money. Kisan Vikas Patra (KVP): It comes under the Post Office Small Saving Scheme.

How many years FD will double in post office? ›

How many years will FD double in the post office? At the interest rate of 6.7%, a post office fixed deposit investment will double in 10 years and five months.

Which scheme will double the money? ›

A fixed deposit double scheme is typically offered by banking institutions and needs entities to deposit particular sums for a fixed period. The interest that has been earned on such deposits would eventually double the money, and it is then handed back to the investor at the end of the term.

Which govt scheme is best? ›

Best Indian Government Schemes
  1. Sukanya Samriddhi Yojana (SSY) ...
  2. National Pension Scheme (NPS) ...
  3. Public Provident Fund (PPF) ...
  4. National Savings Certificate (NSC) ...
  5. Atal Pension Yojana (APY) ...
  6. Pradhan Mantri Jan Dhan Yojana (PMJDY) ...
  7. PMVVY or Prime Minister Vaya Vandana Yojana. ...
  8. Sovereign Gold Bonds.
7 days ago

Is LIC better than post office? ›

Bonus Rate-Bonus offered by PLI is in the range of 7% or more. Whereas currently, LIC offers a bonus rate of around 4% to 5%. Where to buy-In case of PLI, you have to visit to the Post Office where these schemes are offered. Whereas in case of LIC, you will easily get agents.

Which is best monthly income scheme in post office? ›

Post Office Monthly Income Scheme, amongst others such as Post Office Savings Account, Post Office Recurring Deposit, Post Office Time Deposit, is one of the highest-earning schemes with an interest rate of 6.7%. The interest in this scheme, as the name suggests, is disbursed monthly.

Which is highest post in post office? ›

They can rise up to the position of the Director-General of Post Offices. The postal services consist of 22 circles for various states and a Base circle for postal services to the armed forces. Each circle is headed by a Chief Postmaster General.

What is the monthly interest on 1 lakh in post office? ›

1 lakh in the scheme, with a maturity period of 5 years. At the annual interest rate of 6.6%, he will receive a fixed monthly payout of Rs.
...
How Post Office Monthly Income Scheme Works?
AccountInvestment Amount
Joint AccountRs.1,000Rs.9,00,000
2 more rows

Will post office interest rates increase in 2022? ›

New investments made during the July-September 2022 quarter into these schemes will also earn the same interest rates as in the previous quarter. According to the circular, the Public Provident Fund (PPF) will continue to earn 7.10 per cent.

Is post office saving scheme good? ›

The biggest advantage of these schemes is their sovereign guarantee i.e., it is backed by the government. Some of the post office savings schemes also offer tax-savings benefits U/S 80C of the Income Tax Act. Persons more than 60 years of age and above 50 years of age who have taken VRS or superannuation.

What are the disadvantages of Post Office Savings? ›

Post Office Savings Schemes are not digitized:

Unlike other investment avenues like Mutual Funds, Equity, Gold etc it is not possible to operate your Post Office Savings Schemes account online i.e. you cannot track your account or invest online.

Which is better NSC or 5 year FD in post office? ›

Both NSC and FD offer assured returns for your investment. A fixed deposit will have more flexibility in terms of the tenure of the deposit. The initial amount deposited in an NSC will not be taxed. Senior citizens can avail of additional benefits for both NSC and FD accounts.

How can I double my money in post office? ›

KVP is an interesting scheme. At the current rate of interest, it can double your deposits in 10 years and 4 months (124 months).

