Post Office Scheme: Elderly people often want to keep their money in a secure place. They like to invest in a place where their money is safe and also gets good interest. Often they remember the bank’s fixed deposit (FD). But do you know that the post office runs a scheme in which interest is higher than bank FD?
SCSS, Special scheme for elderly people
Post Office Senior Citizen Savings Scheme (SCSS) is an excellent investment option for the elderly. In this scheme there is no risk of losing money and the returns are also very good. This scheme is for 5 years, in which you deposit money and later get it back with interest.
Who Can Invest?
- Any Indian of 60 years of age or older can invest in this scheme. To open an account rs 1000 is a lot. You can maximum deposit up to Rs 30 lakh.
- More Interest, More Profit
The biggest specialty of this scheme is its high interest. Here you get 8.2 percent interest per annum, which is more than bank FD. For example, if you deposit Rs 15 lakh for 5 years, you will get a total of Rs 21,15,000. That is, only Rs 6,15,000 as interest!
Tax exemption and other benefits
- Investing in SCSS also gives you tax exemption. You can save tax on investments up to Rs 1.5 lakh. If you want to extend this scheme for 3 years even after 5 years you can.
- Precautions and suggestions Although this scheme is very beneficial, it is still important to keep some things in mind:
- Only for the old Peoples: Remember, this scheme is only for people who are above 60 years.
- Need for money: If you may need money urgently, keep in mind that this money will be locked for 5 years.
- Changes in interest rates: Interest rates may change from time to time, so check the current rates before investing.
Post Office Senior Citizen Savings Scheme is an excellent investment option for the elderly. It is not only safe but also gives good returns. If you or any elderly person in your house, then definitely think about this scheme. It can make your retirement days financially secure and comfortable.