Post Office RD Calculator: Post Office RD currently offers an interest rate of 6.7%. There is no maximum investment limit. Joint accounts can also be opened under this scheme.
If you’re looking to invest your money in a safe, guaranteed return investment, Post Office savings schemes are for you. These are also known as small savings schemes. The government sets interest rates on these schemes every three months. Because they’re government-backed, these schemes offer guaranteed returns. If you don’t have a lump sum, you can invest small amounts each month in a Post Office RD. Let’s explore the key features of this scheme.
What is special about Post Office RD?
- -Any adult Indian citizen can open his account in the RD scheme of the post office.
- -A single account can be opened under this scheme, or up to three adults can open a joint account.
- -A guardian can also open an account in the name of a minor under Post Office RD.
- -Minors over the age of 10 can also open an account under this scheme.
- -A minimum deposit of ₹100 can be made in the Post Office RD scheme. There is no maximum investment limit.
- -This scheme offers an interest rate of 6.7%.
- -The maturity period of Post Office RD is 5 years.
- -If desired, the maturity period can be extended by another 5 years.
- -This scheme also offers loan facility. After one year of account opening or after making 12 monthly deposits, the account holder can take a loan of up to 50% of the account balance.
Create a fund of Rs 42 lakh in 10 years
You can invest a portion of your salary each month in a Post Office RD. Suppose your salary is ₹1 lakh per month, you can invest ₹25,000 each month in a Post Office RD. After five years, you can go to the post office and extend the scheme’s maturity period by another five years. By investing consistently for 10 years, you will have a corpus of ₹42,71,364. Your investment amount will be ₹30,00,000, and your interest income will be ₹12,71,364.
| Description | Figures (in ₹) |
|---|---|
| Monthly Investment | 25,000 |
| Total investment period | 10 years |
| Total investment amount | 30,00,000 |
| Maturity Amount | 42,71,364 |
| interest earned | 12,71,364 |
Both husband and wife can invest together
If you wish, both husband and wife can make this investment together. This will reduce the investment burden on you. You can each save Rs 12,500 and deposit it in a joint RD account. This will result in a corpus of over Rs 42 lakh in 10 years.
