PPF great scheme: If you are one of those investors who are looking for an investment option without any risk, then here is a wonderful savings scheme for you. You can invest in Post Office Small Savings Scheme which has high returns with no risk factor involved.
The account for this scheme can be opened even with Rs.100. One such post office small savings scheme is Post Office Public Provident Fund which has a maturity period of 15 years.
Post Office Public Provident Fund is a better option for long term investment. In this scheme, investors will be given a return of more than 7 percent. In this scheme, you can invest up to Rs 1.5 lakh in a year i.e. up to Rs 12,500 every month. In such a situation, if you want to earn in lakhs, then you should know how much you have to invest every month and for how long.
How to get 40 lakh rupees
In this savings scheme, India Post offers an annual interest of 7.1%. As per calculation, if you invest Rs 12500 for the month then you will earn Rs 40,68,209 on maturity after 15 years. The total investment in this scheme will be Rs 22.5 lakh and the interest will become Rs 18,18,209.
Rs 500 to Rs 1,50,000 can be invested in this scheme during a financial year. Any Indian citizen above the age of 18 years can open this PPF account. Interestingly, exemption is also given under section 80C of the Income Tax Act.
These are the advantages of the scheme as well…
- In this scheme you can claim the maturity payment by submitting the account closure form along with the passbook at the post office.
- In this plan, you can withdraw once a year or take full payment anytime.
- Also, you can extend the investment limit for another five years.
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