Post Office Best Scheme: People always prefer post office schemes for investment because of its safe and good returns. So now you will know that such a scheme of post office can give a benefit of 5 lakhs in 5 years.
Everyone wants that their hard earned money should be invested in a place where it is safe and also gives a strong return. So if you are also planning to invest with this thought in mind, then Post Office Saving Schemes can prove to be a great option for you. By investing in this scheme, you can create a strong fund for yourself. Post Office Scheme is run by the government. This is the reason why National Savings Certificate i.e. NSC of Post Office Saving Schemes is considered the best by everyone for investment.
Yes, by investing in the National Savings Certificate i.e. NSC scheme of Post Office, you can create a good fund for yourself in just five years. By investing in this scheme, you can get the benefit of about 5 lakh rupees.
How much interest will you get in this
National Savings Certificate i.e. NSC scheme is also famous for giving strong interest to the investors. Yes, this scheme is considered one of the most famous small savings schemes due to its returns and benefits. To invest in National Savings Certificate, you can open an account with a minimum of Rs 1,000 in any post office scheme. On investing in this Dhansu scheme, the investment is being given interest at an annual rate of about 7.7 percent.
This Dhansu interest rate available through National Savings Certificate Scheme is offered on the basis of compounding. In this scheme, the amount of return is transferred to the investor’s account only after 5 years of investment.
Lock-in period
Let us tell you that this scheme has a lock-in period of 5 years. That is, if you open your account for investment in this savings scheme and close it after continuing it for a year, then only the investment amount made by you can be returned and you can miss out on the interest profit. In such a situation, by operating it for five years, you can earn huge profits with returns. By the way, if you have taken NSC of 1 lakh, then after 5 years you will get around 1.45 lakh.
You can easily open accounts in the name of children in this great scheme. According to the rules of this scheme, if you are opening an account in the name of a child below 10 years of age, then the parents will operate the account.
Benefit of investing 5 lakhs
If investors deposit a lump sum of Rs 5 lakh in the National Savings Certificate (NSC) of the post office for 5 years, on which the current interest rate is 7.7% per annum, then you will get great benefits. In this scheme, interest gets added to your deposit amount every year and then next year you get interest on that increased amount (which is called ‘interest on interest’ or compounding). For example, let’s assume that in the first year, ₹38,500 interest on 5 lakhs will make the amount ₹5,38,500. Similarly, with interest being added every year, on completion of 5 years, your ₹5,00,000 will increase to ₹7,24,513. That is, you can get a total net profit of ₹2,24,513.
