POST OFFICE
TERM DEPOSIT
&
RECURRING
DEPOSIT
KARTHIK HARI
AM.AH.P2COM23006
POST OFFICE TERM
DEPOSITS(POTD)
• A post office term deposit is a savings account
with a fixed lock-in period and interest
payments.Its a low-risk investment backed by the
Government of India.
• It usually ranges from 1 year to 5 year.
• It suits for those with short-term financial goals.
• Senior citizens and retired people are mainly
benefited from these plan.
• It provide an Income generation plan.
TENURE OPTIONS
• 1 Year
Interest rate - 6.9%
• 2 Year
Interest rate – 7%
• 3 Year
Interest rate – 7.1%
• 5 Year
Interest rate – 7.5%
KEY
F E AT U R E S
• Deposits under post office time deposit schemes can have
tenure of 1, 2, 3 or 5 years, and only one deposit can be
made in one account
• The time deposit accounts can be easily transferred from
one post office to another
• Time deposit accounts can be either solely operated or
jointly held
• Account holders can extend the duration of a time deposit
account upon its maturity
• Minimum deposit required to invest in the Post Office Time
Deposit scheme is Rs. 1,000. (deposits must be made in
multiples of Rs 100)
• Post Office Time Deposit Scheme provides
guaranteed return on investment
• 5 Year Time Deposits qualify for tax deduction under
Section 80C of the Income Tax Act
• Even minors aged 10 years and above can operate
A D V A N TA the account by themselves
GES • Nomination facility is available
• The investments are quite flexible and be made with
an amount as low as Rs. 1,000 and with no maximum
investment limit
• Accounts can easily be transferred from one post
office to another
• All resident Indians can open and
operate this account either singly
or jointly (up to 3 adults)
• A minor aged 10 years or more
can open and also operate this
account
• A parent/guardian can open a Post
Office Time Deposit account on
behalf of a minor or on behalf of
person of unsound mind
ELIGIBILITY • Non-resident Indians are not
allowed to open a Post Office TD
CRITERIA account
RECURRING
DEPOSITS(RD)
• It is a type of savings scheme that allows individuals to
invest a fixed amount regularly over a specific tenure,
earning guaranteed returns at a predetermined interest
rate.
• It is ideal for those who want to develop a disciplined
saving habit and accumulate a lump sum over time.
• Investors can thus choose a minimum amount to be
invested every month over the term for assured wealth
generation.
• RD has a fixed tenure of 5 years.
K E Y F E AT U R E S
• Available in flexible tenure options ranging from 6 months to 10 years.
• Rate of interest is between 5%-8%
• Minimum deposit is 10 Rs.
• Account Can be opened individually, jointly, or on behalf of a minor.
• At the end of 5 years, the deposited amount along with
compounded interest is paid to the account holder.
9
• 18+ years old Indian Nationals.
• 10+ years old (Minors)
• Parents or guardians who wish to
open and operate the account of
a minor on their behalf.
• A 10+ years old Minor can
operate their account jointly with
their guardian. There is no option
ELIGIBIL for a minor to operate a single
ITY RD account.
THAN
K YOU
