Do you want to invest your money in a place that is not only safe, but also give good profits? If yes, then the National Savings Certificate (NSC) scheme of the Government of India can be a golden opportunity for you. This small savings scheme not only ensures your capital safety, but also helps to increase your investment with a compound interest rate of 7.7%. Whether you are saving for the future of your children or planning for retirement, this scheme is a reliable and flexible option for everyone.
The National Savings Certificate (NSC) is a scheme known for its credibility and attractive returns. In this scheme you can start investing from a minimum of Rs 1,000, and there is no upper limit. That is, you can invest as much as you want according to your financial condition. Its biggest feature is that it is fully supported by the Government of India, which is always safe for your money. After a five-year maturity period, you get the benefit of investment amount as well as compound interest, which makes it a great option for risk-free investment. The government reviews interest rates every quarter, so that investors always get competitive returns.
Another big advantage of NSC scheme is its tax savings facility. Under Section 80C of the Income Tax Act, you can avail tax exemption on investment up to Rs 1.5 lakh in a financial year. This facility is particularly beneficial for those who want to reduce their tax burden. Also, due to no maximum limit of investment in this scheme, you can invest as much as you want. Whether you are saving for your future or want to achieve long -term financial goals, NSC gives you double advantage – reserved investment and tax savings.
A special feature of the NSC scheme is that you can also start it by your children’s name. If your child is under 10 years of age, then parents can operate their account. This feature makes it a great option of savings for the future of children. Whether you want to add money for their studies, marriage, or other big expenses, NSC gives you a safe and sure way. You can start investing in this plan by going to your nearest post office or online, which makes it even more easy and convenient.
The beauty of the NSC scheme is hidden in its compound interest rate. For example, if you invest Rs 11 lakh, you will get around Rs 15.94 lakh after five years with an interest rate of 7.7%. That is, you will have a net profit of about 4.94 lakh rupees. If you invest more, your profit will also increase in the same proportion. This scheme is ideal for those who want sure and attractive returns avoiding risk. However, this scheme has a five-year lock-in period, which means that you will get the benefit of full interest only when you maintain investment for this period. If you close the account ahead of time, you will only get the amount of investment back, without any interest.
The National Savings Certificate is perfect for those who want to make their investment safe and beneficial. This scheme not only gives you a guarantee of the government, but also helps to meet your financial goals with tax savings and attractive returns.
