Since they promise higher returns and are supported by the central government, Post Office schemes are regarded as one of the safest investment options in the nation for middle-class investors that includes a few farmers as well.
If you want to invest your money in a place where it will be secure and provide respectable returns, the Post Office Public Provident Fund (Post Office PPF) Scheme is a wise alternative. Even if you only invest a small amount of money in this scheme, you can still make a sizable profit. This strategy provides savings and security.
Post Office PPF Scheme Details
Indian residents who are single people can open accounts at any post office or bank. Accounts can be opened on behalf of minors by parents or guardians. The Post Office PPF scheme does not allow for joint accounts. NRIs are not permitted to use the scheme, according to Post Office rules.
A person who became an NRI before reaching adulthood, however, is still eligible to use the PPF scheme’s benefits. The post office PPF account is one of the best options for investors to think about because of its high rate of return.
Investors are provided with set returns under the scheme at the rate at which their money was initially invested. This suggests that even if interest rates eventually decline, investors need not be concerned about them changing.
Your total investment will be Rs 22.50 lakh if you make monthly investments of Rs 12,500 or daily investments of Rs 417 for 15 years, or till maturity. You will also benefit from a compound interest rate of 7.1 percent annually if you follow the requirements. 18.18 lakh rupees will be received in interest overall. Both together result in a return of Rs 40.68 lakh.
Despite the fact that this plan has a 15-year maturation time, you have the choice to extend it twice for periods of five years each. You can earn Rs. 1.03 crore by extending your investment twice for five years each. Your investment in this scenario will be Rs. 37.50 lakh. You would receive interest of Rs. 65.58 lakh, bringing your profit to almost Rs. 1 crore.
