Post Office RD Interest Rates 2025: The Post Office RD Scheme 2025 is one of the safest and most reliable saving schemes for individuals who want government-backed security with guaranteed returns. Under this scheme, if you invest just ₹222 per day (around ₹6,660 per month), you can accumulate up to ₹10 lakh in 10 years through disciplined savings and compound interest.
What is Post Office RD Scheme?
The Post Office Recurring Deposit (RD) Scheme is a small savings plan launched by the Government of India under India Post. It is designed for people who prefer low-risk investments with assured returns.
- Minimum Deposit: ₹100 or in multiples thereof
- Tenure: 5 years (extendable up to 10 years)
- Interest Rate: Decided quarterly by the Government of India
- Compounding: Quarterly
- Premature Withdrawal: Allowed after 3 years (with conditions)
By saving just ₹222 daily (₹6,660 monthly), investors can build a significant wealth corpus over time.
How ₹222 Daily Becomes ₹10 Lakh in 10 Years
Let’s break down the calculation:
- Daily Saving: ₹222
- Monthly Deposit: ₹6,660
- Annual Deposit: ₹79,920
- Total Deposit in 10 Years: ₹7,99,200
- Maturity Value (with interest): ~₹10,00,000
This growth is possible due to quarterly compounding offered by the Post Office.
Key Benefits of Post Office RD Scheme
Government-Backed Security: 100% safe investment option
Small Savings, Big Returns: Just ₹222 daily can become ₹10 lakh
Guaranteed Interest: Interest rates fixed by the government every quarter
Premature Withdrawal Facility: Available after 3 years
Loan Facility: Investors can avail loans against RD deposits
Nomination Facility: Ensures money transfer to family in unforeseen events
How to Open a Post Office RD Account
Opening an RD account is simple and hassle-free:
- Visit the nearest Post Office branch
- Collect and fill the RD application form
- Submit KYC documents (Aadhaar, PAN, Address proof)
- Deposit the first installment (minimum ₹100 or in multiples of ₹10)
- Choose payment method (Cash/Online/Post Office Savings Account transfer)
After opening the account, you will receive a passbook with deposit and maturity details.
Eligibility Criteria for Post Office RD
- Any Indian resident can open an RD account
- Minors above 10 years can open in their own name
- Parents/guardians can open on behalf of minors below 10 years
- Joint accounts (up to 3 adults) are allowed
Conclusion
The Post Office RD Scheme is one of the best ways to build a secure financial future with guaranteed returns. By saving just ₹222 daily, you can create a maturity corpus of ₹10 lakh in 10 years. It is an ideal investment choice for salaried individuals, small business owners, homemakers, and students who want risk-free returns with government security.