Various beneficial schemes are offered by the post office to keep your money safe. It also gives more benefits than any other sources. Post office schemes are a safe, time-tested and secure investment option. A small saving of just Rs 100 can make you a millionaire in a few years.
Post office schemes are available for a wide range of investors, including a girl child and they offer guaranteed returns as they are backed by the Government of India. Nowadays, most of the schemes also offer tax benefits up to Rs 1.5 lakhs upon investment.
If you want to get big returns by investing a small amount in a post office scheme, then we have got you covered. You can earn Rs 20 lakhs in five years by just investing Rs 100 through the National Saving Certificate (NSC) scheme.
What is National Saving Certificate and its benefits?
A time-tested plan offered by India Post, NSC is a fixed income investment scheme. You can open the NSC scheme with any post office branch and it is a Government of India initiative, making it a safe option. NSC is a savings bond and encourages mainly small to mid-income investors to invest while saving on income tax.
If you want to earn a huge sum of money in a few years, then you can opt for NSC and your money will be completely safe in the post office. You can invest the money without any risk in NSC and the maturity period of the scheme is fixed for five years.
However, if you want, you can withdraw the money within a year, but certain conditions are applied. The government sets the interest rates at the beginning of every quarter of the financial year.
How much should you invest and what is the interest rate?
You can start investing in this scheme with just Rs 100 per month. The scheme offers an interest rate of 6.8 per cent per annum annually and you can also get tax exemption of Rs 1.5 lakhs under Section 80c of the Income Tax Act.
If you want to earn an amount of Rs 20.58 lakhs after a span of five years at an interest rate of 6.8 per cent, then you will have to invest Rs 15 lakhs over a period of five years and you will earn a profit of Rs 6 lakh as interest.