The individuals looking for investment opportunities must know that with National Savings Time Deposit Account(TD), they can earn up to 6.7 per cent interest for a time of five years.
Term Deposit Interest Rates: The individuals looking for investment opportunities must know that with National Savings Time Deposit Account(TD), they can earn up to 6.7 per cent interest for a time of five years. The interested individuals can login to the official website of India Post at indiapost.gov.in for details.
“For a 5 year Time Deposit Account, you can earn as much as 6.7 per cent interest,” India Post has recently tweeted from its official Twitter handle.
Term Deposit: Minimum balance and interest rate
The minimum balance required for the opening of the account is Rs 1000 and there is no maximum limit.
The interest rates for different periods are as follows:
1yr.A/c – 5.5%
2yr.A/c – 5.5%
3yr.A/c – 5.5%
5yr.A/c – 6.7 %
Term Deposit: Who can open account?
The interested individuals must know certain details about who can open the account. These are as follows:
i) a single adult
ii) Joint Account (up to 3 adults) (Joint A or Joint B)
iii) a guardian on behalf of minor
iv)a guardian on behalf of person of unsound mind
v) a minor above 10 years in his own name.
Term Deposit: What you need to know?
There are certain important pointers about the deposits that the interested investors must know. These are as follows:
1) The interest shall be payable annually, No additional interest shall be payable on the amount of interest that has become due for payment but not withdrawn by the account holder.
2)The annual interest may be credited to the savings account of the account holder by submitting application.
3) The investment under 5 year TD qualifies for the benefit of section 80C of Income Tax Act, 1961.
Term Deposit: Repay, maturity and extension
The deposit amount shall be repayable after expiry of 1 year, 2 year, 3 year, 5 year (as the case may be) from the date of opening.
On maturity, the depositor may further extend TD account for another tenure for which account was initially opened. There are certain points that the depositors must keep in mind in this respect. These are as follows:
1) The TD account can be extended from date of maturity within the following prescribed period.. 1 year TD = within 6 months of maturity. 2 year TD = within 12 months of maturity. 3/5 year TD = within 18 months of maturity.
2) At the time of opening of account depositor can submit request for extension of account from the date of maturity.
3)The TD account can be extended after maturity by submitting prescribed application form at concerned Post Office along with passbook.
4) The interest rate applicable to respective TD account on the day of maturity shall be applicable to the extended period.
In case of further details, the interested depositors can login to the official website of India Post at indiapost.gov.in.
