Post Office SCSS Scheme: A Smart Saving Option for Senior Citizens
In today’s times, saving schemes are important not just for children but also for the elderly. This article provides information about one such scheme known as the Post Office Senior Citizens Savings Scheme (SCSS).
Post Office SCSS Scheme
Investing in the Post Office SCSS Scheme can offer you good returns. Currently, this scheme offers an annual interest rate of 8.2%, which is higher than most bank Fixed Deposits (FDs). This scheme is specifically designed for senior citizens.
The money invested in this scheme is completely safe, and it offers attractive returns. Recently, the interest rate for the Senior Citizens Savings Scheme has been increased.
Start Investing with Just ₹1000
To invest in this scheme, you need to deposit a certain amount for a fixed period. The minimum investment required is ₹1000, and you can invest up to a maximum of ₹30 lakhs.
With an annual interest rate of 8.2%, the returns are quite appealing. For comparison, senior citizens receive a 7.50% interest rate on a 5-year FD in SBI Bank. This shows that the Post Office SCSS Scheme offers a better interest rate.
Beneficial for Retired Citizens
All retired individuals can benefit from this scheme to ensure financial stability post-retirement. Any person aged 60 or above can open an account, either individually or jointly with their spouse.
Maturity Period of 5 Years
If you open an account under the Post Office SCSS Scheme, the maturity period is 5 years. This means you need to invest your money for 5 years. However, if you need funds urgently, you can close the account prematurely, though a penalty will be applied.
Earn ₹20,000 Monthly on Your Investment
As mentioned, you can start investing in the Post Office SCSS Scheme with ₹1000, and the maximum investment allowed is ₹30 lakhs.
For an investment of ₹30 lakhs, at an 8.2% interest rate, you would earn an annual interest of ₹2.46 lakhs. This translates to a monthly income of approximately ₹20,000 from the interest. This way, you can earn a steady monthly income from your investment.