SBI, the country’s largest public sector bank, offers RD for 12 months starting from 12 months i.e. 10 years. You can save even from Rs 100 per month. The interest rate for SBI RD is similar to the interest rates for Fixed Deposits.Post office offers 5 years RTD. Its current interest rate is 5.8%. A minimum deposit of Rs.100 can also be made in the postal scheme. 5 years RT, starters can close the account even before completion of 3 years and withdraw money. 5 years RD, if possible an application should be made to extend it for another 5 years.
SBI, RD, Calculation
SBI offers a revised interest rate of 5.6% on RTs from August onwards. Accordingly if you start with Rs.3,000 RT per month, after 5 years you will get Rs.2,08,000 as maturity amount. You will get 28 thousand rupees as interest.
SBI offers 6.45% interest on RD for senior citizens i.e. 60 and above. Accordingly, if they deposit Rs.3 thousand per month in their name, they will get Rs.2,12,692 at the end of 5 years. 4,700 rupees as additional interest.
Postal Rd., Account
5.8% interest for Postal RTD. Slightly more than SBI. Accordingly, if you save Rs.3000 per month for 5 years, you will get Rs.2,09,090. A thousand rupees more interest is available here than SBI. There is no interest concession for senior citizens here. After 12 months you can get loan for Rs. The interest rate is 7.8%.
I am going to start saving monthly but those who consider bank and post office interest low can join mutual fund schemes with large cap and mid cap stocks. They grow at an average of 5-10% annually. Accordingly, Rs.3 thousand will get a return of Rs.2.3 lakh in 5 years. It is possible to get 20 thousand rupees more than bank post office deposits.