Post Office and Bank RD Interest Rates: Interest on post office recurring or money deposited in bank, know where will get more benefit?

RD Difference: If you want to get more profit by saving small every month, then you must first see the difference between post office RD and bank RD.

Post Office and Bank RD Interest Rates: If you invest in RD plan of bank or post office, then first of all know in which plan you will get more benefit. If you want to earn more, then invest in such a plan, where you are getting interest. Because by getting higher interest rate, your earning will also be higher. If you want to get more profit by saving small every month, then you must first look at the difference between post office RD and bank RD . You can start an RD account by depositing money directly in the post office or by giving a cheque. You can open as many RD accounts in the post office as you want. Almost all similar facilities are available in banks as well.

You can open an RD account in any bank in the country for investment. You can open RD account both online and offline and more than 10 RD accounts can be opened in the bank. Investment can be started with a minimum of 100 rupees. The most important factor is the interest rate to which the customer’s earnings are directly linked.

Please tell that the interest of the RD account of the post office can change every three months. The rate announced by the government every quarter, the same rate is given to the customers. Although the government keeps the rate constant, then the post office also gives returns at a constant rate only. Whatever the prevailing interest rate, interest money is added to the customer’s RD account accordingly.

Getting so much interest on post office RD

• At present, 5.8 percent interest is being received on the recurring deposit of the post office. This rate is for RD plan with a tenure of 5 years. The time limit for any RD account in the post office is at least 5 years. RD account cannot be opened in post office for less than that.
• The person opening the Post Office RD is expected to deposit a total of 60 installments during this period (5 years), i.e. one deposit every month for 5 years. The first deposit should be made at the time of opening the account, subsequent monthly deposits should be made before the due date, the date on which the account was opened.
• Individuals who open the account between 1st and 15th of the month are required to deposit the monthly installment before 15th of the following month. Subsequent deposits in accounts opened after 15th of a month have to be made between 16th and last day of a particular month. The deposit can be made either through cash or cheque.

Difference between post office RD and bank RD

1. Talking about bank RD, the interest rate which is fixed at the time of opening RD account in the bank, the same interest is available during the entire scheme. There is no change in RD interest in future. that’s why
2. If you want to earn from fixed interest after getting RD done, then the bank will be right.
3. Banks fix the interest at the time of opening an RD account, so that your future earnings are also fixed.
4. This is not the case in the post office because the government keeps making changes in it every three months. However, if you want to earn from RD while beating inflation, then the post office scheme will be good.
5. The government changes the rates of small savings schemes every quarter keeping in view the inflation rate. In this context, the RD of the post office will be good.
   From depositing money in RD to withdrawing it on maturity, bank RD is considered more correct.

Know which scheme has more benefits

For example, you can know about RD of State Bank (SBI).

1. SBI’s recurring deposit account can be opened for as little as Rs. Money can be deposited in 100 rupees and its multiple. There is no upper deposit limit.
2. RD account can be opened online from minimum 12 months to 120 months.
3. Customers can avail loan up to 90% of the available balance in their SBI RD accounts.
4. Nomination facility is available on RD account. SBI will also issue passbook on account opening.
5. The interest rate for recurring deposit accounts below Rs 1 crore ranges from 5.25% to 7.25%.
6. SBI offers an interest rate of 4.00% to 6.75% for Recurring Deposits on deposits between Rs 1 crore and Rs 50 crore. According to this, banks can earn more in RD than post office RD.