Post Office Special Scheme: Earn ₹2 Lakh from Interest Alone with 7.5% Return


Looking for a safe investment with assured returns? The Post Office Time Deposit Scheme (POTD) might be just what you need. With an attractive interest rate of 7.5% for a 5-year deposit, this government-backed scheme allows investors to earn over ₹2 lakh from interest alone—without any market risk.

💰 Guaranteed 7.5% Interest for 5 Years

The government has revised the interest rate on 5-year time deposits to a solid 7.5% per annum, making it one of the most attractive fixed-income instruments for conservative investors. The scheme is offered by India Post and is considered safe and stable.

📊 How You Can Earn ₹2 Lakh from Interest

Here’s a simple example to understand the potential return:

  • Investment Amount: ₹5,00,000

  • Tenure: 5 Years

  • Interest Rate: 7.5% per annum

  • Total Interest Earned: ₹2,24,974

  • Maturity Amount: ₹7,24,974

This means you earn ₹2.25 lakh in interest—all while your principal remains 100% safe.

📆 Interest Rates Based on Tenure

Tenure Interest Rate (per annum)
1 Year 6.9%
2 Years 7.0%
3 Years 7.0%
5 Years 7.5%

Clearly, the 5-year option offers the highest return and is ideal for long-term savings.

Additional Benefits

  • Tax Benefits: Investment in the 5-year deposit qualifies for Section 80C deduction under the Income Tax Act, 1961.

  • Minimum Investment: ₹1,000 only

  • No Maximum Limit: Invest as much as you want for greater interest returns

  • Joint Accounts Allowed: Can be opened singly, jointly, or in the name of a minor (above 10 years via a guardian)

  • Annual Compounding: Interest is compounded annually and paid on maturity

🔐 Why Choose Post Office Time Deposit Scheme?

  • Government-Backed Security

  • Fixed Returns – No Market Fluctuation

  • Suitable for Senior Citizens, Housewives, Salaried Individuals

  • Flexible Tenures

  • Easy to Open Across India at Post Offices or Online

📝 How to Open an Account?

  • Visit your nearest post office

  • Fill out the Account Opening Form

  • Submit ID and Address Proof (Aadhaar, PAN, etc.)

  • Deposit the minimum amount (₹1,000 or more)

  • You can also open an account via India Post’s online banking portal, if registered

📌 Final Word

The Post Office Time Deposit Scheme is a great option for those looking to grow their savings with guaranteed returns and tax benefits. With no market risks, it's a reliable choice for both short-term and long-term financial goals.