Post Office Time Deposit Scheme: If you want to invest a lump sum amount, then invest it in the post office. Here you can also triple your invested amount. Know the way to make ₹5,00,000 more than ₹15,00,000.
Post Office Time Deposit Scheme: When a child is born in the house, every parent thinks that they will not let him struggle and will give him the best possible life. Due to this, parents start all kinds of financial planning as soon as the child is born. Some people start investing in schemes like PPF, Sukanya in the name of the child, while some people invest the lump sum money somewhere to meet the future needs of the child.
If you also want to invest a lump sum amount, then put it in the term deposit of the post office i.e. Post Office FD. In the post office, you are getting the benefit of better interest on 5-year FDs as compared to banks. Through this scheme, if you want, you can make the amount more than three times, that is, if you invest ₹ 5,00,000, you can make it more than ₹ 15,00,000. Know how this will work-
This is how 5 lakhs will become 15 lakhs
To make 5 lakhs into 15 lakhs, you will first have to invest ₹ 5,00,000 in the post office FD for 5 years. The post office is giving 7.5 percent interest on 5-year FDs. In such a situation, on calculating with the current interest rate, the maturity amount after 5 years will be Rs 7,24,974, you do not have to withdraw this amount, but get it fixed for the next 5 years. In this way, in 10 years, you will earn Rs 5,51,175 through interest on an amount of Rs 5 lakh and your amount will become Rs 10,51,175. This amount is more than double.
But you have to fix this amount once again for 5 years, that is, you will have to fix it twice for 5 years each, in this way your amount will remain deposited for a total of 15 years. In the 15th year, at the time of maturity, you will earn Rs 10,24,149 on the invested amount of Rs 5 lakh only through interest. In this way, by combining your invested Rs 5 lakh and Rs 10,24,149, you will get a total of Rs 15,24,149. Usually, the need for money for a child increases only during teenage. In such a situation, you can easily spend these Rs 15 lakh on his future.
Understand the rules of extension
To add the amount of 15 lakhs, you will have to extend the post office FD twice. There are some rules for this which you should understand. 1 year FD of post office can be extended within 6 months from the date of maturity, 2 year FD has to be extended within 12 months of the maturity period. At the same time, for the extension of 3 and 5 year FD, the post office has to be informed within 18 months of the maturity period. Apart from this, you can also request for account extension after maturity at the time of opening the account. The interest rate applicable to the respective TD account on the day of maturity will be applicable on the extended period.
Interest rates of post office TD
Let us tell you that like the bank, in the post office also you get the option of FD of different tenures. Different interest rates are offered for each tenure. The current interest rates are-
- One year account – 6.9% annual interest
- Two year account – 7.0% annual interest
- Three year account – 7.1% annual interest
- Five year account – 7.5% annual interest
