Question: Is NSC Or KVP Better?

Which scheme is best in post office?

InstrumentInterest rate (%) from October 1, 2020Min amt (Rs)Senior Citizen Saving Scheme7.41000Sukanya Samriddhi Account7.6250Public Provident Fund7.15005 Yr NSC-VIII Issue6.810006 more rows•5 days ago.

Can I withdraw KVP before maturity?

A Kisan Vikas Patra scheme can be closed before maturity. The principal along with the interest can be withdrawn. The period for premature withdrawal of KVP is after 2 years and 6 months from the date of issuance, which is also the lock-in period.

Is KVP transferable?

Yes. A KVP certificate transferred from one owner to a combination of combined owners. The certificate can also be transferred from a set of combined owners to the name of one of the combined owners or the remaining owner.

Can I double my money in 5 years?

To get your money doubled in five years, the CAGR needed will be nearly 15 per cent (more preciously 14.87 per cent). However, there is no guaranteed-return product that offers such a high rate of return and the only possible way to achieve this is by taking risk.

Can we take loan on KVP?

If you are a Kisan Vikas Patra holder, you can avail a loan for personal or business purposes by using this certificate as collateral. It should also be noted that a loan on Kisan Vikas Patra should be liquidated within the savings period.

What is the interest of 1 lakh in post office?

India Post Office Fixed Deposit Calculator 2020TenureRatesMaturity Amount for ₹ 1 Lakh2 years 1 day to 3 years5.50% to 5.50%₹ 1,11,561 – ₹ 1,17,8073 years 1 day to 5 years6.70% to 6.70%₹ 1,22,081 – ₹ 1,39,4077 days to 1 year5.50% to 5.50%₹ 1,00,105 – ₹ 1,05,6141 more row

Which is better Bank FD or Post Office FD?

The post office time deposit (TD) in a post office is almost similar to a bank fixed deposit but one can deposit only for 1 year, 2 year, 3 year and 5 years. The deposit made for 5-year duration qualifies for the Section 80C tax benefit. … Even the interest rate is higher than bank FD in most cases.

Is KVP tax free?

Yes, interest earned on KVP is taxable as per you tax slab. Tax Deduction at Source (TDS) is not applicable for investment in KVP. At maturity, you can redeem the maturity proceeds (principal + interest) by approaching your post office or bank from where you have purchased the KVP certificate.

What is the lock in period of Kisan Vikas Patra?

The Kisan Vikas Patra is a saving scheme that aims to double your money in 100 months, which will be 8 years and 4 months. KVP is available in the denominations of Rs 1000, Rs 5000, Rs 10,000 and Rs 50,000, and have no maximum limit on investment. The lock-in period of KVP is 2 years and 6 months.

Is NSC safe?

Simply put, National Savings Certificate or NSC is an attractive investment tool with good interest rates, a safe investment with low risk, and tax benefits.

How can I get NSC maturity amount?

The process is explained below.Visit the post office along with original NSC, Identity Slip (issued during buying), identity proof and a handwritten application (I have not found any particular application).Submit this to the branch, where you want to encash or withdraw the NSC.More items…•

Can I withdraw KVP from any post office?

It can also be done by presenting a duly signed withdrawal form or cheque together with the passbook for withdrawal from Savings Account standing in credit of the purchaser at the same Post Office or Bank. The KVP can be encashed only at the Post Office or Bank of its issue.

Is Kisan Vikas Patra a good investment?

The KVP scheme is a low-risk saving tool that is safe because it is promoted by the government. So, if you are not willing to take risks and still want high returns, this is a good option for you. Certificates are issued for the amount invested in the scheme.

What is the interest rate of NSC?

Interest Rates : The certificates earn an annual fixed interest, which is currently at a rate of 7.9% per annum (revised every quarter by the government), thus guaranteeing a regular income for the investor.

Can I buy KVP from SBI?

If you have a Savings account with Bank/Post office, you can buy NSC or KVP certificates in e-mode. You should have access to internet banking. … Minimum amount that can be invested in NSC is Rs 100. Minimum amount that can be invested in KVP is Rs 1,000.

What happens to NSC after maturity?

Transferability: The transfer of NSC VIII and NSC IX from one individual to another is permitted once from the date of issue of the scheme till its maturity. Maturity: If the NSC maturity proceeds are not withdrawn by an account holder, the scheme becomes available for post office savings scheme interest for 2 years.

When can I withdraw KVP?

Withdrawal any time after two and half years is allowed and doesn’t attract any penalty or reduction in interest. Kisan Vikas Patra types: According to the National Savings Institute, there are three types of KVP certificates. a.

What is Monthly Income Scheme in Post Office?

The Post Office Monthly Income Scheme (MIS) is a low-risk investment scheme offering steady income and, hence, is suited for conservative investors and senior citizens. It is one of the small savings investment schemes wherein you can start investing with a minimal amount of Rs 1000.