Investing Rs. 9 lakh in the Post Office Monthly Income Scheme will yield an interest of Rs. 5,550 per month, a rate of 7.4 percent, a maturity of 5 years, and a risk-free income.
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Post Office is implementing various types of savings schemes for citizens. Customers can invest in these and get benefits. However, if you invest in the popular Post Office scheme.. Rs. 5,500 will come into your account every month. That is the Monthly Income Scheme (MIS). This scheme is the best option for those who want a fixed income every month. It is more useful for retired senior citizens. If you invest in this once, you can get income in the form of interest every month. So, how much should you invest to get Rs. 5,550 every month? Let’s find out what are the benefits of this scheme.
MIS Scheme Interest Rate: An attractive interest rate is applicable to those who invest in the monthly income scheme. An annual interest rate of 7.4 percent is applicable to those who invest in it. This is much better compared to other savings schemes. Moreover, every rupee invested in post office schemes is protected. With this, there is no risk at all.
Investment Limit: There is a limit on how much you can invest in this scheme. You can open an account with a minimum of Rs. 1000. You can deposit a maximum of Rs. 9 lakh. However, this limit is higher for those who have taken a joint account. In this, the investment limit is Rs. 15 lakh. Up to three people can join a joint account. However, you have to invest in this scheme at once. The amount you invest… has to be deposited at once.
The maturity period of this scheme is 5 years. After that, the scheme matures. Once the amount deposited is credited to the account every month at a fixed interest rate. After maturity, the entire investment can be returned. Since this scheme carries simple interest, you will get a fixed interest every month.
Can I close the account early? In case of emergency, if you want to close this account before the deadline, some rules apply. Money cannot be withdrawn within a year of opening the account. If the account is closed after one year but within three years, a penalty of 2% will be deducted from the original amount. If it is closed within three to five years, a penalty of 1% will be imposed.
Want to earn Rs.5,550 per month? To earn Rs.5,550 per month, you need to invest Rs.9 lakh in the MIS scheme. This interest will be directly deposited in the investor’s savings account. However, it is not possible to invest in this scheme without a savings account. Applicants must be post office savings account holders. If not, you must first go to your nearest post office and open a savings account.
Overall, if you invest Rs.9 lakh in this scheme, you will get Rs.12,30,000 at maturity with a fixed income of Rs.5,550. You will get Rs.3,30,000 as income. However, tax is applicable on the interest earned while investing in this scheme.
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