You will get a substantial return on investment even if you just invest ₹100 each month in this plan
The Power of ₹100: Investing for Everyone Anyone, regardless of financial circumstances, may develop the beneficial habit of saving money. To begin investing and saving for the future, you don’t need a sizable amount of money. You may begin saving even with a small monthly investment, such as 100 rupees, in a post office 5-year recurring deposit plan. Investors may feel confident knowing that the National Savings Recurring Deposit Account offered by the post office is supported by the Government of India and guarantees returns.
Post Office RD: Open to All
Who may register for this scheme and establish an account? Any adult, either alone or in partnership with two other adults, may create an account under the Post Office RD program. On behalf of children or those who are mentally unable, guardians may also make investments. Minors above the age of ten may register a five-year recurring deposit account in their name, according to the India Post website. The fact that there is no limit on the number of accounts one may create makes this system special.
This RD account has a maturity term that extends from the starting date to five years, or sixty monthly payments. The account may be kept open for an additional five years at the same interest rate as the first term at maturity.
Your Path Begins with 100 Rupees
You simply need to deposit a minimum of 100 rupees to begin participating in this plan. Checks or cash deposits are accepted, and the date of deposit is when checks are cleared. Depending on the account establishment date, deposits may be made up to the fifteenth of the following month or the final working day of the month.
National Savings RD Account: Loan Eligibility & Benefits
The ability to take out loans is another advantage of the National Savings Recurring Deposit Account. Once you have kept the account open for a full year and made 12 payments, you are eligible to borrow up to 50% of the remaining deposit. The loan interest rate is two percent (2% + RD interest rate). The outstanding balance is subtracted from the maturity value of the RD account if the loan is not repaid by the due date. Fill out a loan application at the post office where the account is kept in order to apply for a loan.
With this post-office recurring deposit plan, people may gradually accumulate a sizeable savings corpus by beginning small and investing regularly.
