Nowadays, a big change is being seen among the people investing money in fixed income. Ever since the banks have reduced the interest rates on fixed deposits (FD), people have started moving towards the Post Office Time Deposit (POTD) scheme. The special thing about the Post Office Time Deposit is that, along with getting the guaranteed return of the government, it offers a higher interest rate than that of banks. For this reason, now people are considering this scheme more secure and better than the traditional bank FD.

Many investors feel that not only is the money safe in it, but also a good return is available. This is the reason why the thinking of investment is now gradually changing, and people have started looking at the schemes of the post office seriously.

This much return will be available in the Post Office Time Deposit Scheme
If you are looking for an investment in which your money is safe and also gets good returns, then the Post Office Time Deposit Scheme can be a great option for you. This scheme works exactly like a fixed deposit, where you can deposit money for a period of 1 year to 5 years.

In this scheme, you get interest of about 6.9% to 7.5%, which is more than the FD of many big banks. The biggest thing is that your money is safe under the guarantee of the government, so you do not have to worry about the return. If you want good returns without risk, then this scheme must be included in your investment portfolio. Especially at a time when the interest rates of FDs of banks are coming down, this scheme of the post office is emerging as a safe and beneficial option.

For how many years can you invest?

The Post Office Time Deposit Scheme has become a reliable option for those seeking fixed income in today's time. In this scheme, you can invest for different periods according to your need and convenience, like for 1 year, 2 years, 3 years, or 5 years.

The interest rates in this scheme are also fixed and attractive. If you invest for 1 year, you will get 6.9% annual interest. 7% and 7.1% interest is available on 2-year and 3-year investments. On the other hand, if you invest for 5 years, you will get up to 7.5% annual interest.

This scheme is also special because in this, you get guaranteed returns and your money is completely safe, because it is guaranteed by the government. That is, for those who do not want to take risks and are looking for fixed returns, a post office time deposit can be a great option.

If you are looking for an investment that is safe and also saves tax, then instead of a bank FD, the 5-year time deposit scheme of the post office can be a great option. This scheme is special for those who want fixed returns in the long term and also want relief from income tax.

Tax exemption under section 80C
The money you invest in this scheme is tax-exempt under section 80C of the Income Tax Act. This is the same benefit that is available in tax-saving bank FDs. This means that not only will your money be safe, but you will also be able to save tax.

Although the interest income from this scheme comes under the purview of tax, in terms of security and stability, this scheme is becoming increasingly popular among both rural and urban investors. If you want to invest without any risk, then this post office scheme can become a reliable way for you.

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