Post Office vs SBI RD The interest rates of RD have increased significantly in the recent past. In this report, we will tell that on which FD from post office and SBI RD, the investor will get more interest.
Recently, the interest on small savings schemes has been increased by the Central Government. After this, the interest rate available on Post Office Recurring Deposit (Post Office RD) has increased from 5.80 percent to 6.20 percent. At the same time, the country’s largest government bank State Bank of India (SBI) is also getting an interest rate of 7.00 percent on RD.
Today, in this report, we will compare both the RD schemes and tell which one is more beneficial for you.
What is RD?
Recurring Deposit or RD is a savings scheme in which money has to be deposited every month and after a certain period you get the deposited money with interest. This period is fixed before the start of the scheme.
Post Office RD
Post office RD is getting 6.2 percent interest. In this, any investor can start investing with a minimum amount of Rs 100. There is no limit on the maximum deposit. You can deposit any amount in multiples of 10 in this.
SBI’s RD
Different interest is being given on the basis of tenure in SBI’s RD. In this, 6.80 percent interest is being given on one year RD, 7.00 percent on two year RD, 6.5 percent on three and five year RD.
Calculation of interest on RD
Post Office RD: For example, you make an RD of Rs 4000 per month in the post office for five years. So during five years you will accumulate Rs 2,40,000 lakh. During this, you will get an interest of Rs 41,732. Including the interest, you will get a total of Rs 2,81,732 on maturity.
SBI’s RD: For example, you make an RD of Rs 4000 per month in SBI for five years. So during five years you will accumulate Rs 2,40,000 lakh. During this, you will get an interest of Rs 43,966. Including the interest, you will get a total of Rs 2,83,966 on maturity.
