New Delhi: The Post Office Time Deposit Account (TD) is a type of guaranteed-income savings scheme available at post offices across the country. It functions like a fixed deposit offered by banks, where interest is compounded quarterly and paid annually. Currently, the Post Office TD account offers four maturity options ranging from one year to five years, with annual interest rates between 6.9 per cent and 7.5 per cent. These rates are calculated quarterly, as stated on the India Post website, indiapost.gov.in. You can open a Post Office fixed deposit with a minimum investment of Rs 1,000, with no upper limit, in multiples of Rs 100.
What is the interest rate of FD in Post Office?
The Post Office provides various interest rates for Time Deposits based on different durations. For a one-year Time Deposit, the interest rate stands at 6.9 per cent. Opting for a two-year deposit offers an interest rate of 7.0 per cent, while depositing funds for three years earns an interest rate of 7.1 per cent. Those choosing a longer commitment of five years can benefit from an interest rate of 7.5 per cent. Post office offers the highest interest rate on 5 year FD
What is the interest of Rs 1 lakh in post office?
If you wish to open FD with Post office, here’s how a sum of Rs 1 lakh grows across different durations in the Post Office Fixed Deposit small savings scheme:
One year FD interest: If you invest Rs 1 lakh for one year, you will earn Rs 7,081 in interest, making the total value Rs 1,07,081.
Two years FD interest: For a two-year investment period, you’ll earn Rs 14,888 in interest, resulting in a total of Rs 1,14,888.
Three years FD interest: Investing the same amount for three years will earn you Rs 23,507.5 in interest, totaling Rs 1,23,507.5.
Five years FD interest: Finally, if you choose to invest for five years, you will earn Rs 44,995 in interest, bringing the total amount to Rs 1,44,995.
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Post Office 1-year, 2-year, 3-year, 5-year FD: For a one-year Time Deposit, you get 6.9 per cent interest. Choosing a two-year deposit gives you 7.0 per cent interest, and depositing money for three years earns you 7.1 per cent interest. Personal Finance Business News – Personal Finance News, Share Market News, BSE/NSE News, Stock Exchange News Today
