Are you thinking about investing your money in a risk-free and reliable way to grow your savings? Then, go ahead; consider the Post Office recurring deposit (RD) scheme 2025, which offers guaranteed returns without risks- it is a boon for disciplined savers. Invest as little as INR 1000, 2000, 5000, or go as high as INR 10,000 every month in this government-backed schem,e and you will have built lakhs of rupees worth of savings in just over 5 years!
Post Office RD Scheme is an attractive long-term savings scheme that attracts individuals with an annual simple interest credit of 6.7% a year and quarterly compounding. Feasible for salaried professionals, small business owners, and homemakers, this scheme will help turn savings into a big corpus gradually.
What is the Post Office RD Scheme?
The Post Office RD Scheme is a very simple but long-term savings plan where you have to deposit a certain lump sum fixed amount every month for 5 years (5-years). At present, it gives you 6.7% interest pa, compounded quarterly.
Because it is being backed by the Government of India, your investment is 100% secure and absolutely cannot ever be lost. Now this scheme is very much suitable for people looking for bubble-like market risk-free fixed returns.
How Much Can You Earn?
Your returns depend on your monthly investment. Here’s a breakdown of how much you can accumulate in 5 years:
- Monthly Investment: ₹1000
- Total Deposit: ₹60,000
- Maturity Amount: ₹71,000 (approx.)
- Monthly Investment: ₹2000
- Total Deposit: ₹1,20,000
- Maturity Amount: ₹1,42,732 (approx.)
- Monthly Investment: ₹5000
- Total Deposit: ₹3,00,000
- Maturity Amount: ₹3,56,830 (approx.)
- Monthly Investment: ₹10,000
- Total Deposit: ₹6,00,000
- Maturity Amount: ₹7,13,660 (approx.)
The best part? These returns are guaranteed, thanks to the government’s backing and quarterly compounding.
Key Benefits of the Post Office RD Scheme
- Risk-Free Investment – Backed by the Government of India, ensuring complete safety.
- Guaranteed Returns – Fixed interest rate of 6.7% per annum with quarterly compounding.
- Flexible Investment – Start with as low as ₹100 per month and increase as per your convenience.
- Encourages Financial Discipline – Helps you develop a habit of regular savings.
- Extension Option – After 5 years, you can extend the RD for another 5 years.
How to Open a Post Office RD Account?
Opening an RD account is simple and hassle-free. Just follow these steps:
- Visit your nearest post office and collect the RD application form.
- Submit the required documents:
- Aadhaar Card (Identity Proof)
- PAN Card (for tax purposes)
- Bank Passbook or Account Statement
- Passport-Sized Photograph
- Deposit the initial amount and set up your monthly contributions.
Once your account is active, ensure you deposit the fixed amount every month to maximize returns.