Time deposit scheme of post office is like FD, take advantage of this scheme like this
Newz Fast, New Delhi: Most of the customers do not open an investment account in the post office due to the long time period, but now they do not need to worry about this.
This special scheme of post office is very good for you. The post office comes up with new schemes from time to time for the customers. Customers get the benefit of less risk and better returns through these schemes.
One such scheme of the post office is the Post Office Time Deposit Scheme (POTD). In this, investors can open an account as per their wish. In this account can be opened for a period of 1 year, 2 years, 3 years and 5 years.
Most of the customers do not open an investment account in the post office due to the long time period, but now they do not need to worry about this.
Who can open account in it?
In Post Office Time Deposit Scheme, any Indian citizen can open a combination account of 2 or maximum 3 persons.
Apart from this, the account of children above the age of 10 years can be opened. Whereas the account of children below the age of 10 years will be opened by the parents.
Advantages of POTD Scheme
The deposit account can be opened with a minimum amount of Rs.1,000 only. There is no maximum investment limit. Along with this, interest at the rate of 5.5 percent will be available on opening the account for 1, 2 and 3 years.
Whereas for opening the account for 5 years, an annual interest of 6.7 percent will be available. Apart from this, exemption has been given by the Income Tax Department on the amount received under this scheme up to Rs 1.5 lakh.
Keep these things in mind
After opening the account in Post Office Time Deposit Scheme, investors cannot withdraw money before the period of 6 months. You can withdraw money only after 6 months of account opening. To get the full benefits, customers have to deposit Rs.