Post Office RD Under this scheme, a minimum deposit of Rs 100 per month and above can be deposited in multiples of Rs 10. If the account is opened in the first 15 days of the month, then you will have to deposit the money by the 15th of the month.
Business Desk. A recurring deposit (RD) is an investment instrument in which people can regularly deposit a fixed amount and earn interest income. It is known as a safe investment option for the salaried class and middle-income group. According to the website of India Post, interest is being provided at the post office RD at the rate of 5.8 percent per annum for the April to June quarter. Interest received from RD is fully taxable. The special thing is that the interest rate in RD is compounded quarterly.
Post Office RD is a government-supported scheme. The post office RD comes with a term of five years. Under this scheme, an account can be opened with a minimum amount of Rs 100 per month or any amount in multiples of Rs 10. There is no limit to the maximum amount.
This account can be opened
Post office RD can open a single parent, joint account (up to 3 adults), a guardian on behalf of a minor, a minor above 10 years in his name, and a mentally ill person on behalf of a mentally ill person. Here, tell how many accounts can be opened under this scheme.
In this scheme, the account can be opened with both cash or check. Under this scheme, a minimum deposit of Rs 100 per month and above can be deposited in multiples of Rs 10. If the account is opened in the first 15 days of the month, then you will have to deposit the money by the 15th of the month. At the same time, if the account is opened after the first 15 days of the month, then the money has to be deposited before the last date of the month.
A loan facility is also available under the Post Office RD Scheme. This loan facility is available after depositing 12 installments. Loans up to 50 percent of the amount deposited in the account can be taken. The loan can be repaid in a lump sum or equal monthly installments. The interest rate on the loan will be 2% + the interest rate on RD. Interest will be calculated on the period from the date of withdrawal to the date of repayment. If the loan is not repaid till maturity, then the loan + interest will be deducted from the maturity value of the RD account. The loan can be taken by submitting the loan application form along with the passbook to the respective post office.
RD account can be closed before maturity three years after the account is opened. In the event of closure of the account before maturity, post office savings account interest will be provided.