If you have extra money and you are thinking of investing this money in some good place, then keep two things in mind. First your money is safe and second you get guaranteed returns. Both these objectives can be fulfilled in the small savings schemes of the post. It depends on the situation which plan will be better for you. Post office small savings schemes can provide good and guaranteed returns. Your money will also be safe in this. In fact, sovereign guarantee is given on the money that will be deposited in any scheme of the post office. Here we will give you information about that post office scheme, in which you will get interest of Rs 6 lakh in just 5 years.
What is the scheme
National Savings Certificate (NSC) is one of the many post office schemes. This scheme can give you more interest than FD. At present, 6.8 percent interest rate is being offered on the post office’s NSC scheme. At this time you will find such interest rate difficult on FD in any big bank. Keep in mind that the money you invest in NSC will keep adding interest annually, but you will get paid at the same time on maturity.
How long will the investment last
The maturity period of NSC scheme is 5 years. But if you wish, after maturity, you can extend your investment for another 5 years. At this time you will get NSC in the rate of Rs 100, Rs 500, Rs 1000, Rs 5000 and Rs 10,000. You can invest in NSC by buying as many certificates of varying value as you want.
You have to invest at least Rs 100 in NSC. Because the cheapest NSC is available at this rate. When it comes to maximum investment, there is no limit. Under Section 80C of the Income Tax Act 1961, NSC investors get tax exemption on investments up to Rs 1.5 lakh annually. That is, it is a tax saving option
This way you will get interest of Rs 6 lakh
An investor has to invest Rs 15 lakh in NSC to get interest of Rs 6 lakh. Now, according to the interest rate of 6.8 percent, the investment amount of that investor will become Rs 20.85 lakh in 5 years. That is, he will get interest of about Rs 6 lakh in 5 years only.
Know more about NSC
National Savings Certificate, commonly known as NSC, is a savings bond of the Government of India, mainly used for small savings and income tax savings investments in India. This is a post office savings scheme. These can be purchased by an adult (either in his own name or on behalf of a minor), a minor, a trust or two adults jointly, from any post office in India. These are issued for maturities of five and ten years and can be mortgaged with banks to avail loans.