After a certain period, people who have a defined amount can invest monthly in Recurring Deposit (RD). For Recurring Deposit Account, people will not have to make lump sum payments like FDs but in installments every month. The rd interest rate 2019 of the Indian Post Office is 7.2% p.a and can be calculated using the Post Office’s Recurring Deposit Calculator / RD Calculator. Post office RD account checking facility is available online and candidates can do RD account login / RD login at ebanking.indiapost.gov.in
Opening of Recurring Deposit Account – RD Interest Rate 2019
RD account can be opened in PAN India of any post office. Candidates can also avail the Recurring Deposit Scheme in banks. Central Government. To ensure high accessibility and easy access, opening of RD account is allowed in various nationalized banks like SBI, HDFC, Canara Bank. Candidates can open this account through cash or check.
RD interest rate 2019 is 7.2% pa (compounded quarterly) with effect from 1st October 2019. Accrued interest can be calculated using the Post Office RD calculator. The RD account provides sovereign guarantees, capital protection and quarterly interest payments that act as a source of income. This investment is safe and there are attractive interests of this investment. RD account check online, visit the official website – ebanking.indiapost.gov.in
Post Office RD Account Online Check – Tax Benefits
In case of a lump sum, fixed deposits (FD) are preferred and if a person can save a specified amount of income every month, then a recurring deposit (RD) is preferred. Subscribers have the option of withdrawing the interest earned or realigning it. However, TDS @ 10% can be deducted for both options under 194A of IT Act if interest earned is Rs. More than. 10,000 per year. In addition, income tax on interest earned is calculated according to income tax slab rates..
Comparison of Tax on Interest – Recurring Deposit vs Fixed Deposit vs Savings Account
| Specification | Fixed Deposit – Tax on Interest | Recurring Deposit – Tax on Interest | Savings Account – Tax on Interest |
|---|---|---|---|
| TDS Applicability | TDS @ 10% of Interest | TDS @ 10% of Interest | No TDS |
| Income Tax Deduction Allowed | Full Interest Taxable | Full Interest Taxable | Rs 10000 Deduction |
| Income Tax on Interest | As per IT Slab Rates | As per IT Slab Rates | As per IT Slab Rates |
Recurring Deposit – Maximum / Minimum Amount
The candidate has to pay a minimum of Rs. Can open an account of 10 per month and can be deposited later in multiples of Rs. 5. There is no maximum deposit amount. People have to give this amount monthly and if the amount is not deposited then Rs. Each Rs. 0.05 on 5 Rs. If there are 4 regular defaults, the account is closed.
Individuals can revive this account within the next 2 months, but if not revived, candidates cannot deposit further.
NSC vs PPF vs KVP vs ELSS vs SCSS vs RD vs TD vs SSY vs MIS vs PO Savings Account
| Post Office Schemes | Interest Rate 2019 | Lock in Period | Minimum / Maximum Investment | Risk |
|---|---|---|---|---|
| National Saving Certificate (NSC) | 7.9% compounded p.a but payable at maturity | 5 Years | Minimum amount is Rs. 100 and no Maximum limit | Risk Free |
| Public Provident Fund (PPF) | 7.9% compounded yearly | 15 Years | Minimum amount is Rs. 500 and Maximum amount is Rs. 1.5 lakh | Risk Free |
| Kisan Vikas Patra (KVP) | 7.6% compounded yearly | 9 Years 10 Months | Minimum amount is Rs. 1000 and no Maximum limit | Risk Free |
| ELSS Funds | 12 to 15% expected returns | 3 Years | Minimum amount is Rs. 1000 and no Maximum limit | Market Related Risks |
| Senior Citizens Savings Scheme (SCSS) | 8.6% p.a from 31 March / 30 Sept / 31 December | 5 Years | Minimum Deposit is Rs. 1000 and Maximum Rs. 15 lakh | Risk Free |
| Recurring Deposit (RD) | 7.2% p.a compounded quarterly | 5 Years | Minimum Rs. 10 per month and Maximum no limit | Risk Free |
| Time Deposit Amount (TD) | 6.9% to 7.7% p.a calculated quarterly | 1 to 5 Years | Minimum Rs. 200 and no Maximum Limit | Risk Free |
| Sukanya Samriddhi Yojana (SSY) | 8.4% p.a compounded annually | Till 21 years | Minimum Rs. 1000 and Maximum Rs. 1.5 lakh | Risk Free |
| Post Office Monthly Income Scheme (MIS) | 7.6% per year payable monthly | 5 years | Minimum Rs. 1500 and Maximum Rs. 4.5 lakh | Risk Free |
| Post Office Savings Account | 4% p.a | No Lock In Period | Minimum Balance Rs. 50 (non-cheque) and Rs. 500 (cheque) and Maximum Rs. 1 lakh | Risk Free |
The recurring deposit account interest rate is similar to the interest of 2019 FD. But in FD, people have to pay lump sum, whereas in RD people can invest in installments. In addition, FD interest is paid annually while RD interest is paid quarterly. People can also login RD on the website of Post Office RD Account Check Online.
RD Nomination Facility
Subscribers in post offices are allowed multiple accounts as well as joint RD accounts. People can open this type of account in the name of minor or for themselves. Nomination facility is available at the time of account opening or even after opening the account.
In RD accounts, any customer can operate more than 1 account in individual capacity or jointly. There is no maximum limit on monthly deposits made by an individual.
Post Office RD Account Check Online – Highlights at a Glance
All people who want to invest monthly and are able to invest monthly should invest in this scheme as the initial deposit in the fixed deposit account needs to be made as a lump sum investment whereas RD provides facility to invest in installments is. In addition, people can track their invested amount and post office RD account check online.
Important features and salient features of RD Account – RD interest rate, interest payable, periodicity, minimum opening and closing balance, nomination facility, transfer of RD account are given below: –
Recurring Deposit Account – RD Account Calculator and Salient Features
| RD Interest Rate 2019, Periodicity | Minimum Recurring Deposit Account Opening Balance and Maximum Balance |
|---|---|
| RD Interest Rate 2019 currently stands at 7.2% per annum quarterly compounded (effective from 1 Oct 2019). On Maturity, any Rs. 10 monthly account will give an outcome of Rs. 717.43%. Even RD Account Time Period can be further extended to 5 years (on yearly basis). | Minimum rd account balance is Rs. 10 per month and any further amount in multiples of Rs. 5. There is no maximum limit. |
official website indiapost.gov.in