How to Calculate Return on Post Office RD Investment?

Have you ever come across a situation where your family members started convincing you to open an RD account since you are financially independent now? Well, it happens to almost all of us. To put things honestly, as soon as you get a job, opening a Recurring Deposit (RD) is one of the best things that you can do. And if you want to get a bit more interest in your RD account, you choose Post Office over any bank.

A Post Office can be found in almost every town and city in India. You can find the nearest post office and open an RD account at your convenience. Well, before we delve deeper, we should first try to know what an RD is.

What is an RD?

Usually called RD, Recurring Deposit is a term deposit that will enable you to deposit an amount of money as per your choice, every month. You will get the kind of flexibility that you want while saving some money. The minimum tenure of a Recurring Deposit account is 6 months.

Eligibility criteria to open a Recurring Deposit account

Before you open an RD account, you must check if you match the eligibility criteria or not. Some of the common eligibility requirements are mentioned herein below:

• Anybody who is more than 10 years of age can open an RD account
• If the individual is below 10 years of age, he/she will be considered a minor. Therefore, can open the account under the guardianship of a legal guardian
• Commercial organizations, corporates, and proprietorships can also open an RD account
• A government organization can also open an RD account.

Documents required for opening an RD account

You would be required to provide some documents while trying to open an RD account. Here are some of them mentioned below:

• An application form that you can get from the Post Office. You have to duly fill it up
• Your recent passport-size photographs
• Identity as well as address proof
• KYC documents.

As you plan to open an RD account, you must first use the post office RD calculator for Post Office. Using the Post Office Recurring Deposit calculator for Post Office will help you to understand the amount of money that you can get within a certain tenure. You will also be able to find out the rate of interest that you will get by investing in an RD account.

Visual Stories by Mahindra Paybima

How to Change Your Address on Your Driver’s Licence – A Step-by-Step Guide

A Nutrient-Rich Guide to Healthy Diwali Eating

The Top 10 Women’s Multivitamins in India and Their Health Benefits

A Comprehensive Guide to Updating Bank Details in an EPF Account

A Full A-Z Guide to EPF UAN Login, Activation, and Related FAQs

View all Web Story

How to use an RD calculator for Post Office?

The Recurring Deposit calculator for Post Office is an online tool that you can use to find out the rate of interest as well as the maturity amount that you are going get out of the account. The tool is user-friendly and anybody can use it without any difficulty. All that you have to do is enter certain details in the calculator for Post Office. The details are herein below:

• The amount that you are going to invest on a monthly basis
• The current interest rate
• The tenure of the Recurring Deposit account

Once you enter all the details, the maturity amount will be displayed on your screen.

Benefits of using a Recurring Deposit Calculator for Post Office

As you use an RD calculator for post office, you will experience many benefits. Some of them are as follows:

• You can save time and energy
• It gives accurate results
• It is easy to use
• You can plan your future.

Recurring Deposit for Senior Citizens 

You must be aware of the fact that Recurring Deposit Accounts can be opened for senior citizens as well. The rate of interest provided to senior citizens for an RD account is much more than general accounts. Under an RD account for senior citizens, the tenure and minimum amount are fixed by the bank. The interest on a Recurring Deposit account is compounded on a quarterly basis. An additional rate of interest of 0.50% to 0.80% is offered to senior citizens.

Now, if you want to open an RD account at a Post Office near you, the foremost thing that you can do is use the RD calculator for Post Office. Once you have an idea of the maturity amount and the rate of interest you are getting, you can accordingly invest the amount that you want.

Popular General Insurance Companies India, 2023

Related Articles

• Best Way to Invest 20000 Rupees Per Month
• What is Form 16?
• 6 SBI Investment Plans for 5 Years
• What is Representative Assessee?
• Sevarth Mahakosh Portal

Other Investment Products