POST OFFICE TIME DEPOSIT SCHEME: Do you want to earn good interest while keeping your money safe, then the Post Office Time Deposit (TD) scheme can be the perfect option for you.
This government scheme not only protects your money but also gives good interest. Come, in this article, we tell you all the information about the Post Office TD scheme in detail.
Security with benefits
Among the many schemes run by the government, Post Office TD is an excellent small savings scheme. You can invest in it without worry because the Government of India operates this scheme. Also, this scheme gives guaranteed interest on your investment.
Who can open this account
Any Indian citizen can open a Post Office TD account. You can open this account alone or jointly with a maximum of three people.
Investment period and interest rates
You can invest in the TD scheme for four types of periods. The interest received for each period is different, as is clear from the table, for 5 years you get the highest interest of 7.5% per annum.
![Post Office TD](https://www.timesbull.com/wp-content/uploads/2024/05/Post-Office-RD-1-jpg.webp)
Minimum and maximum investment amount
A minimum of ₹1000 can be invested in a TD account, but this amount should be in multiples of ₹100. At the same time, there is no limit on the maximum investment amount.
Tax benefits
You also get the benefit of tax exemption in the Post Office TD scheme. If you invest for 5 years, then you can avail of tax deduction on investments up to ₹1.5 lakh under Section 80C of the Income Tax Act.
Premature withdrawal
You cannot withdraw the amount deposited in the TD account before six months. If you withdraw before six months, you will get interest equal to that of the Post Office Savings Account.
Understand with an example
Suppose you save ₹2778 daily and deposit a total of ₹10 lakh in a year. If you deposit this amount in a TD account for 5 years, then you will earn a total of ₹4,49,948 from interest alone. After five years, you will get a total of ₹ 14,49,948.