These small savings schemes will give you big benefits

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There has been an increase in the interest received in the Small Savings Schemes of the government. For the July-September quarter, the government has announced an increase in interest rates for various small savings schemes by up to 0.7 per cent. Since the interest rates of small savings schemes are supported by the central government and depend on the market returns on government securities. RBI has also increased the repo rate several times. Due to this, small savings are getting attractive interest without any risk at this time. Along with this, ingterest on many savings schemes is also tax free. This has made small savings schemes an attractive option for investors. If you are also planning to invest in such small savings schemes, then you can choose these selected schemes.

National Savings Certificate The National Savings Certificate (NSC) is one of the popular schemes of the post office. It gives good returns to people without any risk. In this, you also get the benefit of tax exemption. In this scheme, under Section 80C of Income Tax, you can claim a rebate of Rs 1.5 lakh annually. The interest rate of NSC has been kept unchanged at 7.7%. Customers were expecting that there could be further increase in this. You can start investing in this with only Rs 10,00, while there is no maximum investment limit. You can buy three types of certificates in this. In this scheme, investors can invest money under Single, Joint A and Joint B.

Senior Citizens Savings Scheme  The Senior Citizen Savings Scheme of the Post Office is beneficial for those who are looking for a regular income option. Also, those who want to invest in such a scheme to beat inflation, in which there is a guarantee of security along with better returns. Currently, interest is being offered at the rate of 8.2% in this scheme. It has a lock-in period of five years. Interest is credited on a quarterly basis. The interest received in this is taxed on the basis of slab.

Public Provident Fund  There has been no change in the interest rate on Public Provident Fund (PPF) for the July-September quarter of the financial year 2023-24. It is 7.1 percent as before. PPF, also known as Public Provident Fund. This is one of the most preferred investment options in India. It is very much liked by investors due to guaranteed returns, tax benefits on the amount invested and tax exemption on returns. In this, under Section 80C of the Income Tax Act, the benefit of tax deduction on PPF investment is available. Also, the interest on PPF account is also tax free. The minimum annual deposit amount in this is Rs.500. While the maximum annual contribution limit is Rs 1.5 lakh. This plan is for 15 years.