Post Office FD Scheme: The post office’s TD (time deposit) system is exactly like the bank’s fixed deposit (FD) system. A TD account can be opened at the post office minimum one year and maximum five years. On TD accounts, the post office is offering its clients an interest ranging from 6.9 percent to 7.5 percent.
Post Office FD Scheme: Every bank offering nationwide services runs several kinds of investment and savings programs for their clients. Customers of banks are quite interested in several plans. On terms of providing significant consumer interest, the post office is posing fierce competition to all the banks. The post office is run by Indian government, by the way. Your money put into any post office plan is thus entirely protected. Today we will be discussing one such post office concept in which considerable interest is being paid.
One can open a Post Office TD account with simply Rs 1000
The Post Office Time Deposit (TD) system is exactly like the Fixed Deposit (FD) system used by banks. One can open a TD account at the post office for minimum one year and maximum five years. On TD accounts and for its clients, the post office is providing interest ranging from 6.9 percent to 7.5 percent. At the post office, TD can be done for one year, two years, three years, five years. While there is no maximum deposit restriction in a TD account opened at the post office, minimum Rs 1000 can be sent in.
Post Office FD Scheme Make a 2,00,000 deposit and get ₹29,776 fixed interest
On two-year TD, the post office is providing 7.0 percent interest. Should you invest Rs 2 lakh in a 2-year TD program, upon maturity you will have a total of Rs 2,29,776 including interest of Rs 29,776. Customers under the post office TD system get fixed and guaranteed interest, hence there is no risk involved. One can open an account under the post office TD system nevertheless. In this regard, a joint account can likewise be opened alongside a single one. One can add three names to a joint account.
FAQ’s On Post Office FD Scheme
1.Describe the Post Office Fixed Deposit (FD) plan?
The Post Office Fixed Deposit, sometimes known as the Post Office Time Deposit, is a government-backed savings plan whereby you commit a big sum for a certain period and get assured interest. Considered as a safe investment with set returns is this one.
2.From a ₹2,00,000 deposit, how much interest would result? ₹29,776
With a ₹2,00,000 deposit, the ₹29,776 return points to an annual interest rate roughly 7.4% compounded quarterly (as of current rates). The chosen tenure—usually 1, 2, 3, or 5 years—will determine the precise return; longer tenures provide better returns.
3.The present post office FD interest rate is what?
According to the most recent update, the interest rate varies based on the term between 6.9% and 7.5%. The best rate comes from the five-year term. Quarterly changes in these rates follow government announcements.
4.Are Post Office FD’s earned interests taxable?
Indeed, the interest you get is taxable according to your income tax slab. Up to ₹1.5 lakh each financial year, a 5-year Post Office Time Deposit does, however, qualify for a deduction under Section 80C of the Income Tax Act.
5.Can I take money before I become thirty-nine?
Yes, after six months, early withdrawal is permitted but only with lowered interest rates. Simple interest is paid should one withdraw between six and twelve months. One year later, a penalty could be due and the interest rate could be less than first applicable.
6.Is the investment secure?
Indeed, Post Office FD is among the safest investment choices free of default risk since the Government of India supports it.
7.I can start a Post Office FD online?
If you have a Post Office Savings Account with internet banking turned on, you can open and handle your FD online using the official India Post website or smartphone app.
