Post Office Schemes 2023 – Types, Interest Rate and Benefits

Post Office Scheme. At the India Post Payments Bank, we believe that providing every citizen with the opportunity to be financially secure is crucial for the development of a country. Our approach with the post office savings scheme includes providing simple, diverse, and development-oriented services to make banking accessible to every household in India and to empower them to achieve financial security and strength.

India Post Payment Bank (IPPB) was established under the postal department of the Indian government, with 100% government equity. It was launched as a pilot project in Ranchi (Jharkhand) and Raipur (Chhattisgarh) on January 30, 2017, to be present across the country by the financial year 2018-2019. IPPB is working on a hub and spoke model, using its network of 650 IPPB branches/control offices to cover post offices across the country.

Highlights of the Post Office Savings Scheme

Article Name Post Office Schemes 2023 
Scheme Provider India Post Payment Bank 
Scheme beneficiaries Indian Citizens 
Application process Online and offline 
Official website Click here 

What is the meaning of the Post Office Scheme?

India Post Payments Bank (IPPB) will benefit from a vast postal network of around 1.55 lakh post offices and 3.0 lakh postal employees spread across every district, village, and town in the country. As we continue to expand our services to every doorstep, our bank will become your reliable financial advisor.

We are working hard on the Post Office Scheme to ensure that you get the financial services that you need – whether it is to receive your money quickly, easily use it for necessary expenses, save for your loved ones, or even invest in a bright future. For us, every customer is important, every transaction is important, and every deposit is valuable, no matter the amount.

Read More: How to Check Post Office Savings Account Balance

What are the benefits that you get from a Post Office Scheme?

If you are looking to save your money today, but are unsure where to put it, and are thinking of investing in the future days or looking for a place where you also earn a profit on it. One option for you is to deposit your money in a Post Office Saving Scheme. This scheme provides good interest rates and your money is safe. If we talk about good returns, a post office scheme will give you a better return than any private or government bank.

If you open an account in another bank, and if the bank goes bankrupt, and if you have INR 10 Lakh in your account, the bank will only provide you INR 5 Lakh, unlike in a post office where such a thing doesn’t happen. Also, in a post office, you can avail the benefits of the scheme with a very small amount or very little investment.

The interest rate for RD Scheme in Post Scheme

As of now, if you deposit your money in a Post Office Recurring Deposit (RD) scheme, you will get an interest rate of 5.8% per annum. This interest rate has been in effect since April 1st, 2020, and is still active. This interest rate is compounded every quarter.

Read More: How to Open Sukanya Samriddhi Account Online in Post Office

Types of Post Office Savings Schemes

Post Office Savings Account

  • Minimum deposit amount is Rs. 500
  • It can be opened with single or joint ownership
  • This provides the interest rate of 4% p.a. on the deposited amount
  • You can apply for a chequebook, ATM Card, net banking and mobile banking services upon opening this account.

Post Office Time Deposit Account

  • The tenure for post office deposit accounts are 1 year, 2 years, 3 years, and 5 years
  • The minimum deposit limit is Rs. 1000
  • The interest rate provided on the deposit account depends upon the tenure. These are the interest rates for different periods in the post office time deposit account:
Time Period Interest Rate 
1 year 6.8%
2 year 6.9%
3 year 7%
4 year 7.5% 
  • The five-year maturity investment amount will undergo Section 80C deduction
  • You can withdraw the deposited amount after six months from the date of deposit

5-Year Post Office Recurring Deposit Account

  • The period of this account is five years fixed
  • The interest compounded on the deposited amount after 3 months
  • The minimum payment for a fixed monthly deposit starts from Rs. 100 with an interest rate of 6.2% p.a.
  • After continuously depositing 12 instalments, you can avail of a loan of up to 50% of the deposited amount.

Senior Citizen Savings Scheme

  • It is a retirement scheme that helps to get better returns with a lump sum deposit or one instalment
  • This account can be opened by a single person or jointly
  • The minimum deposit amount is Rs. 1000 and the maximum deposit up to Rs. 30 lakh
  • The applicant must be more than 60 years old to open this account
  • The deposited amount in this account after maturity will qualify for Section 80C of the Income Tax Act

National Savings Certificates

  • This is a post office savings scheme with a duration of five years and a minimum deposit of Rs. 1000
  • You can deposit the amount in the account with no limit
  • This can be opened by any person with a number of accounts
  • The interest rate on the deposited amount compounded annually
  • All the investments in this account will qualify for Section 80C deduction after five years

