How to earn strong returns on your savings without risk?
In the midst of rising inflation, if you want to earn strong returns on your savings without any risk, then investing money in government schemes is a better option. You can invest in the Post office Small Savings Scheme for guaranteed returns. If you want to make deposits for a fixed tenure then you can opt for investing in post office fixed deposit schemes. You can earn guaranteed profits by making deposits on Post office FDs for 1, 2, 3 and 5 years.
POTD: 3.95 lakh profit on 10 lakh deposit
At the post office, 6.7 percent interest is being received annually on a 5-year term deposit (Fixed Depository- FD). Interest is paid annually but is calculated on a quarterly basis. For ex, if a person invests ten lakhs for five years under this scheme, then at the time of maturity he will get Rs 13,94,067. so here the guaranteed income of Rs 3,94,067 comes as interest. Tax exemption under section 80C of Income Tax is also available on the term deposit of 5 years in the post office.
Must invest at least Rs 1000
One can start investing in Post office FDs with a minimum investment of Rs 1,000. At present, 5.5% annual interest is being given on these three maturities. Under this scheme a person can extend its period on maturity. This period will extend in the same period in which the account was opened.
