Post Office Saving Account Calculator

post-office-saving-CalculatorPost Office Monthly Saving Account Calculator is here to calculate the future value of periodic savings over a fixed period for achieving your short term goal. It is general purpose saving calculator, which requires some data like – Your Monthly Deposit Amount, Rate of Interest of Post Office (i.e. Presently 4%), Period (in No. of Months), interest Compounding Frequency. After calculation you will get the Maturity Amount after a specified period and Effective yield in %.

Post office saving account is similar to a savings account in a bank. It is a safe instrument to park those funds, which you might need to liquidate fully or partially at very short notice. Post office savings accounts are especially suited for those living in rural and semi-rural areas where the reach of banks is very limited.

Monthly Deposit Amount in Post Office :
Rate of Interest (i.e. Presently 4%) :
Period (in No. of Months) :
(fractions not allowed)
Frequency of Compounding :
Maturity Amount (Rs.) :
Effective yield : %

Note: The more frequent the interest is compounded, the higher the return or the future worth of your savings will be; For instance, the future value of savings with interest compounded at Monthly frequency (i.e., 12 times a year) will be higher than the same with interest compounded at quarterly (4 times a year) interval, which in turn is better than semi annual (twice a year) compounding.

Post Office Saving Account



Post office saving account is similar to a savings account in a bank. It is a safe instrument to park those funds, which you might need to liquidate fully or partially at very short notice. Post office savings accounts are especially suited for those living in rural and semi-rural areas where the reach of banks is very limited.

Benefit of Large Network of Post Office:

Post offices have the largest service network in India. Post men do their job even in remote regions of the country. There are places where you could see old post men riding on bicycles and distributing letters, being awaited so eagerly by the kith and kin of the people who are far from their families and friends. Reach of post offices is of course greater than banks and this is the reason behind the government introducing something like saving accounts through post offices. They can take the benefit of having saving accounts right to the people who need them the most. If one is living in a remote corner, sometimes it is better to have a savings account in a post office rather than a bank. Just because post office and postman is closer to him.

How to Open Post office Saving Account:

The account can be opened at any post office with a minimum balance of Rs. 20. Maximum of Rs. 1,00,000 for single account holder and Rs. 2,00,000 for joint account holders can be deposited. There is no lock-in or maturity period. One can just walk into a post office, meet the clerk, complete the formalities and the account would be opened.

Salient Features of Post office Saving Account:

  • Rate of interest 4.0% per annum
  • Minimum amount Rs 50/- in case of non-cheque account, Rs.500/- in case of cheque account.
  • Maximum balance permissible is Rs 1,00,000/- in a single account and Rs 2,00,000/- in a joint account.
  • Interest Tax Free.
  • Any individual can open an account.
  • Cheque facility available.
  • Group Account, Institutional Account, other Accounts like Security Deposit account & Official Capacity account are not permissible.

 


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