If you want to invest your hard earned money in an option where not only the capital is safe, but also gets good returns on it – then Post Office Savings Schemes can be a great solution. Especially in times of market volatility, government-backed schemes emerge as a strong foundation of stability and trust. A strong name among these schemes is the National Savings Certificate (NSC) – which has long been popular among investors and has now become the center of attraction again.
7.7% compound interest – Great returns with safe investment
The NSC scheme is currently running at 7.7% annual interest rate, compounded over a lock-in period of five years. Investment in this scheme can be started from a minimum of ₹1,000 and there is no limit to the maximum investment. Best of all, the interest is compounded every year and finally compounded – making the returns much higher.
Profit of around 5 lakhs in 5 years – Know how
if an investor invests ₹11 lakh lump sum, then after 5 years the maturity amount reaches ₹15.93 lakh. That is a total interest of around ₹4.94 lakh – that too without any risk. It is an ideal option for those who want safe and stable returns in the long term.
Double Benefit of Tax Exemption
Another major benefit of this scheme is that investment in NSC also gets tax exemption of up to ₹1.5 lakh under Section 80C. This means that you are not only earning good returns, but can also save on income tax every year.