10 Government Savings and Investment Schemes for Secure Financial Growth

For everyone, proper management of their money is extremely important. To achieve the correct management of their finances, people invest their money in various savings and investment schemes. However, there is some level of risk associated with both market investment schemes and savings schemes. In such a scenario, if you want to invest your money without taking any risk, then government savings and investment schemes can prove to be much better for you. The biggest advantage of these schemes is that your money remains completely secure from market risks. Additionally, you also receive better returns at a higher interest rate. These schemes benefit women, farmers, senior citizens, and the general public equally. Let’s find out about 10 government schemes:

1. National Monthly Income Scheme (MIS): This scheme is operated by the post office. The most significant feature of this scheme is that you receive monthly interest on your investment. Under this government scheme, you can deposit amounts up to INR 9 lakh with a multiplier of INR 1,000. The maturity period for this scheme is 5 years, and it offers an interest rate of 7.4%.
2. National Saving Time Deposit Scheme (Post Office TD): This scheme is operated by the post office, allowing you to deposit your money for 1, 2, 3, or 5 years. The minimum amount required to open an account is INR 1,000, and there is no maximum limit for depositing money. It also offers tax benefits under Section 80-C of the Income Tax Act. The interest rates for this scheme are 6.80% for 1 year, 6.90% for 2 years, 7% for 3 years, and 7.5% for a 5-year deposit.
3. Senior Citizens Savings Scheme (SCSS): This scheme, specifically designed for senior citizens, is offered by the post office. You can deposit up to a maximum of INR 30 lakh under this scheme, and individuals above 60 years of age are eligible to invest. The scheme also offers tax benefits under Section 80-C and provides an interest rate of 8.2% for this quarter.
4. National Saving Certificate: This post office scheme allows you to open an account with a minimum of INR 1,000, with no maximum limit for deposits. Currently, the scheme offers an annual interest rate of 7.7%.
5. Public Provident Fund (PPF): This scheme is one of the best long-term investment options offered by the post office. The maturity period for this scheme is 15 years, which can be extended for another 5 years. You can invest a minimum of INR 500 and a maximum of INR 1,50,000 in a financial year. PPF also offers tax benefits under Section 80-C and provides a 7.1% annual interest rate.
6. Sukanya Samriddhi Yojana (SSY): This scheme was introduced specifically for the welfare of girls. Under this scheme, you can invest a minimum of INR 250 and a maximum of INR 1.5 lakh. The account can be opened for a girl child before she reaches the age of 10 years. The scheme also offers tax benefits under Section 80-C and provides an 8% interest rate.
7. Mahila Samriddhi Bachat Praman Patra (MSSBY): This scheme was launched in this year’s budget, particularly for women. It currently offers an interest rate of 7.5%. Under this scheme, you can invest up to INR 2 lakh for 2 years.
8. Kisan Vikas Patra (KVP): This scheme is specially designed for farmers, and the most remarkable feature is that the invested amount doubles after a specific period. Anyone can open an account under this scheme. It offers an interest rate of 7.5% compounded annually.
9. Recurring Deposit Savings Scheme: You can deposit a minimum of INR 100 monthly under this scheme. The maturity period for this scheme is 5 years, and you get the benefit of compound interest on your deposits.
10. Dakghar Bachat Khata (DBK): This post office scheme allows you to open an account with a minimum deposit of INR 500. There is no maximum limit for deposits, and you are eligible for a tax deduction of up to INR 10,000 per financial year. The scheme offers an annual interest rate of 4%.