15-Year Public Provident Fund Account 

  • PPF account is best for salaried employees and acts as an investment and retirement tool for them
  • The minimum deposit limit is Rs. 500 and the maximum deposit amount is Rs. 1.5 lakh
  • The tenure of the PPF account is 15 years
  • A minimum deposit of Rs. 500 per year is required to keep the account active
  • It provides an interest rate of 7.1% p.a.
  • The time period of the account can be extended upon the request of the investor

Sukanya Samriddhi Yojana Account

  • This scheme is beneficial for the better future of girl child
  • The account can be opened for any girl with the age of less than 10 years
  • The guardian of the girl child must operate the account until the girl child become 18 years old
  • It provides the interest rate of 8% p.a.
  • All the interest earned in this account will be free from tax
  • The maximum tenure of SSA account is 15 years
  • You can deposit the minimum amount of Rs. 250 and maximum upto Rs. 1.5 lakh.

Kisan Vikas Patra

  • It helps to double the investment after completing the tenure of account
  • Minimum deposit for this account is Rs. 1,000
  • The interest rate on this account is 7.5% p.a.
  • The tenure of the account is 10 years

How much investment can be made in Post Office Savings Scheme?

Under the Post Office RD scheme, you can invest a minimum of 100 rupees per month. In addition, you can also invest your money in multiples of 10 rupees. There is no maximum limit set for investment under this scheme.

RD scheme maturity

In the Post Office RD scheme, the maturity date is five years or 60 months from the date of opening the account. This savings scheme can be extended for an additional five years with an application at the relevant post office. The interest rate during the extended period will be the same as when the account was opened.

https://www.youtube.com/watch?v=FHWWHy-WZvY
Post Office Scheme

The account can be closed at any time during the extended period. For the full year, the RD interest rate will be applied. And for a period of less than one year, the Post Office Savings Account interest rate will be appropriate. An RD account can be kept active without any deposit until the maturity date of five years.

Who can open Post Office Scheme?

  • In the context of the Post Office Recurring Deposit Scheme, an account can be opened by one adult or jointly by three adults. 
  • Any adult person can open an account in the Post Office. 
  • If a person is mentally challenged, the Indian government also permits them to open an account at the post office.
  • If a person is 10 years old, they can also open an account at the post office. 
  • To open an account at the post office, one must be an Indian citizen. 
  • Two to three people can also open a joint account in the post office. 
  • No person can open a corporate account or an account with official or security capabilities at the post office.

Read More: How to Open a Post Office Savings Account Online

What are the advantages of Post Office Savings Schemes?

  • Easy Application Procedures and Documentation
  • Easy Investment Amount
  • Tax Exemption
  • Higher interest rates
  • Lots of variety of products
  • Helps to fulfil future investment goals 

Interest Rates of Different Post Office Savings Schemes 

Scheme Minimum deposit Maximum deposit Interest Rates
Post office Time Deposit Account Rs. 1,000No limit 6.8% to 7.5% p.a.
Senior citizen savings scheme Rs. 1,000Rs. 30 lakh 8.2% p.a. 
Post office savings account Rs. 500No limit 4% p.a.
Post office monthly income scheme account Rs. 1,000Rs. 9 lakh to Rs. 15 lakh 7.4% p.a.
National Savings Certificates Rs. 1,000No limit7.7% p.a.
Sukanya Samriddhi Yojana Account Rs. 250 per yearRs. 1.5 lakh per year 8% p.a.
15-year Public Provident Fund Rs. 500 per year Rs. 1.5 lakh per year 7.1% p.a.
Kisan Vikas Patra Rs. 1,000No limit 7.5% p.a.

Documents required to open a Post Office Recurring Deposit Account

  • Aadhar Card
  • Ration Card
  • Identity proof (If you have a passport that can also be used as identification)
  • Proof of Address (such as electricity bill, water bill, telephone bill, and property tax receipt)
  • If you have a BPL card or MNREGA Job card can also use that as proof of identity
  • If you are 10th passed or completed college then you can submit your mark sheet as proof of identity
  • The mobile number linked to your Aadhar card
  • Two passport-sized photographs.

How to Open a Post Office Schemes Account?

The Post Office provides a variety of savings schemes to fulfil every investment needs of the customers. All the schemes available here come with low risk and higher interest rates than the savings account. To avail of the benefits, you have to open a post office savings account.

Open a Fixed Deposit or Recurring Deposit Account using a Mobile

  1. Go to the Google Play Store on your smartphone and download the ‘India Post Mobile Banking’ app.
  2. Login to your account with the credentials
  3. Now, visit the home screen and click on the ‘Requests’ option
  4. Next, enter all details like deposit amount, tenure, type of account you want to open, nominee details, etc.
  5. After that, your fixed or recurring deposit will be successfully opened.

