Like PPF scheme, you can open your account in Indian Post Office or any government bank. The biggest feature of this account is that, you can start in the name of both your minor and adult children.
If you want to raise big funds with small investments. So PPF, NSC and RD are the best schemes. Because in these your money is safe as well as good interest is also available. If you do not know about these schemes. So here we are going to give you all the information related to them. With which you will be able to easily choose any one of these three according to your need. Let’s know about Public Provident Fund, National Savings Certificate and Recurring Deposit….
Public Provident Fund Scheme – Like PPF scheme, you can open your account in Indian Post Office or any government bank. The biggest feature of this account is that, you can start in the name of both your minor and adult children. You can invest a minimum of Rs 500 and a maximum of Rs 1.5 lakh in a PPF account. Wherein it has a maturity period of 15 years. If you need more money then you can debit some percentage of it after 8 years. In PPF account , you get interest at the rate of 7.1 percent.
Recurring Deposit Scheme – You can start RD account in post office or any bank. This account can be opened in the post office for only Rs 100. At the same time, the maximum amount you can invest in a financial year. Also, your investment is blocked for 5 years in this. In Recurring Deposit Scheme, you get interest at the rate of 5.8%.
National Savings Certificate – Investing in Post Office National Savings Certificate can be a better option. The specialty of this post office small savings scheme is that there is no maximum investment limit. At the same time, multiple accounts can be opened in this. Deposits in NSC also get the benefit of tax deduction up to Rs 1.5 lakh under section 80C of income tax. The annual interest rate in this post office scheme is currently 6.8 percent.
Income Tax Rebate – Under Section 80C of Income Tax in PPF and NSC scheme, tax deduction of up to Rs 1.5 lakh is also available in a year. At the same time, there is no exemption in income tax on the return received in RD.
