What is Post Office RD Savings Account, Interest Rate, Benefits


RD Post Savings Account

India Post has been continuously opening its deposit account with them and earning good returns. Through these savings, individuals are allowed to open a post office return and return savings account for 5 years under this savings scheme. Interest rates are subject to change from time to time.

RD interest rates

  • The interest rate offers up to 5.8 % pa on a compounded quarterly basis.
  • The term of office is up to 5 years.
  • The minimum deposit is Rs100 per month.
  • There is no upper limit in multiples of Rs.10 / – except for Rs.100 / – deposit for every Rs.100 / -.

What is a Post Office Continuing Deposit Scheme?

There are 9 schemes based on savings plans. They are approved and supported by the Government of India. One of them is the Post Office Savings Plan. The Post Office Continuous Deposit Scheme is an individual savings plan. The depositor who pays there must stop them for at least 5 years.

This gives you confidence that investors who want security in RD investments can expect their money to be higher with interest plus more. This savings plan is useful for people and is used to get higher returns.

Eligibility for RD Deposit

  1. Must be an Indian citizen and over 18 years of age.
  2. Minors over 10 years of age
  3. Minorities must open an account on behalf of the parent/guardian posterior.
  4. Applicants over 18 years of age will have the name of the primary applicant in the account.
  5. RD Post Office Deposit Features
  6. Investors can build their deposit up to Rs10 less or more to open an RD account. There is no upper limit.
  7. Functions of this office If the RD is open in the name of Minor, the Post Office will open the RD T is likely to be done in partnership to run.
  8. The RD scheme not only offers a fixed interest rate but also makes the market more competitive and helps to maximize returns on a quarterly interest basis.
  9. Allows an individual or candidate to pay if the applicant dies on the basis of appointment.
  10. Individuals with RD accounts can easily transfer their funds based on financial transfers.
  11. The discount facility is given to the individual only for 6 installments
  12. Up to 50% of their deposit is given for the withdrawal of funds.

How to calculate RD account interest rate at the post office?

Use the formula to calculate the interest rate

A = P * (1 + R / N) ^ (NT)

  • A = maturity amount
  • p = continuous sum
  • N = how many times the interest is added
  • T = tenure
  • The formula to calculate the interest rate R
  • Post Office RD Account Taxation

Post Office RD accounts of the Income Tax Act Section 8 0 C.

Up to Rs1.5 lakh individuals are liable to pay tax under this category. The main purpose of this is to add interest to the next

Post Office Continuous Deposit Discount Facility

  1. The Post Office Discount Facility is a discount offered to an individual holding an account in the RD scheme in advance or to encourage its deposit.
  2. If you deposit Rs.100 for 7 months as per RD account then Rs.10 per month will be deposited in advance for that person as per the discount method. Rs.100 will be discounted for Rs.100.
  3. Delay in payment of deposit will result in a penalty of Rs
  4. 5 paise earned and the amount lost must be deposited immensely.
  5. Post Office RD Account Advance Withdrawal Facility
  6. RD helps the holder of the account for emergency expenses and withdrawal facility. Allows the account opener to calculate them in any year and allows the account to be withdrawn after 1 year in advance.


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