To open the post office scheme offline, you need to visit your nearest post office branch.

Open Post Office Savings Scheme Account Offline

  1. Visit the official website of the post office and download the relevant application form
  2. Get a print of the form
  3. Next, fill out the form and attach the necessary documents
  4. After that, visit your nearest post office branch and submit the form
  5. Next, make a payment which is necessary for account opening
  6. After that, the post office employees will verify your details and will open an account for you by providing a passbook. 

Post Office Customer Care Number

Post Office Toll-Free Enquiry Helpline:

18002666868

9:00 AM – 6:00 PM

(Except Sundays & Gazetted Holidays)

IVRS facility is available 24*7*365

Official Website:Click Here

Read More: India Post Payment Bank CSP Apply | Post Office CSP Registration

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Conclusion

In conclusion, investing in a Post Office scheme is a reliable and secure way to save and grow your money. The Recurring Deposit scheme is a popular option that allows you to deposit a fixed amount of money every month and earn interest on it. 

The interest rates offered by post office schemes are generally higher than those offered by savings accounts in banks, which makes them an attractive option for those looking to earn a steady income from their savings. 

Additionally, the Post Office Savings scheme is backed by the Indian Government, which guarantees the safety of your money. Overall, investing in a Post Office scheme is a smart choice for anyone looking for a safe, steady, and guaranteed return on their savings.

People Also Ask

What is a post office scheme?

Post office schemes are a set of investment options offered by the Indian postal system. They include various savings and fixed deposit plans, as well as pension and insurance plans.

Is investing in a post office scheme safe?

Post office schemes are considered safe investments as they are backed by the government of India. However, as with any investment, there is always a risk of losing money.

What are the different post office scheme options available?

Some popular post office scheme options include:

  • Public Provident Fund (PPF)
  • National Savings Certificate (NSC)
  • Kisan Vikas Patra (KVP)
  • Senior Citizens Savings Scheme (SCSS)
  • Sukanya Samriddhi Yojana (SSY)

What is the interest rate for post office schemes?

Interest rates for post office schemes can vary and are subject to change. You should check the official website of the Indian Postal Service for current interest rates on the schemes.

How do I open an account for a post office scheme?

You can open an account for a post office scheme by visiting your nearest post office filling out the necessary forms and submitting the required documents.

How do I make a deposit or withdrawal from my post office scheme account?

You can make a deposit or withdrawal from your post office scheme account by visiting your nearest post office filling out the necessary forms and submitting the required documents.

How can I check the balance of my post office scheme account?

You can check the balance of your post office scheme account by visiting your nearest post office and inquiring with the officials.

Are there any income tax benefits for investing in a post office scheme?

Many post office scheme options offer income tax benefits, which vary depending on the specific scheme. You should consult with a tax advisor for more information about the tax implications of investing in a particular post office scheme.

which saving scheme is best in the post office?

Post Office offers a range of savings schemes with different interest rates and features. The best scheme for you will depend on your financial goals and investment preferences. Here are some of the most popular Post Office saving schemes:

  1. Public Provident Fund (PPF): PPF is a long-term investment scheme that offers tax benefits under Section 80C of the Income Tax Act. The current interest rate for PPF is 7.1% per annum (as of March 2023). The minimum investment is Rs.500 per year and the maximum investment is Rs.1.5 lakh per year.
  2. National Savings Certificates (NSC): NSC is a fixed-income investment scheme that offers tax benefits under Section 80C of the Income Tax Act. The current interest rate for NSC is 6.8% per annum (as of March 2023). The minimum investment is Rs.1000 and there is no maximum investment limit.
  3. Post Office Monthly Income Scheme (POMIS): POMIS is a low-risk investment scheme that offers a fixed monthly income. The current interest rate for POMIS is 6.6% per annum (as of March 2023). The minimum investment is Rs.1000 and the maximum investment limit is Rs.4.5 lakh for a single account and Rs.9 lakh for a joint account.
  4. Post Office Time Deposit (TD): TD is a fixed deposit scheme that offers a fixed return on investment. The current interest rate for Post Office TD ranges from 5.5% to 6.7% per annum depending on the tenure (as of March 2023). The minimum investment is Rs.200 and there is no maximum investment limit.

what is the pli scheme in the post office?

PLI stands for Postal Life Insurance, which is a life insurance scheme offered by the Indian Postal Department. PLI is one of the oldest life insurance schemes in India and is primarily designed to provide life insurance cover to government employees, including employees of defence services, para-military forces, and other government organizations.

