Best Investment Schemes: If you are thinking of investing and want to protect your money with good interest, then you can invest in government schemes. Post office schemes are a good option in these, where there are also money guarantees with better interest. The entire money invested in post office schemes is guaranteed to be 100 percent safe. Today we will talk about three of these schemes, where you will get the most interest. These schemes are Sukanya Samriddhi Yojana (SSY), Senior Citizen Savings Scheme (SCSS) and Public Provident Fund (PPF).
Sukanya Samriddhi Scheme (SSY)
Maximum Sukanya Samriddhi Yojana account is getting 7.6 percent interest annually. Under this scheme, accounts can be opened to protect the future of your child. In SSY, parents can open an account in the name of a girl up to the age of 10 years. Only one account will be opened in the name of a girl child. SSY account can start from a minimum of Rs 250. In this, a minimum deposit of Rs 250 and maximum of Rs 1.5 lakh has been fixed in a financial year. One can invest in Sukanya Samriddhi Scheme for a maximum period of 15 years.
Sukanya Samriddhi account can be closed only after the girl is 21 years old. However, normal premature closure is allowed when the child is 18 years of age and is married. After the age of 18, the child can do partial cash withdrawal from SSY account. Withdrawal limit is up to 50% of the balance in the account at the end of the last financial year, tax deduction up to Rs 1.5 lakh can be claimed under section 80C on the amount deposited in SSY. Apart from this, the interest on the deposits and the money received on completion of the maturity period is also tax free. In this way SSY is a tax saving scheme of ‘EEE’ category.
Senior Citizen Savings Scheme (SCSS)
The current interest rate on SCSS is 7.4 percent per annum. The maturity period of this scheme is 5 years. This account can be invested only once, which ranges from a minimum of Rs 1000 to a maximum of Rs 15 lakh. Under SCSS, a person 60 years or older can open an account. If someone is 55 years or more but less than 60 years old and has taken VRS, then he can also open an account in SCSS. But the condition is that he will have to open this account within one month of getting the retirement benefits and the amount to be deposited in it should not be more than the amortization of the retirement benefits. Under SCSS, the depositor can also keep more than one account at the joint with individual or his wife / husband. But together with all, the maximum investment limit cannot be more than 1.5 million.
Premature closure is allowed on the Cenium Citizen Savings Account, but the Post Office will not pay any interest on closing the account before the completion of one year. At the same time, after closing the account after 1 year of account opening, 1.5% of the deposit will be deducted, after 2 years, 1% of the deposit will be deducted.
After completion of maturity period, the account can be extended for another three years. For this, application has to be given within one year of the maturity date. Talking about tax, if your interest amount exceeds Rs 50,000 annually under SCSS, then TDS is deducted. However, investment in this scheme is exempt under Section 80C of the Income Tax Act. Nomination facility on SCSS, facility to transfer accounts from one post office to another, facility to open multiple SCSS accounts in a single office.
Public Provident Fund (PPF)
The current annual interest rate on a Post Office PPF account is 7.1 percent. The account can be started with a minimum of Rs 500. The current annual interest rate on the account is 7.1 percent. It is necessary to deposit minimum 500 rupees and maximum 1.5 lakh rupees in an account in a financial year. If the minimum annual amount is not deposited in the account, then the account becomes inactive and then activates again only after filling the previous balance, a charge of Rs 50 and an install. Also, if you want to take advantage of the entire interest of the month, then deposit it in PPF by the 5th of every month. Nomination facility at Post Office PPF, facility to open another PPF account in the name of Minor is available.
The post office PPF has a maturity period of 15 years and cannot be closed earlier. However, in select cases, it can be closed if required after completion of 5 years. These matters are as follows-
1. Account holder, his spouse or dependent children with a fatal illness
2. PPF account holder or dependent children for higher education
3. On account abroad of account holder.
Investment in post office PPF, interest on it and the amount received on maturity, all three are exempt from tax under the Income Tax Act. Post office PPF account can be extended in block of 5 years after completion of maturity period. For this, application has to be given within one year from the maturity date. On account extension, it can be continued with or without new deposit. Interest will continue to accrue on the existing balance.
After the completion of one year of post office PPF account and before completion of 5 years, it can be availed loan. Apart from this, it can also be withdrawn after the completion of 5 years of the account. Online deposit facility through intra operable netbanking / mobile banking at Post Office PPF, online deposit facility available from India Post Payments Bank Savings Account.