New Delhi: Investors with low risk appetite, looking to make fixed monthly investments can invest in Recurring Deposit (RD). It is a government scheme with guaranteed returns. From 01.01.2024, Recurring Deposit (RD) account holders are entitled to earn an annual interest rate of 6.7 per cent, compounded quarterly. There is no upper limit on the amount that can be deposited, and the minimum monthly deposit required is Rs 100, with additional deposits allowed in multiples of Rs 10.
Post Office RD 5 years interest
If you invest Rs 2,000 monthly in the Post Office RD scheme for 5 years, you will be entitled to get a maturity amount of Rs 1,42,732 at the end of the tenure at 6.7 per cent rate. The principal amount will be Rs 1,20,000 and the interest would amount to Rs 22,732. The total matured amount includes principal amount and the interest earned over the tenure of the deposit.
Who Can Open RD Account
The RD account can be opened by a single adult or in joint names with up to three adults (Joint A or Joint B). It can be opened by a guardian on behalf of a minor or a person of unsound mind, and by a minor above 10 years in their own name. There is no restriction on the number of accounts that can be opened.
The account can be initiated with cash or cheque, with the date of deposit for cheques being the date of clearance. The minimum monthly deposit is Rs 100, due by the 15th of the month if opened by that date, or by the last working day if opened later in the month.
Loan facility against RD
After depositing 12 installments, account holders can avail themselves of a loan up to 50 per cent of the account balance. Loans can be repaid in lump sum or in monthly installments, with an interest rate of 2 per cent plus the prevailing RD interest rate. Interest accrues from the withdrawal date to the repayment date, and unpaid loans at maturity are deducted from the RD account’s maturity value.
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Post Office is offering 6.7 per cent interest rate om Fixed Deposit tenure of 5 years. The minimum amount for monthly deposit is Rs 100 and above minimum in multiple of Rs 10. Personal Finance Business News – Personal Finance News, Share Market News, BSE/NSE News, Stock Exchange News Today
