Post Office: There are many schemes to invest in banks as well as post offices, from there you can get assured returns. Post Office Time Deposit is one of the most popular FD schemes. The post office provides FD facility for a period of 1 to 5 years. Interest rates change over time. If you want to invest money in the post office for the long term, then the post office fixed deposit can prove to be a very good option. By doing FD for 5 years, you will also get a chance to double your capital. Because the money you invest will be worth it.
How to double the money
Understand the figure of doubling the money from the post office fixed deposit. For this, you have to choose a 5-year FD. Currently, the interest rate offered on these FDs is 7.5 per cent. One more thing, this scheme of the post office has the benefit of extension. This means that you will have the option to extend the period after maturity. You need to double the amount to get double the profit. In such a case, if the tenure of the scheme is 5 years, then it will be 15 years if the tenure is extended twice.
Here’s the calculation
If you invest Rs 5 lakh in fixed deposits, then you will get an interest of Rs 2,24,974 on this amount in 5 years at an interest rate of 7.5 per cent. Thus, the total amount will be Rs 7,24,974. But if you extend this scheme for 5 years, then only Rs 5,51,175 will be received as interest and after 10 years, your total amount will be Rs 10,51,175.
It has to be extended for another five years before it expires. As a result, only 10,24,149 rupees will be received as interest in the 15th year. After 15 years, a total of Rs 15,24,149 will be received along with the principal amount.