The following are the historical 5 Year Post Office Recurring Deposit Interest Rates*. (iii) Subsequent deposit shall be made up to the 15th day of the month if the account is opened up to the 15th of a calendar month. In case of cheque, the date of deposit is the date of presentation of cheque, according to India Post. Individuals need to pay a tax amount as per their income tax slab. Besides the basic benefits, the scheme offers some unique advantages that are not available with bank RDs. The security that comes with investing in an RD account in post office and the opportunity to earn compounding interest on the same makes this scheme feasible. The plan is particularly aimed at people on low incomes looking for a simple and secure savings option. Individuals who earn a fixed income but want to generate wealth over time may consider the Post Office RD Scheme effective and suitable. The initial deposit for opening a post office RD account can be made with both cash and cheque. The interest rates are revised regularly. For the quarter ending 30 September, the annual returns are 5.8% for the recurring deposit accounts. Post Office Small Saving Calculators SIP, RD, TD and Annuity Calculators. 2) Post office recurring Deposits: Post office RD tenure is 5 years. 1,000 for a total tenure of 10 months as an advance in his RD account in post office. Recurring Deposits by Post-Offices provide an investment option wherein the investors can make monthly deposits for a period of 5 years. Additionally, an interest that exceeds Rs. Under the rebate system, Mr. Pandey is entitled to avail a rebate of Re. 100 as rebate. 6,000 into his PORD at the rate of 7.2% p.a. Post office recurring deposit scheme is equally popular as bank RD scheme. Post Office RD Interest Rate Post Office Recurring Deposit Interest Rate History: Post Offices started offering recurring deposits from 1987 and the table below gives the interest rate since then for different tenures. ⓒ 2016-2020 Groww. The highest interest ever offered was 13.5% for 5 years RD from 1 st October 1991 to 1 st September 1993. But, think of the higher returns that it offers as opposed to bank RDs. What are the major features of a Post Office RD? What is Post Office RD Scheme? (iv) Subsequent deposit shall be made up to the last working day of the month if an account is opened between the 16th day and the last working day of a calendar month. But, think of the higher returns that it offers as opposed to bank RDs. The deposits have to be made at predetermined intervals which may be monthly, quarterly depending on the terms and conditions of the deposit scheme. Whether you can extended the Post Office Recurring Deposit (RD)? Recently, the government launched the DakPay digital payments app. However, the interest generated through the post office RD scheme is liable for taxation. Such interest rate makes it one of the most preferred investment options available. It … Account-holders will earn interest on their deposits every 3 months, which totals to 4 times in a year. The only drawback is that you cannot do an online balance transfer or make deposits every month to your postal RD account. An amazing feature of post office RD is that you can easily convert your joint account to a single account and vice versa. The Post Office Recurring Deposit account gives a chance to the customers to save for their future. Either with a bank or post office, you can open an RD account by verifying your KYC documents. Post Office Recurring Deposit Account Definition: The Post Office Recurring Deposit Account works on the same principle as that of the recurring deposit account in a bank, where the investor can deposit a fixed sum of money on a monthly basis. 1 for every Rs. POST OFFICE RD calculator online - Calculate POST OFFICE RD Interest rate using POST OFFICE Recurring Deposit calculator 2021. Please read the scheme information and other related documents carefully before investing. On maturity Rs.100/- account fetches Rs.7231.38. for 60 months. The features of Post Office RD make the savings scheme an attractive investment option. Individuals can revive their ‘discontinued account’ within 60 days post their 5th default. But they can withdraw from such account only after a year of opening it up to 50% of the available funds. (i) Account can be opened by cash/cheque and in case of cheque, the date of deposit shall be the date of clearance of cheque. What is the duration or tenor of Post Office Recurring Deposits? The 5 year Post Office Recurring Deposit (PORD) scheme allows you to save on a regular monthly basis for 5 years i.e. Monthly Income Scheme (MIS) Recurring Deposit (RD) Time Deposit (TD) National Savings Certificate (NSC) Interest Rates (%) Mutual Funds. Past performance is not indicative of future returns. These FD rates are compounded every quarter. 5 years post office recurring deposit scheme allows you to earn fixed yet guaranteed interest on your investment. Post Office Recurring Deposits: Depositors need to deposit a minimum of Rs 10 month or any amount in multiples of Rs 5 to open a post office recurring deposit account. The scheme allows monthly fixed amount contributions towards a 5 year deposit. SBI vs Post Office recurring deposits (RDs): Latest interest rates 2 min read. The said scheme serves as mid-term investment options; wherein, investors are required to keep their deposits active for at least 5 years. Mutual Funds Intro However, in the case of the RD scheme in post office, individuals would be able to avail rebate on their deposits that were invested at least 6 months in advance. 100 and above minimum in multiple of Rs. Post Office recurring deposit scheme is a government-backed scheme that offers guaranteed returns. 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