Looking for a safe and secure investment option with guaranteed returns? The Post Office Time Deposit Scheme (POTD) offers a lucrative opportunity for investors seeking fixed returns with government backing. By investing smartly, you can earn up to ₹4.5 Lac in guaranteed returns. Here you know the details about this scheme.
What is the Post Office Time Deposit Scheme?
The Post Office Time Deposit (POTD) is a fixed deposit scheme offered by the India Post. Investors can deposit a lump sum amount for a fixed tenure, ranging from 1 to 5 years, and earn interest at attractive rates. The interest is annually compounded and is paid out at maturity, ensuring a substantial return on investment. The scheme is available for 1-year, 2-year, 3-year, and 5-year tenures, with interest rates revised quarterly by the government.
How to Earn ₹4.5 Lac?
To earn ₹4.5 Lac in guaranteed fixed returns, you need to deposit ₹10 lakh under the 5-year Time Deposit scheme and earn fixed interest by the end of the term. This brings the total maturity amount to ₹14,50,000 combining your principal and interest. The current interest rate for a 5-year POTD is 7.5% per annum (as per the latest updates).
Interest Rates and Tenure of Time Deposit scheme
The scheme offers different interest rates based on the tenure:
- 1-Year Deposit: 6.9% per annum
- 2-Year Deposit: 7.0% per annum
- 3-Year Deposit: 7.1% per annum
- 5-Year Deposit: 7.5% per annum (highest return)
Key Benefits of the Scheme
Government-Backed Security: The scheme is fully backed by the Government of India, ensuring zero risk.
Attractive Returns: Higher interest rates compared to many bank fixed deposits.
Flexible Tenure Options: Choose between 1-year, 2-year, 3-year, and 5-year deposits based on your financial goals.
Tax Benefits: The 5-year deposit qualifies for tax deductions under Section 80C of the Income Tax Act (up to ₹1.5 lakh per year).
Easy Withdrawal: While premature withdrawal is allowed, it comes with certain conditions.
No Maximum Limit: While the minimum deposit is ₹1,000, there is no upper limit, allowing flexibility for larger investments.
Who Can Invest at this Scheme?
- Any Indian citizen can open an account.
- Both Single and Joint accounts are allowed.
- Minors above 10 years can open an account under guardian supervision.
How to Open Time Deposit Account
To invest in the Post Office Time Deposit Scheme, visit your nearest Post Office with the following documents:
- Aadhaar Card or PAN Card
- Proof of Address (such as an electricity bill or ration card)
- Passport-size Photograph
- Bank Details (for interest transfer)
- Fill out the Time Deposit application form
- Deposit the amount
- Receive your Time Deposit Certificate as proof of investment.
Complete the application process, and you’re all set to enjoy guaranteed returns on your investment.
The Post Office Time Deposit Scheme is one of the safest ways to earn fixed and guaranteed returns. With an investment of ₹10 lakh in a 5-year POTD, you can secure ₹4.5 Lac in returns without any market risks. If you’re looking for a secure way to grow your savings, the Post Office Time Deposit scheme is worth considering. Head to your nearest Post Office today and start investing!
