Post Office RD Yojana: There are some savings habits that quietly change our future. One of them is the Recurring Deposit (RD). For families who want safe, fixed, and predictable returns, the Post Office RD Scheme is a trusted option. You don’t have to invest a big lump sum at once just a small amount every month, and slowly it grows into a large fund. Now imagine you decide to put aside ₹9,000 every month for the next 5 years. By the end of the tenure, this small monthly saving will turn into ₹6,42,291. Let’s break it down in the simplest way possible.
Interest Rate in Post Office RD
At present, the Post Office RD scheme offers an interest rate of 6.7% per annum, compounded quarterly. The tenure is fixed at 5 years. That means once you open the account, you keep depositing every month, and the money keeps growing with interest.
Post Office FD Scheme: Invest ₹4 Lakh and Get ₹5,79,979 Full Calculation and Details
₹9,000 RD Calculation for 5 Years
Here’s the detailed calculation of depositing ₹9,000 every month for 60 months:
| Monthly Deposit | Duration | Interest Rate | Total Deposit | Interest Earned | Maturity Amount |
|---|---|---|---|---|---|
| ₹9,000 | 5 Years (60 months) | 6.7% | ₹5,40,000 | ₹1,02,291 | ₹6,42,291 |
So, even though you put in ₹5.4 lakh from your own pocket, the scheme adds about ₹1.02 lakh as interest. At the end of 5 years, you get ₹6.42 lakh safely in your hands.
A Real-Life Example
Think of Seema, a working mother from Kanpur. She decided to open an RD of ₹9,000 every month when her son entered 8th standard. She didn’t even realize when it became a habit, just like paying electricity bills. After 5 years, when her son was ready for college admission, she had more than ₹6.4 lakh ready. That lump sum gave her peace of mind no need for loans, no stress about expenses. This is the real power of RD it’s not flashy, but it builds a strong backup when you need it most.
Benefits of Post Office RD
The biggest advantage is safety. Since it’s backed by the Government of India, your money is secure. The scheme also allows small investors to build a fund without feeling the burden of one-time investment. You can start with even ₹100, so it’s accessible to everyone.
Drawbacks You Should Know
The drawback is that the returns are limited compared to high-risk investments like mutual funds or stocks. Also, the interest earned on RD is taxable. So while it’s safe, it may not give very high growth after tax and inflation.
Conclusion
If you deposit ₹9,000 every month in a Post Office RD scheme for 5 years, you’ll invest ₹5.4 lakh and get back about ₹6,42,291 at maturity. It’s a safe and reliable way of saving, perfect for people who want guaranteed returns without risk. The habit of small monthly savings can give you big support in the future.
Disclaimer
This article is meant for educational and general knowledge purposes only. Interest rates in the Post Office RD scheme are reviewed by the government from time to time. Please check the latest details with your nearest post office before investing.