There are numerous post office saving schemes available that you can take a closer look at. They include numerous products that promise steady returns without major risks and ample reliability alike. The schemes are run by approximately 1.54 lakh post offices covering the entire country.
Here are the schemes operated by the post office
![Which saving scheme is best in post office Which saving scheme is best in post office](/img/preview/custom/20220331175617_postoffice.jpg)
- Savings Account- You need just Rs. 500 for opening a savings account in the post office. The account may be opened through single/joint ownership of domestic post office customers. An interest rate of 4% per annum will apply for deposits and you can get the ATM card, cheque book, and e-banking/mobile banking facilities upon request. This is one of the commonest investment or savings schemes provided by our post offices.
- 5-year recurring deposit account (RD)- The tenure remains fixed for 5 years. You can opt for fixed deposit payments every month. This starts from Rs. 100 and you will get 5.8% per annum in interest. The interest will be compounded on a quarterly basis. You can get loans up to 50% against deposits already made post-completion of 12 installments without any defaults. This recurring deposit will help you build a future corpus if you invest for a longer time period.
- TD- Time Deposits have tenures of 1, 2, 3, and 5 years. The minimum allowed deposit is Rs. 1,000. Interest calculation is quarterly although payable on an annual basis. For tenures up to 3 years, the interest rate will be 5.5% per annum and it will be 6.7% per annum for 5-year This is good enough in the current scenario as per industry experts.
- MIS- The monthly income scheme (MIS) requires a minimum deposit of Rs. 1,000 going up to Rs. 4.5 lakh for a single account. This may increase to Rs. 9 lakh for joint accounts. You can earn 6.6% of interest and may earn fixed monthly income as well. Premature closure may draw charges/penalties. Make a note of the same. MIS is otherwise a good way to accumulate interest income.
- SCSS- Post offices provide SCSS (Senior Citizen Savings Scheme) enabling deposits of lump sums up to a maximum of Rs. 15 lakh. Interest of 7.4% per annum is offered and people above 60 are eligible for opening these accounts. Accounts may be opened by retired civilian employees between 55-60 years of age and retired defense personnel between 50-60 years. Check out the eligibility criteria and terms and conditions of this investment plan carefully.
- PPF- Salaried individuals may open PPF accounts in post offices with maximum deposits of Rs. 1.5 lakh annually and minimum deposits of Rs. 500 for opening the account. PPF is always a good way to accumulate money handsomely for the long haul. Investments are exempted from taxes under Section 80C.
- NSC- NSC has a 5-year tenure with minimum deposits of Rs. 1,000 required and zero maximum limits. NSC interest rates in India usually hover around 6.8% per annum with annual compounding and payment only at maturity. Multiple accounts may be opened under the NSC scheme as per your own requirements.
- Kisan Vikas Patra- KVP offers a minimum deposit amount of Rs. 1,000 and based upon the applicable rate of 6.9% per annum, it will have a 124-month Keep all these points in mind before applying.
- SSA- Sukanya Samriddhi Account is dedicated to the well-being of girl children in families. This applies only to girls below 10 years of age. The minimum deposit needed is Rs. 250 and the maximum amount is Rs. 1.5 lakh annually. 7.6% per annum is the rate of interest.
You can readily open term or recurring deposits online via the mobile app. Download and log in to the India Post Mobile Banking app via the Google Play Store. After logging in, choose Requests and open the POFD account. Enter all information including the tenure, deposit amount, account from which you wish to deposit any money, nominee, and so on. You will have to visit the Post Office home branch for opening accounts under any post office savings schemes.
You will have to download and print out the relevant application form from the official website of the Post Office. Attach all vital documents and submit the same at the post office home branch likewise. The documents needed include the following:
- Form for opening the account
- PAN card
- KYC form
- Aadhaar Card
- If Aadhaar not available, then you will need to choose options like the driving license, passport, voter ID card, job card signed by the State Government officer and from MNREGA
- Letter given by the NPR (National Population Register) with details of address and name
- Proof of date of birth or birth certificate is also needed in case of minor accounts