New Delhi, Nov, 23: India Post has several investment schemes that can help a person with mid-range savings get maximum return on their investments. In another such scheme of the Post Office, you can now double your money in a fixed time period of around 10 years.
The Post Office Kisan Vikas Patra scheme, which is available across all the branches of India Post, has the aim of doubling the investor’s money. This small savings scheme backed by the central government can double your investment in the span of 124 months, which is a little of 10 years.
The current interest rate of the Kisan Vikas Patra scheme is 6.9 percent. The maturity period of the investment is 124 months, as per the official website of India Post, and people who wish to avail of this scheme can do so with a very small investment amount.
People interested in the Post Office Kisan Vikas Patra scheme can begin with an investment of as little as Rs 1000. There is no upper limit to the investment amount. Any Indian citizen above the age of 18 can open a KVP scheme account. Minors can also do so by opening a joint account with an adult.
A maximum of three persons can be a part of the Post Office KVP account, and an individual can open as many KVP accounts as they want. The rate of interest on the KVP account was recently reduced from 7.6 percent to 6.9 percent, due to the COVID-19 pandemic.
The Kisan Vikas Patra scheme is a risk-free investment option, as it guarantees a fixed return and doesn’t depend upon the market prices. The investor is sure to get the fixed interest on their investment and can avail the doubled money at the end of the tenure.
Investors must note that the returns of the Post Office KVP scheme are totally taxable, but Tax Deducted at Source (TDS) is exempt from withdrawals when the maturity period ends. The KVP scheme doesn’t come under the ambit of the 80C deductions.
This scheme was initially launched by the Post Office to uplift farmers who don’t have enough savings to get enough money for a rainy day. This scheme is now open to all investors, and there is no cap on the maximum amount of money to be deposited.