We should start to save money as soon as we start earning. If we have to save from the beginning of our career then there is no better option than saving a certain amount of money every month in a recurring method. Saving money in the recurring method means that every month you will deposit a certain portion of your income and earn interest on that accumulated money.
Benefits of Post Office Recurring Deposit
The advantage of a recurring deposit is that you do not have to invest a large amount of money at once like a fixed deposit. You can invest a certain amount of money every month as per your convenience. Further, when we say recurring deposit, the first thing that comes to our mind is post office. There are three main reasons for this – first, in most cases the post office is nearer from our home than the bank. Second, it is much easier to open a recurring deposit account at the post office than a bank. The biggest reason is the interest rate. The interest rate in post office recurring accounts is much higher than that of banks.
Hello friends, welcome to our blog Earn Money Bangla. In this post we are going to discuss about Post Office Recurring Deposit Account in details.
What is Post Office’s Recurring Deposit Scheme ?
The Post Office Recurring Deposit Scheme is a small savings scheme of the Government of India. With this scheme you can earn interest by depositing a certain amount of money every month. All the details about this, has been discussed below.
Who can open a Recurring Deposit Account in Post Office ?
- Any Indian citizen.
- joint account may be opened by maximum of three Indian citizens.
- A guardian on behalf of a minor.
- A guardian on behalf of a mentally unsound person.
- A minor of the age of above 10 years can open a Recurring Deposit account in his own name at the post office.
How many Recurring Deposit accounts can be opened at the post office?
- An individual can open as many Recurring Deposit accounts as He/ She wants. There is no restriction on the number of Recurring Deposits opening.
For how many years money can be fixed in Recurring Deposit Account at Post Office?
- Money can be deposited in Recurring Deposit account of post office for 5 years. The Recurring Deposit of the post office matures after 5 years of the opening the Recurring deposit.
Post Office RD Interest rate 2023
- At present, the interest rate on post office Recurring Deposits is 6.2%.
- This interest is payable on a quarterly basis. That means interest will be added to your recurring account at the end of March, June, September, and December.
Post Office Recurring Deposit Calculator
- If you deposit Rs.10,000 per month in the Recurring Deposit of post office, at the above interest rate, then after 5 years your deposit will be increased to Rs.6,96,960.
How much money is needed to open a recurring deposit account at the post office?
- Recurring deposit can be opened with a minimum of 100 rupees.
- You can deposit as much as you want.
How to deposit money in post office recurring deposit?
- If your Recurring Deposit account is opened before the 15th of the month, then you need to deposit money before the 15th of every month.
- If your Recurring Deposit account is opened after the 15th of the month, you need to deposit money within the last working day of each month.
- Further, if you want, you can deposit money in the recurring deposit account in advance instead of every month. For this you will also get rebate from post office.
Maturity Period of Recurring Deposit Account at Post Office
- The money deposited in the Post Office Recurring Deposit Account matures in 5 years or 60 months after opening the Recurring Account.
Can time limit of Post Office Recurring Deposit Account be extended after maturity?
- Once the recurring deposit account matures, you can extend the term of your recurring deposit account for another 5 years.
- During this extended period, you will receive interest at the rate at which you previously received interest on your recurring deposit account.
- Recurring deposit account can be closed at any time during this extended period.
Can recurring deposit account be closed before maturity?
- You can close your Recurring Deposit Account after 3 years of opening the Recurring Deposit Account.
Some Extra information about Recurring Deposit Account at Post Office
- You can also take a loan from your recurring deposit account.
How to open Recurring Deposit Account at Post Office ?
- Step 1: – Collect the application form for opening Recurring Deposit Account from your nearest Post Office.
- Step 2: – Fill in all the information in the application form.
- Step 3: – Arrange the documents that will be required while submitting the application form. These documents are –
- Aadhaar card
- PAN card
- Two copies of passport size photo.
- Step 4: – Then submit these at the counter, along with the amount of money you want to deposit. After this your recurring deposit account will be opened at the post office.
I hope you find this post useful. If you have any questions or queries about this post or regarding any financial matter, please comment or email us at our email id: – [email protected]. If you like the post, please share it with others and let others know.
ALSO READ: –
Post Office Fixed Deposit Scheme | Post Office FD Interest Rate 2022 | Post Office FD Account, 2022
Post Office Interest Rates | Post Office Interest Rates Table 2022 | Interest Rates of Post Office Schemes, 2022
CRED App | CRED Benefits, how to register | CRED Customer Care