Post Office Recurring Deposit Calculator

Post-Office-RD-CalculatorPost Office Recurring Deposit (RD) Calculator for calculating maturity amount of Post Office Recurring Deposit saving. Recurring Deposits are a special kind of Term Deposits offered by Post Office, which help people with regular incomes to deposit a fixed amount every month into their Recurring Deposit account and earn interest at the rate applicable to Fixed Deposits.

This Post Office Recurring Deposit (RD) Calculator requires some data like – Your Monthly Deposit Amount, Rate of Interest of Post Office (i.e. currently 8.4%), Period (i.e. 60 Months), interest Compounding Frequency (i.e. Quarterly). After calculation you will get the Maturity Amount after maturity period and Effective yield in %.

The investment under 5 Years TD qualifies for the benefit of Section 80C of the Income Tax Act, 1961 from 1.4.2007.

Monthly Deposit Amount for Post Office RD :
Rate of Interest (i.e. currently 8.4%) :
Period (in No. of Months; i.e. 60 Months) :
(fractions not allowed)
Frequency of Compounding (i.e. Quarterly) :
Maturity Amount of Post Office RD (Rs.) :
Effective yield of Post Office RD : %

Post Office Recurring Deposit (RD)

Post office Recurring Deposit account is a systematic way of saving money. The scheme is meant for those investors who want to deposit a fixed amount regularly on monthly basis in order to get a tidy sum after a definite time on the maturity of the account. Thus, Recurring Deposit schemes allow customers with an opportunity to build up their savings through regular monthly deposits of fixed sum over a fixed period of time.



Maturity:
Period of maturity of Post office Recurring Deposit account is 5 years. Sixty equal monthly deposits shall be made in an account in multiples of Rs. five subject to a minimum of ten rupees. If it is a joint account, it is paid on maturity
a) jointly or survivor
b) to either of them or survivor

Premature Closure:
Premature closure of Post office Recurring Deposit accounts is permissible after expiry of three years. In case of premature closure of account, the interest at the rate applicable to post office savings account shall be payable.

Extension and Retention of Account:
Post maturity, Post office Recurring Deposit account holders could decide to continue account for a further period of five years and make monthly deposits during such extended period. The depositors could also decide to continue the account and retain in it the amount of repayment due for a further period up to maximum of five years without making any fresh deposits.

Who Can Invest in Post office Recurring Deposit (RD):

  • Any adult
  • Two adults jointly
  • A guardian on behalf of a minor or a person of unsound mind.
  • A minor who is minimum ten years can open a Post office Recurring Deposit Account.

Salient Features of Post office Recurring Deposit (RD):

  • Any individual (a single adult or two adults jointly) can open an Post office Recurring Deposit account.
  • Advance Deposits earn rebate.
  • Four defaults are allowed.
  • Rate of interest is 8.40% on Post office Recurring Deposit
  • Maturity value of a 5 Years RD account opened on or after 1.4.2012 with monthly deposit of INR.10/- shall be INR.746.51.
  • Defaults can be paid within two months.
  • Part withdrawal facility available in Post office Recurring Deposit account.
  • Premature closure allowed after three years.
  • Pay Roll Savings Scheme is also available for employees of various Establishments.
  • Minimum Deposit: INR. 10/- and in multiples of INR. 5/- thereafter
  • Maximum Deposit: No Limit is defined for Post office Recurring Deposit.

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