Post Office KVP Scheme: If you want to put away some money with an investment scheme that offers solid returns and is secure, you can certainly trust the schemes that are run by Post Offices. In these schemes, the government itself guarantees the safety of the investors’ money, but the interest is also very good. Post Office offers various small savings schemes for every age group and for every class and one special scheme is Kisan Vikas Patra Scheme which assures to double the money in 115 days. Let us discuss in detail how money can be invested and benefits of it….Account can be opened for Rs 1000In today’s fast paced life, people work hard and expect reasonable returns on it. One thing that works in favor of Post Office KVP Scheme is money is returned on investment. Besides that, it’s completely risk-free.Investors can start with as little as Rs 1000, and the upper limit for investment is open-ended. Specifically, there are no bounds to how much one can invest.Strong interest of 7.5% on investmentIn the post office Kisan Vikas Patra scheme, the government is providing excellent returns of 7.50 percent. This interest is paid out on an annual basis on savings in the KVP scheme. The maturity period for the KVP scheme is 115 months. Moreover, it allows both single account and double account holders to open KVP accounts.One person can open multiple accountsAnother great feature of this government scheme is that there is no limit on the number of KVP accounts one can open. In other words, if the investor desires to have two accounts, he can, or he may open multiple accounts. Also, during the scheme period, an account can be opened under this Kisan Vikas Patra scheme for a child who is above 10 years old.This investment strategy is all about how each part of the money is doubling, something different people think off as a very complicated process. Well, the good news here is it is all about the simple interest which keeps on getting added to a principal on yearly basis. So here is an example, in this scheme of investment lets assume you put in Rs 1 lakh. At the end of the year, based on 7.5%, you would expect to receive Rs 7500 in interest now this amount would be added in the principal for the second year and as per your calculation now you would have Rs 1,07,500 . Now number keep on changing and for the second year you would be entitled to additional receivable of Rs 8,062 and the same would be added in the principal for third year and you would have Rs 1,15,562. The same process can be repeated for unlimited times and the total amount keeps on increasing. If we change this example here and instead of Rs 1,00,000 we start with 5 lakh, then in this case amount shall also keep on increasing and in the end the investors would have Rs 10 lakh when the time comes for withdrawal.
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