Post Office RD Scheme: Know about this amazing scheme of post office
Post Office RD Scheme: If you are looking for a safe and reliable investment for the future, the Post Office Recurring Deposit (RD) scheme can be a great option for you. This government savings program is specially designed for those who want to save a small amount every month to build a healthy fund.
What makes the Post Office RD system special?
The Post Office RD is a small savings scheme that allows you to deposit a fixed amount every month and accumulate a large sum over a period of five years. The main advantage of investing in this scheme is that your money is completely safe, as it is managed by the Government of India. Additionally, the amount received on maturity is already known, as the interest earned is fixed.
- Minimum investment: Just Rs 100 per month is required to start.
- Loan facility: If required, loans can also be given under certain restrictions.
- Nomination facility: A nominee can also be added to the account.
What interest rate is applicable now?
Every quarter the government revises the interest rates of minor savings schemes. Post Office RD is offering an annual interest rate of 6.7% from April 1, 2025, to June 30, 2025. Quarterly compounding of this interest further increases your returns.
How much will be the profit from RD
Let’s move on to the actual calculation: How much money will you get after five years if you deposit a certain amount every month? Note that this calculation is an estimate. Depending on the compounding or changes in interest rates, there may be a slight change.
| Monthly Deposit (₹) | Total Deposit (₹ in 5 years) | Estimated Interest (₹) | Maturity Amount (₹) |
|---|---|---|---|
| 2000 | 120,000 | 21,983 | 141,983 |
| 3000 | 180,000 | 32,975 | 2,12,975 |
| 5000 | 300,000 | 54,958 | 354,958 |
How to Open an Account?
Opening a Post Office RD account is quite simple:
- Visit your nearest post office.
- Fill out a form and send in your KYC papers, such as your PAN and Aadhaar.
- Payments must be made on time every month.
- An option to terminate the account early is also available, although the interest rate may be lower in such a case.
Why Invest in this Scheme?
For those who want to build a large corpus by depositing modest amounts every month, Post Office RD offers a safe, easy and disciplined savings scheme. By saving Rs 2000, Rs 3000 or Rs 5000, you can contribute between ₹1.5 and ₹3.5 lakh over a period of five years. If you want assured income and want to protect your money by avoiding risk, invest in Post Office RD now.