Chandigarh, December 26, 2024 (Punjab Khabarnama Bureau): The Post Office Monthly Income Scheme (POMIS) is a great investment option for those looking to earn a monthly income. This government scheme is completely safe and offers an annual interest rate of 7.4%. Under this scheme, a maximum investment of ₹1 lakh can be made through a single account, and ₹15 lakh through a joint account.
Who can open this account?
Joint account (up to 3 adults)
Adults aged 18 years or above
In the name of a minor, the account can be opened by a guardian.
If the minor is 10 years old or older, they can open the account in their own name.
Investment Rules:
- The minimum amount to open an account is ₹1000.
- A maximum of ₹1 lakh can be invested in a single account, and ₹15 lakh in a joint account.
In a joint account, each account holder will have an equal share.
How is the interest paid?
- The scheme offers an annual interest rate of 7.4%.
- The interest is directly deposited into the customer’s account every month.
- If the customer does not withdraw the interest, it is added to the post office savings account, where it also earns interest.
- The scheme’s duration is 5 years, after which it can be extended with the new interest rate.
Example of Monthly Income:
Joint Account:
- Investment: ₹15,00,000
- Annual Interest: ₹1,11,000
- Monthly Income: ₹9,250
Single Account:
- Investment: ₹9,00,000
- Annual Interest: ₹66,600
- Monthly Income: ₹5,550
Benefits of the Scheme:
- The scheme offers higher returns than bank FD.
- After 5 years, it can be renewed with a new interest rate.
- If the investor doesn’t wish to continue, the total deposited amount will be refunded after 5 years.
Rules for Closing the Account Early:
- The account cannot be closed before one year.
- If the account is closed between 1 to 3 years, 2% will be deducted from the amount.
- If the account is closed between 3 to 5 years, 1% will be deducted.
The Post Office Monthly Income Scheme (POMIS) is a safe and reliable option that guarantees regular income. It is specifically designed for those who want to earn a fixed monthly income with low risk.
Summary: POMIS offers higher returns than bank FD, guarantees monthly income, and allows renewal after 5 years. Early closure incurs a penalty. Ideal for low-risk investments.