Why should you invest in Post Office Schemes - Check the variety

scheme	Interest Rates	Tenure	Investment Denominations and limits	Salient Features	Tax rebate
Post Office Savings Account	3.5% p.a. On individual and joint account	No specific or fix tenure	Min: Rs. 50 Max: Rs. 1 lakh for individual and 2 lakhs for joint account	Cheque facility available	Interest is tax-free u/s 80L
5-Year Post Office Recurring Deposit Account	7.5% compounded quarterly	5 years. Can be renewed for another 5 years	Min: Rs. 10 per month or multiples of Rs. 5 Max: No limit	One withdrawal up to 50% of the balance is allowed after one year. Full maturity value allowed on R.D. 6 & 12 months advance deposits earn rebate.	No tax rebate
Post Office Time Deposit Account	6.25%- 1 year 6.50 - 2 years		Min: Rs. 200 and its multiple thereof Max: No limit	Long-term accounts could be closed after 1 year for discounted interest. Accounts could be closed after 6 months but before a year for no interest. Interest is calculated quarterly but payable yearly.	Investment qualifies fordeduction u/s 80C. Interest is tax-free u/s 80L
	7.25%	3 years
	7.50%	5 years
Post OfficeMonthly IncomeAccount	8% p.a.	6 years	Min: Rs. 1500 per month or multiples of it.Max: Rs. 4.5 lakhs for individual account and Rs. 9 lakhs for joint account	Account if closed after 1 year but before 3 years will suffer a deduction of 2% of the deposit. Account if closed after 3 years will suffer a deduction of 1% of the deposit. On maturity, bonus of 5% on principal amount is admissible	Interest is tax-free u/s 80L
15-year Public Provident Fund Account	8% p.a. compounded yearly	15 years tenure	Min: Rs. 500 in 1 year Max: Rs. 70000 in 1 year Deposits can be made in lump-sum or 12 installments	Withdrawal can be made every year after the 7th financial year. From the 3rd financial year, loan can be availed against PPF. No attachment under court decree order.	Investment qualifies fordeduction u/s 80C. Interest is tax-free u/s 80L
Kisan Vikas Patra	8.4% compounded yearly. Money doubles in 8 years and 7 months	---	No limits. Investment denominations available are of Rs. 100, Rs. 500, Rs. 1000, Rs. 5000, Rs. 10,000, in all Post Offices and Rs. 50,000 in all Head Post Offices.	A single holder certificate can be purchased by an adult. A certificate can also be purchased jointly by two adults.	No tax benefits
National SavingsCertificate (VIII issue)	8% p.a. compounded half-yearly but payable after maturity	6 years	Min: Rs. 100. Also available in denominations of Rs. 100/-, 500/-, 1000/-, 5000 & Rs. 10,000/-. Max: no limit	A single holder certificate can be purchased by an adult.	Investment as well as the interest deemed to be re-invested qualifies for deduction u/s 80C.
Senior Citizens� Savings Scheme	9% p.a.	5 years	Only 1 deposit allowed in multiple of Rs. 1000. Max is Rs. 15 lakhs	Age should be above 60 years or 55 years above if retired under superannuation. Account if closed after 1 year will suffer a deduction of 1.5% interest and after 2 years will suffer a deduction of 1% interest. TDS is made on interest if it exceeds Rs. 10000 p.a.	Investment qualifies fordeduction u/s 80C.