The post office monthly income scheme is a scheme that is not only backed by the central government and, therefore, completely safe, but also offers 7.4% interest and pays a monthly interest like a pension. The investor can also put his/her money every month into it. Also, the interest attracts no tax deducted at source.
Post Office MIS account details
Any resident Indian can open a post office MIS account. But NRIs are not eligible to have one. One can also open an account on behalf of a minor who is past 10 years of age.
A few documents are needed to open a post office MIS account. These are:
Proof of identity: The Aadhaar card or voter identity card or passport or driving license would suffice as address proof of the individual.
Proof of address: An identity issued by the government that will carry the applicant’s residential address.
Photograph: Passport-size photos will also be needed.
Need a post office savings account
To have a post office MIS account, one has to first open a post office savings account. So if you don’t have it, you have to open it.
Download a form
The application form to open an MIS account can be downloaded from the India Post website (link: https://www.indiapost.gov.in/VAS/DOP_PDFFiles/form/Accountopening.pdf) or one can visit the nearest post office.
Submit filled form
Fill the form and submit it at the nearest post office. The documents of identity and address proof need to be photocopied and self-attested. One has to carry the originals for verification.
Minimum deposit Rs 1,000
The applicant has to provide Rs 1,000 in cash or a cheque that has to be submitted along with the application.
Mention a nominee
The applicant would need to mention name, date of birth and phone number of nominee
A few points to remember
One can get the account transferred to any post office in India if one is changing residence.
The post office MIS does not offer income tax benefits.
These accounts are for a term of 5 years. No early closure of the account is permitted within one year of opening it. If it is closed after 1 year and before 5 years, the account holder is liable to pay penalties.
Post Office MIS account: The post office monthly income scheme is popular among a large section of India’s population due to its safety and monthly payment of interest. It offers 7.4% interest. Personal Finance Business News – Personal Finance News, Share Market News, BSE/NSE News, Stock Exchange News Today