Where can I invest 10k? ›

How To Invest $10,000
  • Open an IRA. Bolstering your retirement savings is a great use of $10,000. ...
  • Invest in Mutual Funds and ETFs. ...
  • Build a Stock Portfolio. ...
  • Invest in Bonds. ...
  • Buy Real Estate with REITs. ...
  • Prepare for healthcare costs with an HSA. ...
  • Considering Crypto? ...
  • Focus on the long-term.
22 Sept 2022

How can I earn 50 lakhs in 5 years? ›

  1. Parag Parikh Long Term Equity Fund. ...
  2. Mirae Asset India Equity Fund. ...
  3. Axis Focused 25 Fund. ...
  4. Axis Bluechip Fund. ...
  5. ICICI Prudential Bluechip Fund. ...
  6. ICICI Prudential Nifty Next 50 Index Fund. ...
  7. Franklin India Low Duration Fund. ...
  8. Franklin India Ultra-Short Bond Fund.
3 Aug 2021

How can I grow my money fast? ›

Take control of your finances today by trying these four simple ways to make your money grow faster.
  1. Track your spending, savings, and investments. ...
  2. Pay yourself first. ...
  3. Start a side hustle. ...
  4. Find a residual income stream.

How can I double my money in 1 year? ›

Doubling Your Money In 1 year

If you are an aggressive investor and wish to see your money double itself in a span of 1 year then according to the rule of 72, you need to invest in avenues that provide annualized returns ranging between 70% to 72% (72/72 = 1).

What is the interest of 5 lakh in post office? ›

Post Office FD Returns Based on Investment Amount
Investment AmountFor 3 years with interest of 5.8%For 5 years with interest of 6.7%
₹ 1 lakh₹ 1,18,956₹ 1,39,664
₹ 2 lakh₹ 2,37,911₹ 2,79,328
₹ 5 lakh₹ 5,94,778₹ 6,98,319
₹ 10 lakh₹ 11,89,557₹ 13,96,638
1 more row

Is there 3 years RD in post office? ›

You can choose your tenure for investing in an RD account for up to ten years if you open one with a bank. However, in case of Post Office, the maximum investment tenure on offer is up to five years. Once your tenure is over, you can renew your RD account to continue investing.

How can I double my money in 7 years? ›

The most basic example of the Rule of 72 is one we can do without a calculator: Given a 10% annual rate of return, how long will it take for your money to double? Take 72 and divide it by 10 and you get 7.2. This means, at a 10% fixed annual rate of return, your money doubles every 7 years.

How can I double my money in 2 years? ›

Here are some options to double your money:
  1. Tax-free Bonds. Initially tax- free bonds were issued only in specific periods. ...
  2. Kisan Vikas Patra (KVP) ...
  3. Corporate Deposits/Non-Convertible Debentures (NCD) ...
  4. National Savings Certificates. ...
  5. Bank Fixed Deposits. ...
  6. Public Provident Fund (PPF) ...
  7. Mutual Funds (MFs) ...
  8. Gold ETFs.

Can we double money in 3 years? ›

If you want to double your money in three years, your investments should earn between 21% to 24% (72/3 years) every year. Similarly, if you want to double your money in five years, your investments will need to grow at around 14.4% per year (72/5).

Which is the highest interest scheme? ›

Thus an FD with Shriram, the NBFC that offers one of India's highest interest rates of up to 8.90%* per annum, including an additional 0.50%* per annum for senior citizens and 0.10%* for women depositors, is the best company fixed deposit scheme.

Which monthly saving scheme is best? ›

Here are some of the best schemes that you should consider for investments:
  1. Mutual Funds. Mutual funds involve a pool of investments that can be managed by an asset management company. ...
  2. Atal pension. ...
  3. Pradhan Mantri Jan Dhan scheme. ...
  4. PPF. ...
  5. Jeevan Jyoti Bima.

Which scheme gives more interest? ›

These schemes – Senior Citizens Savings Scheme (SCSS) and Pradhan Mantri Vaya Vandana Yojana (PMVVY) offer higher rates of interest than prevailing FD rates.

Which is better SBI or post office? ›

Compared to HDFC Bank and SBI FDs, Post Office is providing a higher interest rate. On booking a term deposit of 5 years at a post office, you can get up to 6.7% interest. For tenors up to 1 to 3 years, Post office is providing 5.5% interest. Also Read: How long does it take to get Rs 1 crore with PPF at 7.1%?

