Postal Savings Plan: Senior citizens in India are not yet too digitally compliant as they are not tech savvy. Due to this, postal savings plans are still particularly popular among them, except for others. Several savings schemes offered by India Post are among the most popular risk-free savings schemes in the country. For the average middle-class Indian citizen, investing in good programs with attractive fixed interest rates remains one of the top priorities. This is true for seniors, who rely heavily on money earned through savings after retirement.
To enable senior citizens to obtain a fixed income after retirement, the post office has set up the Senior Citizen Savings Scheme, or SCSS. As the name suggests, the program is for senior citizens introduced by India Post. It is for Indians over the age of 60, which means that the subscriber must be 60 years of age or older on the date of opening this plan. However, there is room for reservations for certain beneficiaries under conditions. Thanks to this, subscribers can get a decent amount of returns and a guaranteed income from the post.
Calculator for the savings plan for Swiss Post senior citizens
If a subscriber makes a monthly deposit of Rs 8,334 into this policy every month, he gets an amount of around Rs 7 lakh after five years when the account matures. Let’s say an account holder makes a deposit of Rs 8,334 per month. In this way, every year, the subscriber will make a deposit of Rs 1 lakh. This in turn means that in 5 years, the deposit amount will be Rs 5 lakh. With interest, the amount will be around Rs 7 lakh. This is because the interest under this scheme is 7.4 percent as of now. If we calculate accordingly, the amount of interest amounts to Rs 1 lakh 85 thousand. The gross amount therefore amounts to Rs 6,85,000 over a period of five years. Interest is calculated quarterly under this scheme, which means that the beneficiary will receive an interest amount of Rs 9,250 every quarter. This is similar to the interest rate provided by PPF accounts.
Maturity period and interest rate
As stated above, the interest rate under this scheme is 7.4 percent. The maturity period under this scheme is 5 years, but can be extended beyond that. A beneficiary can apply for a one-time three-year extension to get more benefits within one year of account maturity.
Eligibility
Anyone aged 60 or over can open an account under La Poste’s Seniors’ Savings Plan. However, civilian employees over the age of 55 can also open an SCSS account within one month of obtaining pension benefits. For Defense employees, the limit is 50 years.
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