Post Office Recurring Deposit calculation for Rs 1000, Rs 5000 and Rs 10,000 per month: Post Office RD scheme is currently offering an interest rate of 6.2% to depositors (with effect from April 1, 2023). The minimum investment allowed in this scheme is Rs 100 per month or any amount in multiples of Rs 10. There is no maximum limit on the amount you can invest in this scheme.
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Deposits in the Post Office RD scheme mature in 5 years (after 60 monthly deposits) from the date of opening the account. Accountholders are allowed to extend the account by another 5 years by submitting an application at the concerned post office, according to the Post Office website.
Post Office RD calculation for Rs 5000/month contribution
Calculation shows that a monthly contribution of Rs 5000 towards the Post Office RD scheme will result in a corpus of Rs 3.52 lakh in 5 years. If you extend the account by another 5 years, the total corpus will be Rs 8.32 lakh in 10 years.
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Post Office RD calculation for Rs 1000/month contribution
Calculation shows that a monthly contribution of Rs 1000 towards the Post Office RD scheme will result in a corpus of Rs 70,431 lakh in 5 years. If you extend the account by another 5 years, the total corpus will be Rs 1.66 lakh in 10 years.
Post Office RD calculation for Rs 10000/month contribution
Calculation shows that a monthly contribution of Rs 10,000 towards the Post Office RD scheme will result in a corpus of Rs 7.04 lakh in 5 years. If you extend the account by another 5 years, the total corpus will be Rs 16.6 lakh in 10 years.
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Who can open Post Office RD account?
Post Office RD account can be opened by an individual, jointly (up to 3 adults, or by a minor above 10 years. If the depositor fails to make the subsequent deposit prescribed for a month, the default charge per Rs 100 is Re 1. The account is discontinued after four regular defaults.
The interest applicable on the extended account is the same rate at which the account was originally opened. Depositors are allowed to close the extended account at any time during the period of extension. For each completed year of an extended account, the RD interest rate will be applicable. However, for a period of less than a year on an extended account, the post office savings account interest rate will be applicable, according to the Post Office website.
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Banks offer better RD rates
The RD interest rates offered by leading banks at present are higher than the Post Office RD rate. For instance, SBI is offering an RD rate of up to 7.1% while HDFC Bank is offering up to 7% interest rate for General Citizens. Banks also allow RDs of shorter tenures of 1 to 5 years.
