Recurring Deposit i.e. RD has always been considered as the best means of investment just like Fixed Deposit. The good thing about RD is that you can start it with just Rs.100.
According to your savings, you can add a big amount for yourself by withdrawing a small amount every month. Like bank, RD is also run in post office. At present, interest rate of 5.8% per annum is applicable on post office RD.
The RD scheme of the post office is of 5 years, in which a fixed amount has to be deposited every month. If you do not deposit the installment in a month by the due date, then you also have to pay a penalty at the rate of 1% per month. At the same time, if you do not deposit several installments continuously, the account can also be closed. Know here how many post office installments account gets closed after bounce and what is the way to continue RD if you are not able to pay the installments.
When does your RD account get closed
Recurring Deposit i.e. RD has always been considered as the best means of investment just like Fixed Deposit. The good thing about RD is that you can start it with just Rs.100. According to your savings, you can add a big amount for yourself by withdrawing a small amount every month. Like bank, RD is also run in post office. At present, interest rate of 5.8% per annum is applicable on post office RD.
The RD scheme of the post office is of 5 years, in which a fixed amount has to be deposited every month. If you do not deposit the installment in a month by the due date, then you also have to pay a penalty at the rate of 1% per month. At the same time, if you do not deposit several installments continuously, the account can also be closed. Know here how many post office installments account gets closed after bounce and what is the way to continue RD if you are not able to pay the installments.
When does your RD account get closed
If you feel that you cannot withdraw a fixed amount every month or want to avoid the hassle of depositing RD every month, then you can also deposit RD in advance by paying lump sum money. But you have to deposit the advance installment of at least six months. You also get a discount in this. ₹ 10 discount on every ₹ 100 deposited for 6 months advance installments and ₹ 40 discount on every ₹ 100 deposited for one year’s installment together.
