With nearly 155000 postal offices across India with financial services includes services like Savings and Postal Life Insurance (PLI) and Rural Postal Life Insurance (RPLI). Post Office Schemes promise to be secure, risk-free, and attractive providing easy investment option for every common man.
Indian Postal office provides following services:
1)Post Office Savings Bank Account (SB):
One can regularly deposit and withdraw from the account. Account owners are also given the cheque facility.
2)5-year Post Office Recurring Deposit account (RD):
A monthly investment option that has high return rates at the end of 5 years. One can also extend the accounting period. The account can be opened by cash/cheque and in case the account is funded through check, the date of deposit is supposed to be the date of cheque presentation.
3)Post Office Monthly Income Scheme (MIS):
This scheme is a fixed investment option that gives a monthly interest payment facility. A person can invest highest up to INR 4.5 lakh in this scheme, which also includes his share in joint accounts. When it comes to calculating share of each in person in a joint account, according to this scheme, each one gets an equal share.
4)15 year Public Provident Fund (PPF):
This policy will allow you sporadic deposits only up to a certain limit. The policy lasts for 5-year period linked with income tax immunities that are subject to evident conditions. Anybody can start an account with INR 100/- but has to deposit minimum of INR 500/- in a financial year and maximum INR 1,50,000/-
5)Post Office Time Deposits (TD):
These are fixed deposits for one, two, three to five years of time period. These services also give the facility to withdraw amount yearly with interest given at compounded rates. The account can be opened in the name of minor and a minor of 10 years and above age can open and also operate the account.
6)Senior Citizen Savings Scheme (SCSS):
It is a fixed investment for a senior citizen with 5 years of tenure. This regime can be extended at a higher rate of interest that is paid quarterly. According to post office services, an individual of the age of 55 years or more but less than 60 years who has retired on superannuation or under VRS can also open account subject to the condition that the account is opened within one month of receipt of retirement benefits and amount should not exceed the amount of retirement benefits.
7)5 years National Savings Certificates (NSC)(VII & IX) issue:
NSC VII issue comes under fixed investment option with 5 years tenure on certificates of a varied denomination. This scheme is crafted for Government employees, Businessmen and other salaried classes who are Income Tax assesses. There is no limit for investment and no tax reduction at the source. NSC IX issue comes under fixed investment option with 5 years tenure on certificates of a varied denomination.
8)Kisan Vikas Patra:
A saving certificate scheme where the amount invested is multiplied in 100 months. A certificate can be bought by an adult for himself or on account of a minor or by two adults. Kisan Vikas Patra can be acquired from any Departmental Post office. The certificate can be encashed in 2 & 1/2 years from the date of issue.
9)Sukanya Samriddhi Accounts
Savings account for your girl child. This will help you fund your girl child’s education and her marriage. A legal guardian or natural guardian can open an account in the name of Girl Child. Partial withdrawal, maximum up to 50% of the balance standing at the end of the preceding financial year can be taken after Account holder’s attaining age of 18 years. The account can be closed after completion of 21 years.
All these are the financial services that are provided by Indian Postal Services. Once you have invested in them you can easily manage them through EASY LIFE-PERSONAL FINANCE SOFTWARE. Visit our website and get your subscription now- http://goo.gl/PnSxbZ