Five Post Office Saving Schemes With Over 7% Interest Rates
The post office all over India also provides banking services. The post offices also offer fixed deposit schemes To the people of India.Some of these schemes also provide interest rates above 7% not including the people who are above sixty or are included in any special subsidy or rebate these people get higher rate of interest Post office fixed deposits (FDs), monthly income scheme account, public provident fund accounts, national savings certificates (NSC) and Kisan Vikas Patra (KVP) are meant for general public and offer interest rates over 7 per cent
Interest rates on post office fixed deposits
The post office fixed deposit account require a minimum balance of Rs.200.These accounts are also known as time balance account. This post office account can be opened by cash or a cheque
Post office monthly income scheme account (MIS)
MIS OR Monthly income scheme account can be opened with cash/ cheque. The MIS account is matured in the period of five years. it can only be encashed after 1 year but at a discount of 2% for 3 years after the completion of three years, the discount rate is reduced to 1%. Here the meaning of discount is a deduction from the deposit
The interest rate on post office monthly income scheme account
The interest rate of MIS account is 7.3% per annum payable on monthly basis. The account limit for an MIS account is 4.5 lakh and joint account is 9 lakh rupees
Post office 15-year public provident fund (PPF) account
The minimum investment of Rs. 500 and a maximum of Rs. 1,50,000 in a financial year. There is nomination facility available in the PPF account.
National savings certificates (NSC)
National Savings Certificates or NSCs are certificates that can be bought from post offices. You need to buy a certificate worth a minimum of Rs. 100. There is no maximum limit on the amount of investment.
Kisan Vikas Patra (KVPs)
Kisan Vikas Patra (KVPs) requires a minimum investment of Rs. 1,000. There is no maximum limit on the investment that can be made in KVPs. KVP certificates can be purchased by an adult for himself or on behalf of a minor or by two adults from any post office. The certificate can be encashed after two-and-a-half years from the date of issue.
The interest rate on KVPs
KVPs fetch an interest rate of 7.3 percent, which is compounded annually. The amount invested in doubles in 118 months (nine years & 10 months).