Which is safe bank or post office? ›

Since the post office schemes are backed by the Government they are very much safe. The same cannot be said about banks. We all know what happened in the case of Yes bank and the PMC Bank Scam. Deposits in banks are insured only up to a sum of Rs 5 lakhs only.

Which post office is fastest? ›

Priority Mail Express is the fastest mail service offered by the Postal Service. It provides guaranteed 1-Day or 2-Day expedited service by 3 p.m. for any mailable matter and includes $100 of insurance coverage. Priority Mail Express delivery is offered 365 days a year in many locations.

Can I invest 10 lakhs in Post Office? ›

To get a maturity amount of ₹10 lakh in 5 years, an investor must place a fixed deposit of ₹7.18 lakh in a post office time deposit account, assuming a 6.7% interest rate and a 5-year term.

Which plan gives best returns? ›

Mutual funds are the most popular high-return investment plan in India. The returns on mutual funds are affected by market fluctuations. This makes them one of the riskiest investment options. Despite the high risk, the potential returns make them an attractive investment option.

What is 5 year monthly income in post office? ›

1,00,000 with a maturity period of 5 years. The annual interest rate being 6.60% gives a fixed monthly income of Rs. 550. And, at the end of the scheme tenure, you will get your deposited money back.

Which post is best in India? ›

Top 10 Highest Paying Government Jobs in India for Freshers
  • IAS (Indian Administrative Service)
  • IPS (Indian Police Service)
  • Indian Forest Services.
  • Scientists in ISRO.
  • RBI Grade B Officer.
  • SBI Clerk.
  • PSU Jobs.
  • Indian Foreign Services.
8 Sept 2022

What is the limit of post office? ›

20,000. If the transaction is more than Rs. 50,000, the PAN should be verified and, if required, updated before proceeding.

Which village has the highest post office? ›

Hikkim village has a post office situated at an elevation of 4,400 m (14,400 ft) and this post office is the one of the highest post offices in the world. Inarguably , the post office located in India's highest altitude .

What is the interest of 2 lakh in post office? ›

Post Office Fixed Deposit Rates 2022

5.5% p.a. – 6.7% p.a. *If the account is closed between 6 to 12 months from the date of opening, then Post Office Savings A/c rates will be applicable.

What is the interest of 4 lakh in post office? ›

As mentioned above, the interest rate is 6.6% p.a. His monthly income will be Rs. 2,475 for that period. Post-maturity, he can withdraw his deposit, Rs. 4.5 lakh, either from any post office or get it transferred to his savings account via Electronic Clearance Service.

Is Post Office interest tax free? ›

Additionally, the interest earned is completely tax-free. Investors should remember that interest pay-out facilities are not available for this account. The current post office PPF interest rate is 7.1% annually.

Will interest rates fall again in 2022? ›

Mortgage rates could decrease next week (Nov. 14-18, 2022) if the mortgage market takes a cautious approach to a possible recession. However, rates could rise if lenders account for the Federal Reserve continuing to take aggressive measures to counteract the high inflation of 2022.

Will interest rates drop in 2024? ›

"If our forecast for Fed rate cuts is realized, mortgage rates are likely to fall slightly [in 2024] just as cooling inflation pressures boost real income growth. A modest improvement in sales activity should then follow, which will reignite home price appreciation heading into 2024," the Wells Fargo researchers write.

Will interest rates increase in 2023? ›

The Federal Reserve is expected to increase interest rates in 2023 to combat inflation, albeit slower than it did in 2022. Expect rates to go up in 2023 but not as quickly and not by as much as in 2022.

Which scheme doubles the money in post office? ›

One such scheme offered by India Post is Kisan Vikas Patra (KVP), which is a long term investment instrument offering a chance to double the investments in a few years. In the Kisan Vikas Patra scheme, you can invest as little as Rs 1000. There is no upper limit on the investments in this India Post scheme.

