New Delhi. In today’s uncertain economic times, everyone wants to invest their hard-earned money in a place where along with bumper returns, complete security of money is guaranteed. Even today, the savings schemes of the Indian Post Office remain the biggest symbol of trust for investors who want to avoid the ups and downs of the stock market and risk. In these, fixed and excellent interest is available with 100% guarantee of government security. If you also want to grow your money faster without any risk, then ‘Post Office FD Scheme’ can prove to be a great and safe option for you.

What is Post Office FD (Time Deposit) Scheme?

Fixed Deposit (FD) in post office is officially known as ‘Time Deposit Scheme’. Its functioning is exactly like any normal bank FD, in which after a fixed time limit, investors get their entire principal amount back with a fixed interest rate. The biggest advantage of this scheme is that it comes directly under the control of the Government of India, hence the risk of losing money in it is zero. Under this scheme, you can invest your money safely as per your convenience for a period ranging from 1 year to 5 years.

These great interest rates are available according to the tenure

In the Post Office Time Deposit Scheme, very attractive interest rates are offered to investors on the basis of different tenures. Currently, if you invest for 1 year, you get a whopping 6.9 percent interest. At the same time, returns of 7.0 percent are given on FD with a tenure of 2 years and about 7.1 percent on deposits of 3 years. But if you want to earn maximum profits, then a period of 5 years will be most suitable for you. Maximum bumper interest of up to 7.5 percent is available on 5 year time deposits. This is the reason why this scheme is most attractive to people who want to make long term investment.

On depositing Rs 1 lakh, you will get such a huge fund at maturity.

Let us understand this with an easy example. If an investor invests a lump sum of Rs 1 lakh in the Post Office’s 5-year time deposit scheme, he will get back around Rs 1,44,995 on maturity at an excellent interest rate of 7.5 percent. This simply means that the investor will get a fixed and guaranteed profit of Rs 44,995 only in the form of interest. This is a surefire way to grow your savings without any market risk. The best thing about this scheme is that whether it is a senior citizen or a common citizen, equally strong interest is given to investors of all age groups, so that everyone can take full advantage of it.