For most of us post office investment schemes are an old story now as the ways and methods of investments have undergone a sea change.
This drastic change has taken place due to many factors but there are some who still believe in the post office schemes and they are not that unwise, as shown by stock market charts and other Indian stock market figures.
It is one of the safest and profitable havens to invest that money that you have tried to spare after cutting down on your pizza, fuel, shopping and other luxury habits.
So what are the options!
1. Recurring deposit
I had talked about this pal in one of my previous articles too when I wrote about recurring deposits. Currently, post office offers 4% interest rate, which is very decent for such a deposit and the term is normally 5 years, however, you can withdraw the funds after 3 years too, if needed.
Related Reading- Want to buy a refrigerator or TV? Manage your money by opening a Recurring Deposit account
2. Monthly income scheme
This one is the king of savings for people with a fixed income and looking for secure deposit plans for short term. You can fix a term of 5 years and the interest rate is 8.2%, which is actually great.
3. Senior citizen savings scheme
You have to be 60 years old, or 55 years if you have taken voluntary retirement in order to avail this facility. It offers a good rate of interest which is 9%. This is more or less as good as offered by other banking and other financial institutions. It is very popular with elders as they find it safer and easier to handle these accounts, along with a rebate on income tax under section 80c.
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4. Public provident fund
This scheme is the hero of all the schemes. Haven’t we all heard of this one? You can deposit up to 1 lakh rupees in a 15 year scheme. The rate of interest is 8.6% and there is another wonderful facility available in this: you can get a loan from third-fifth year! This works as a backup for all your emergency needs.
This scheme has been noticed as the fastest growing as far as returns are concerned.
5. National savings scheme
The NSS apparently has been the undisputed second when it comes to post office savings. Now this scheme is available for terms of 5 and 10 years both and an investment of Rs 100 will become Rs 150 after 5 years, just to put it simply!
Income tax rebate under section 80C is available, which helps greatly in managing taxes and investment.
Related reading- 5 schemes that are going to save your tax expenditures
Post office schemes have been ignored for some time but they have always been a dependable investment companion. Most of them come with an income tax rebate and what you need to do is to divert your attention and explore the numerous options that they offer and I am quite sure that the variety and safety is going to impress you.
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