In this article, FinTuts will share its views or ideas about interest rates of different Post Office Saving Schemes for Q1[Apr-Jun] of FY 2021-22, so that you can take a self-decision on your investment or wealth creation journey and can be financially literate and atmanirbhar.
Post Office Saving Schemes are the popular investment options in India among seasoned investors. Sovereign guarantee(backed by the Government of India) is the USP of these schemes.
Specifically, investors who choose to be risk-averse should invest in the Post Office Saving Schemes that offer risk-free returns and good interest rates.
The interest rates of these schemes are reviewed by the government every three months or quarterly.
Notable Recent Changes :-
As per a finance ministry circular on March 31, 2021, the government has cut interest rates on small savings schemes massively for the first quarter of the financial year 2021-22.
The PPF interest rate below 7% would be the first time since 1974, a 46 year low.
As per market experts, due to the fall in the 10-year government securities (G-Sec) yield, the rates seem to have been cut.
Update as on 01-April-2021 :-
As per Nirmala Sitharaman’s Tweet,
- “Orders issued by oversight shall be withdrawn”!!!
- Interest rates of small savings schemes of GoI shall continue to be at the rates which existed in the last quarter of 2020-2021, ie, rates that prevailed as of March 2021.
9 Post Office Savings Schemes
Latest Post Office Savings Schemes Interest Rates
The Bottom Line | Verdict
- The above-mentioned Post Office Savings Schemes are really good for those investors who want a risk-free return. Investors can start from a very small investment amount even.
- The post offices are located everywhere in India including rural areas. Regarding the urban areas, the tax benefit of PPF, NSC, and SSA seems to be beneficial for the investors.
We hope that this article might have surely helped you to understand in general about different saving schemes of Post Office.
If you liked reading about this article, then please do visit our other articles regarding Mutual Fund or Passive Income related reviews.
Besides, should you have any concerns, please feel free to comment below or do reach out to us. FinTuts will be happy to help. #HappyInvesting.
Sumit Kalaria is the person behind FinTuts.in. He is actively engaged in finance blogging, not associated with any financial product or service provider. The main focus of his blog is to make investment simple by helping investors to make informed financial decisions.