Post Office Scheme: Open account with just Rs 1000; option to get Rs 14 lakh in 5 years

New Delhi: Post Office offers several investment schemes allowing investors to put their money in saving instruments that offer delightful returns. In one plan called Senior Citizen Savings Scheme (SCSS), the Post Office allows investors to rake in impressive returns from their investments. 

If you are also looking to make a safe investment, then Post Office Senior Citizens Savings Scheme could be the saving plan that could suit you well. Currently, investors are receiving 7.4 per cent interest on their investments in the scheme. 

The Senior Citizens Savings Scheme (SCSS) offered by Post Office is more beneficial for retired investors, as they can put their hard-earned money in a safe scheme that can give fantastic returns. 

Moreover, investors above the age of 60 can only open accounts in SCSS. Investors who opted for Voluntary Retirement Scheme (VRS) can also open their accounts in the scheme. You can start investing as little as Rs 1000 in the scheme. 

How to get Rs 14 lakh in 5 years? 

For receiving Rs 14 lakh in just 5 years from Senior Citizen Savings Scheme, an investor will need to invest a lump sum of Rs 10 lakh in the investment plan. After five years, investors will receive Rs 14,28,964 at a 7.4% interest rate. 

Investors will get Rs 4,28,964 as interest on their investment. One of the most important points to note here is that investors cannot keep more than Rs 15 lakh in their Senior Citizen Savings account.  

Investors opening an account with the Senior Citizen Savings scheme with less than Rs 1 lakh can pay the amount in cash. The maturity period under SCSS is five years. However, investors can extend the maturity period by three more years. Also Read: BGMI Update: Krafton introduces 3 hours playtime limit, check other restrictions

Investors will need to visit Post Office to open an account in the Senior Citizen Savings scheme, which also offers several tax exemption benefits. For instead, investments in the scheme are exempted under section 80C of the Income Tax Act. Also Read: Coinstore cryptocurrency exchange enters India despite pending curbs on trade