The Post Office operates savings schemes for various age groups and categories. While providing generous returns, it also ensures the safety of your investment. One of these special schemes is the Post Office Monthly Income Scheme which provides income to investors on a monthly basis. In this case, if you are planning to start investing during Diwali, then this might be a better option.
The interest rate is 7.4%
The returns on this monthly income plan from the Post Office are also very good. The government provides 7.4% interest for the scheme. The most important thing about this plan is that by investing in it, the tension of your monthly income ends. The duration of this government scheme is 5 years and funds can be withdrawn from the account one year after opening. Here you can open an account with just Rs 1000.
You can invest up to Rs 9 Lakhs
The investment limit for account holders investing under the Post Office Monthly Savings Scheme (POMIS) is Rs 9 lakh. If we talk about joint accounts, the maximum limit has been fixed at Rs 15 lakh. Let us tell you that this limit was raised and implemented only last year on April 1, 2023. It is a single investment plan under which you can arrange a guaranteed income for yourself every month once you invest.
Ending the program was a losing deal.
In this plan, you cannot close your account for one year after opening it. If you close your Post Office Monthly Income Scheme account three years ago, there is a 2% fee, while if you close your account after three years and five years ago, there is a 1% fee. .
Monthly income calculation
In this plan of the post office, the monthly income is guaranteed through a lump sum investment and if you calculate the monthly income, then if you invest Rs 5 lakh for five years, then you will get an interest rate of 7.4%. From the interest received therefrom, there will be an income of Rs 3,084 per month. And if we consider the maximum limit for individual account holders, which is Rs 9 lakh, then the monthly income will be Rs 5,550. In addition to monthly, you can also access this interest income quarterly, semi-annually, or annually.
Opening an account in this scheme is easy
Opening an account under Monthly Income Scheme (MIS) is very simple. To do this, you can go to the nearest post office and submit your application along with the necessary documents to the post office. Applicants can collect the account opening form from the post office and submit it along with the KYC form and PAN card. If you are a joint account holder, you must also submit KYC documents. Also, please remember to enter all information correctly when filling out the account opening form.
