Invest Rs 100 a day: Post Office RD scheme offers loan & extension benefits

Secure your financial future with minimal risk through the Post Office RD scheme. Save Rs 100 daily in the Post Office RD scheme and earn lakhs in 5 years.

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Rs 100 Daily Savings Plan

If you're looking to secure your financial future with minimal risk, the Post Office Recurring Deposit (RD) scheme is a smart choice. Designed for people who want to grow their money through small monthly savings, this government-backed scheme ensures guaranteed returns. You can start investing with just Rs 100 a day.

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Post Office Savings Scheme

This adds up to Rs 3,000 per month. Over 5 years, this simple habit will significantly grow your savings while keeping your money safe. The Post Office RD scheme offers a 5-year investment period with a 6.7% annual interest rate. If you save ₹100 daily, you'll deposit Rs 1,80,000 in 5 years. With approximately Rs 34,097 in interest, your total maturity amount will be around Rs 2,14,097.

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Get Rs. 2.14 lakh in 5 years

This scheme acts like a disciplined piggy bank, where your money grows without much effort. It's ideal for folks who want stable returns without the risks of market-linked products. One notable feature of this RD scheme is the loan facility. After 12 monthly deposits, you can borrow up to 50% of your deposited amount.

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Loan facility available

This loan can be repaid in a lump sum or through installments. However, the interest on the loan is 2% higher than the RD rate, providing a helpful but controlled borrowing option during financial emergencies. Furthermore, the RD account can be extended beyond its 5-year term. The same interest rate you started with continues during the extension period.

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Recurring Deposit Scheme

You can close the extended account anytime. Interest will be calculated based on the RD rate for the number of completed years, and for additional months, the Post Office Savings Account rate (currently 4%) applies. If you need to close the account prematurely, you can do so after three years. But even if the account is closed one day before 5 years, interest will only be at the savings account rate.