The RD account interest rate will remain the same at 5.8% for the third quarter (July-September 2022) of the fiscal year 2022-2023, as the government has decided not to adjust the interest rates of modest savings schemes. If a person has enough money to invest in recurring deposits (RDs) on a monthly basis, they are free to do so. People are able to make payments via recurring deposit accounts on a monthly basis. Unlike FDs, they are not required to make lump sum payments. With the Post Office Recurring Deposit calculator or RD calculator, you may get the 5.8% annual interest rate on Indian Post Office RDs. It is possible to check your Post Office RD account online. Applicants can access www.indiapost.gov.in and complete the RD Account Login / RD Login process.
The duration of the Post Office Recurring Deposit Account is five years, in accordance with Central Government regulations. A minimum deposit of Rs 100 per month, followed by deposits in multiples of Rs 10, is required to open an online RD account. For a five-year Post Office Recurrent Deposit (RD) account, there is no maximum deposit amount. Consumers can view all of the post office’s investment plans before deciding whether or not to invest. National Savings Certificates (NSC), Public Provident Funds (PPF), Kisan Vikas Patra (KVP), Sukanya Samriddhi Yojana (SSY), Post Office Savings Accounts, Senior Citizen Savings Schemes (SCSS), Fixed Deposit Accounts (TD), and Monthly Income Schemes are examples of financial instruments. You can also check out other programs from the post office, such as MIS.
About India Post Office Recurring Deposit Account
- Cash or a check may be used to open the account, and in the instance of a check, the date of deposit will be the day on which the check clears.
- The monthly deposit minimum is Rs. 100, and it rises in multiples of Rs. 10 thereafter.
- Further deposits will be made by the 15th of the following month if the account is opened by that date.
- If an account is started between the sixteenth and the last working day of a month, all subsequent credits will be made through that day.
- Minimum/Maximum Amount in RD Account at Post Office
- Any sum in multiples of INR 10, with a monthly minimum of INR 100. No upper limit.
Recurring Deposit (RD) Account Details
A default fee of Rs. 1 for accounts with Rs. 100 denominations will be assessed (proportionate amounts for other denominations) if the deposit is not made by the due date for the following month.
If the RD account has a monthly default, the depositor will first be required to pay the defaulted monthly deposit amount plus the default fees before paying the current month’s deposit amount.
When an account experiences four ordinary defaults, it is closed and has two months from the fourth default to be revived; however, if the account is not revived during this time, no additional credit may be given to the account, and it is closed.
The account holder may, at his discretion, prolong the maturity time of the account by the number of defaults, up to four defaults in the monthly deposit, and deposit the defaulted installments throughout the extended period.
India Post Office RD Advance Deposit
Advances may be deposited in RD accounts for up to 5 years if they are left open.
Refund on advance deposits of at least six payments (including the deposit month), in increments of ten rupees ($10) for six months and forty rupees ($40) for twelve months.
When opening an account, or at any point subsequently, an advance can be placed.
Indin post office RD Account interest rate
In India, RD accounts can be opened at any post office. Applicants may also use the banks’ recurring deposit program. To promote the wide distribution and simple access, the central government has permitted the opening of RD accounts in a number of nationalized institutions, including SBI, HDFC, and Canara Bank. Applicants may deposit cash or a check to open this account.
Starting on July 1, 2022, the RD interest rate is 5.8% annually (compounded quarterly). The post office recurring deposit calculator can be used to determine the accrued interest. A sovereign guarantee, capital protection, and income-producing quarterly interest payments are all provided by RD accounts. This investment offers significant profits in addition to being secure.
Check Post Office RD Account Online – Tax Benefits
A fixed deposit (FD) is favored when dealing with a lump quantity of money, while a recurring deposit (RD) is suggested if one can set aside a certain sum of money each month from income. The interest that has been accrued can either be withdrawn or reinvested by subscribers. Nonetheless, a TDS of 10% can be deducted for both alternatives under Section 194A of the IT Act if the interest earned exceeds Rs 10,000 per year. Moreover, income tax on interest earned is computed with a post office recurring deposit calculator using the rates for each income tax bracket.