PLI offers different types of insurance policies, such as Whole Life Assurance, Endowment Assurance, Convertible Whole Life Assurance, Anticipated Endowment Assurance, and Children’s Policy. The policies are available in different denominations ranging from Rs. 20,000 to Rs. 50 lakh.

PLI policies offer various benefits to policyholders, including death benefits, maturity benefits, loan facilities, and surrender value. The premiums for PLI policies are affordable, and policyholders can also avail of tax benefits under Section 80C of the Income Tax Act.

To apply for a PLI policy, individuals can visit their nearest post office and fill out the application form. They will need to provide their personal details, nominee details, and payment of the premium. The premium payment for PLI policies can be made through cash, cheque, or online payment methods.

what is the Sukanya scheme in the post office?

Sukanya Samriddhi Yojana (SSY) is a small savings scheme launched by the Government of India under the ‘Beti Bachao Beti Padhao’ campaign. This scheme is available in all post offices across India and is specifically designed to encourage parents to save for their girl child’s education and marriage expenses.

Under the Sukanya Samriddhi Yojana, parents or legal guardians can open an account in the name of their girl child before she attains the age of 10 years. The account can be opened with a minimum deposit of Rs. 250, and a maximum of Rs. 1.5 lakh can be deposited in the account every year. The account can be opened with a post office or authorized banks.

The current interest rate for Sukanya Samriddhi Yojana is 7.6% per annum (as of March 2023). The interest rate is revised every quarter by the government. The maturity period for this scheme is 21 years from the date of account opening, and partial withdrawals can be made after the girl child attains the age of 18 years.

The Sukanya Samriddhi Yojana offers tax benefits under Section 80C of the Income Tax Act, and the interest earned on the scheme is also tax-free. The scheme also offers a government guarantee on the principal amount and interest earned, making it a safe and secure investment option for parents.

To open a Sukanya Samriddhi Yojana account, parents or legal guardians need to submit the girl’s child’s birth certificate, their own identity and address proof, and the account opening form along with the initial deposit amount.

post office scheme to double the money

There is no specific Post Office scheme that guarantees to double the money invested. However, the Post Office offers several investment schemes with attractive interest rates that can help grow your money over time. Here are some of the schemes that offer high interest rates and can help you grow your investment:

  1. Post Office Monthly Income Scheme (POMIS): POMIS is a low-risk investment scheme that offers a fixed monthly income. The current interest rate for POMIS is 6.6% per annum (as of March 2023). While the investment amount does not double, it can provide a steady source of income.
  2. Post Office Time Deposit (TD): TD is a fixed deposit scheme that offers a fixed return on investment. The current interest rate for Post Office TD ranges from 5.5% to 6.7% per annum depending on the tenure (as of March 2023). The interest earned on TDs can be reinvested to earn compound interest, which can help grow your investment over time.
  3. National Savings Certificates (NSC): NSC is a fixed-income investment scheme that offers tax benefits under Section 80C of the Income Tax Act. The current interest rate for NSC is 6.8% per annum (as of March 2023). While the investment amount does not double, it can help grow your investment over time.

Which scheme is best in the post office?

The best Post Office scheme for you depends on your investment goals, risk appetite, and investment horizon. Post Office offers a variety of investment schemes with different features, interest rates, and maturity periods. Here are some of the popular Post Office schemes that you may consider:

  1. Public Provident Fund (PPF): PPF is a long-term investment scheme that offers a fixed return on investment and tax benefits under Section 80C of the Income Tax Act. The current interest rate for PPF is 7.1% per annum (as of March 2023), and the investment has a maturity period of 15 years. PPF is a popular choice for individuals looking for long-term investment and tax-saving options.
  2. National Savings Certificate (NSC): NSC is a fixed-income investment scheme that offers tax benefits under Section 80C of the Income Tax Act. The current interest rate for NSC is 6.8% per annum (as of March 2023), and the investment has a maturity period of 5 years. NSC is a low-risk investment option for individuals looking for fixed-income and tax-saving options.
  3. Post Office Time Deposit (TD): TD is a fixed deposit scheme that offers a fixed return on investment. The current interest rate for Post Office TD ranges from 5.5% to 6.7% per annum depending on the tenure (as of March 2023). TD is a low-risk investment option for individuals looking for fixed income and the safety of capital.
  4. Sukanya Samriddhi Yojana (SSY): SSY is a scheme specifically designed to encourage parents to save for their girl child’s education and marriage expenses. The current interest rate for SSY is 7.6% per annum (as of March 2023), and the investment has a maturity period of 21 years. SSY is a low-risk investment option for parents looking to secure their girl child’s future.

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