Best Post Office scheme: Return in Crores!!

Sowmiya Sriram
Best Post office scheme: Return in Crores!!
One of the best investment schemes with only lesser risks is the PPF(Public Provident Fund) of the post office. For a long-term investment, this scheme is very effective in giving a big corpus. This scheme is not affected by the market fluctuations which makes it less risky and the interest rates of PPF are fixed by the government and also reviewed quarterly.

Currently, the government is offering us 7.1% interest annually in this PPF scheme. The PPF account can be opened at any post office or bank branch. The minimum amount needed for the account to be opened is Rs. 500. Annually Rs 1.50 lakh can be deposited. The maturity period of this scheme is 15 years. This can also be extended in the bracket of 5 years.

 For example, If we deposit Rs 12,500 in our PPF account every month for 15 years, we will get a total of Rs 40.68 lakh at maturity. Rs 18.18 lakh comes as an interest to it. This calculation is made by having 7.1% interest. To get returns in crores, we need to increase this investment twice after 15 years. The investment tenure will be 25 years. After an investment in 25 years, we will get a corpus of Rs 1.03 crore. This earns an interest of Rs 65.58 lakh. After maturity, this account cannot be extended.

 It can be extended only after applying a year earlier before maturity. The advantage of the PPF scheme is its tax benefits and the interest earned from this is also tax-free.
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