For Quick Alerts
ALLOW NOTIFICATIONS  
For Daily Alerts

3 Government-Backed Guaranteed-Return Scheme That Offers 6-7% Interest

|

When looking for investing, government-backed schemes are the most preferred one by the majority of individual investors. Government-backed investment schemes offer a lucrative return, but, not everything is limited to the returns. It has been seen senior citizens initially use government-backed schemes before investing in other fixed-income channels to obtain monthly income. These schemes provide guaranteed returns that are often greater than those offered by conventional fixed-income assets such as bank fixed deposits (FDs). Furthermore, because these schemes are supported by the Government of India, your investments in them are completely safe and secure. Government-backed saving schemes are without any doubt are one of the most subscribed investment destinations for fixed income options.

 

3 government-backed schemes that offer a guaranteed return on the investments are as follows:

Senior Citizen Saving Scheme (SCSS)

Senior Citizen Saving Scheme (SCSS)

As the name says, it is a saving scheme designed for Senior citizens. Any Senior citizen in India can invest a large sum in the plan, either individually or collectively with the spouse, and get regular income as well as tax benefits. It is one of the Post Office savings plans with a high return on investment. The account can be opened at the Post Office just as you can at any other licensed bank. To open an SCSS account, you can go to your nearest Post Office office or the bank where you have a savings account. Before creating an account, make sure you understand the qualifying requirements and the features of the scheme.

Details and Benefits of SCSS

Rate of Interest7.40%
Frequency of The PayoutQuarterly
Tenure5 Years
Availability of premature WithdrawalAllowed (at a penalty)
Taxability of returnsTaxable
Minimum investmentRs. 1000
Maximum investmentRs 15 Lakh and Rs. 30 Lakh (Joint Account)
Pradhan Mantri Vaya Vandana Yojana (PMVVY)
 

Pradhan Mantri Vaya Vandana Yojana (PMVVY)

If you're saving for retirement and searching for a secure investment, consider investing in the PMVVY, a scheme that provides social security to Indian residents in their old age. The money invested by the scheme's buyers is referred to as the purchase price. Because the system is backed by the sovereign, it provides a guaranteed rate of return on investment. The program pays out a regular pension on a monthly, quarterly, or annual basis. The PMVVY is a great substitute for regular bank deposits.

Details and Benefits of PMVVY

Rate of Interest7.40%
Frequency of The PayoutMonthly/Quarterly/Semi-Annually/Annually (Options)
Tenure10 Years
Availability of premature WithdrawalAllowed (Only Under Exceptional Conditions)
Taxability of returnsTaxable
Minimum investmentRs 1.57 Lakh
Maximum investmentRs 15 Lakh and Rs. 30 Lakh (if the Spouse in also Senior Citizen)
Rate of Interest7.40%

Post Office Monthly Income Scheme (MIS)

Post Office Monthly Income Scheme (MIS)

Post Office MIS is a scheme that offers a great investment on a monthly basis as the name suggests. With an interest rate of 6.6%, the Post Office MIS, among others, such as the Post Office Recurring Deposit, Post Office Savings Account, and Post Office Time Deposit, is one of the highest-earning schemes. The interest in this arrangement is paid out on a monthly basis, as the name implies. The Ministry of Finance recognizes and validates this plan, as well as other post office schemes. It is simple and painless to open a Post Office MIS Account. To invest in the plan, however, you must have a Post Office Savings Account.

Details and Benefits of MIS

Rate of Interest6.60%
Frequency of The PayoutMonthly
Tenure5 Years
Availability of premature WithdrawalAllowed (at a penalty only after one year)
Taxability of returnsTaxable
Minimum investmentRs. 1000
Maximum investmentRS 4.5 and Rs 9 Lkah (Joint Account)

Company Search
Get Instant News Updates
Enable
x
Notification Settings X
Time Settings
Done
Clear Notification X
Do you want to clear all the notifications from your inbox?
Settings X