Which saving scheme has the highest interest rate? ›

List of Savings Schemes
Savings SchemeRateTax Deduction on principal?
Post Office Time Deposit (5 year)*6.7%Yes
Kisan Vikas Patra (KVP)7%No
Public Provident Fund (PPF)7.1%Yes
Sukanya Samriddhi Yojana7.6%Yes
11 more rows
26 Oct 2022

Which is the best monthly saving scheme? ›

  1. National Savings Certificate (NSC) National Savings Certificate (NSC) ...
  2. Senior Citizen Savings Scheme. Senior Citizen Savings Scheme. ...
  3. Recurring Deposits. Recurring Deposits. ...
  4. Post Office Monthly Income Scheme. ...
  5. KVP (Kisan Vikas Patra) ...
  6. Public Provident Fund (PPF) ...
  7. Sukanya Samriddhi Yojana (SSY) ...
  8. Atal Pension Yojana.

What is the monthly interest of 1 lakh in post office? ›

1 lakh in the scheme, with a maturity period of 5 years. At the annual interest rate of 6.6%, he will receive a fixed monthly payout of Rs. 550.
...
How Post Office Monthly Income Scheme Works?
AccountInvestment Amount
Joint AccountRs.1,000Rs.9,00,000
2 more rows

Is Post Office FD good or bank FD? ›

Compared to HDFC Bank and SBI FDs, Post Office is providing a higher interest rate. On booking a term deposit of 5 years at a post office, you can get up to 6.7% interest. For tenors up to 1 to 3 years, Post office is providing 5.5% interest.

Which scheme is best? ›

Some of the best savings schemes for investment are:
  • National Saving Certificate.
  • National Savings Scheme.
  • Public Provident Fund.
  • Post Office Saving Scheme.
  • Senior Citizen Savings Scheme (SCSS)
  • Kisan Vikas Patra (KVP)
  • Sukanya Samriddhi Yojana(SSY)
  • Atal Pension Yojana.

Which schemes are tax free in post office? ›

Types of Post Office Saving Schemes for Tax Benefits
  • Public Provident Fund (PPF)
  • Sukanya Samriddhi Account.
  • National Savings Certificate (NSC)
  • Senior Citizen Savings Scheme (SCSS)
  • Post Office Time Deposit (TD)

Which investment is best for 5 years? ›

Investment Plans for 5 Years in India for 2022-23
  • Introduction.
  • Types of investments to consider for 5 years of investment.
  • ULIPs.
  • Savings Account Fixed Deposit.
  • 5 years NSC.
  • Post Office Time Deposit.
  • Liquid Funds.
  • Arbitrage Funds.
19 Jul 2022

Which is best to save money? ›

Use these money-saving tips to generate ideas about the best ways to save money in your day-to-day life.
  1. Eliminate Your Debt. ...
  2. Set Savings Goals. ...
  3. Pay Yourself First. ...
  4. Stop Smoking. ...
  5. Take a "Staycation" ...
  6. Spend to Save. ...
  7. Utility Savings. ...
  8. Pack Your Lunch.

Videos

1. Post office Saving Schemes interest Rates from July 2022 | Latest Interest Rates in Post office
(Postal Dost)
2. Post Office Saving Scheme - Why Interest Rates Changed and by How much? | October 2022
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3. Post Office Savings Schemes Interest Rates from july 2022|Senior Citizens interest Rate 8%|
(LetsTax)
4. Post Office Saving Schemes Latest Interest Rate 2022 | PPF, KVP, SSY, RD, FD, NSC, MIS, SCSS
(Sandeep Kasrija)
5. Post office savings scheme interest rate 2022 | High interest savings scheme | Gen Infopedia
(Gen Infopedia)
6. Post Office Schemes New Interest Rate from 1st October'2022 | Post Office Small Saving Schemes Rate
(BiRaJ Ki BaAtEiN)

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