Post Office best scheme for investment:
In the era of Corona crisis, most of the people are worried about their savings. Apart from this, they are thinking that where to invest their money, where not only their principal is safe but they get better returns on it. The most worrying senior citizens are about their investment because they are in a state of life where they cannot take many risks, so they choose a relatively safe option. They have many options for a safe investment, but if we talk about better returns, the post office has come up with a much better option, Senior Citizen Saving Scheme (SCSS). The special thing about this scheme is that it gives more returns than FD.
Benefits of SCSS Scheme
In this scheme started for senior citizens, an investment of Rs 5 lakh for 5 years gives a return of Rs 6,85,00. In this way, the investor is getting a profit of Rs 1,85,000 on an investment of Rs 5 lakh in just 5 years. When compared to FD, SBI is paying 5.75 per cent interest on it. In this way, FD will get a lower return of 50 thousand rupees than SCSS. Talking about tax, TDS is deducted on the interest of more than 50 thousand rupees per annum, but the investment is exempted under section 80C of Income Tax Act.
Who can invest in SCSS?
Only Indian citizens above the age of 60 years can open an account in Senior Citizen schemes, however, those who have taken VRS can open the account in this scheme before the age of 60 years. Apart from this, Individuals can hold more than one account in joint or joint with their spouse, but altogether the investment should not be more than 15 lakhs.
How much can I invest?
The minimum investment amount for opening an account is Rs 1000 and a maximum of Rs 15 lakh. However, the amount invested should not be more than the number of retirement benefits. Investments of more than Rs 1 lakh will not be paid in cash but will have to be given checks.
The maturity period under this scheme is 5 years but even after maturity, it can be extended for 3 years. There is a charge to close the account before the maturity period. An investor has to pay a 1.5 percent fee for closing the account after one year of investment.
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