When it comes to safe investment options with guaranteed returns, schemes run by the Indian Post Office continue to top the list. The Post Office Monthly Income Scheme (POMIS) is especially popular among investors seeking zero risk and fixed monthly income. At a time when market volatility is high and bank FD rates are under pressure, this scheme stands out with an attractive 7.4% interest rate.

What Is the Post Office Monthly Income Scheme (POMIS)?

The Post Office Monthly Income Scheme is a one-time investment scheme that provides regular monthly interest for five years. It is particularly suitable for retired individuals, senior citizens, and conservative investors who need a steady income to meet monthly expenses.

The biggest advantage of this scheme is its government backing. Since the money is deposited with the Government of India, there is virtually no risk of capital loss.

Interest Rate and Investment Limits

• Current interest rate: 7.4% per annum

• Minimum deposit: ₹1,000

Maximum investment limit:

• Single account: Up to ₹9 lakh

• Joint account: Up to ₹15 lakh (can be opened by up to three individuals)

Compared to many bank fixed deposits, the POMIS interest rate is considered more stable and competitive.

Monthly Income on ₹2 Lakh Investment

If you invest ₹2 lakh in the Post Office MIS at the current interest rate:

• Annual interest: ₹14,800

• Monthly income: Approximately ₹1,233

• Total interest over 5 years: ₹73,980

At maturity, after five years, you receive your entire principal amount of ₹2 lakh, without any deductions.

Joint Account and Withdrawal Rules

• A joint account can have up to three holders

• All account holders are considered to have equal ownership

• The scheme is completely free from market-related risks

Premature withdrawal rules:

• After 1 year but before 3 years: 2% of principal deducted

• After 3 years: 1% of principal deducted

Premature withdrawal is not allowed before completing one year.

Simple Account Opening Process

To open a POMIS account, you must have a Post Office savings account, as the monthly interest is directly credited to it.

Documents required:

• Aadhaar card

• PAN card

• Passport-size photograph

You can open the account by visiting your nearest post office and filling out a simple application form.

Conclusion

The Post Office Monthly Income Scheme is an ideal solution for investors who want safe, assured, and hassle-free returns. With fixed monthly income, government security, and easy account management, POMIS remains a reliable choice for long-term financial stability.