Personal Finance
The good thing about Post Office bank accounts is that they offer a specified return on investment. People in rural and semi-rural areas are the major beneficiaries of Post Office accounts.
Updated : Nov 17, 2020, 12:30 PM IST
There are numerous benefits of investing in a Post Office. If you want to invest your hard-earned money without risk, then opt for opening an account in Post Office bank. Post Office deposits are considered to be a safe and secure mode of savings. It is preferred by senior citizens and individuals who want risk free investments. A Post Office savings account is similar to a regular savings account.
The good thing about Post Office accounts is that they offer a specified return on investment. People in rural and semi-rural areas are the major beneficiaries of Post Office accounts.
It is also considered more beneficial in the case of bank fixed deposits (FD). Its FD has been getting much better returns than banks. FDs in post office accounts get interest ranging from 6.25% to 7.5%. In the bank, this rate goes from 3.75 to 7.25%.
1. Visit any Post office closest to you.
2. At the Post Office, ask for the savings account application form.
3. Fill in the Post Office savings account application form.
4. Submit the required KYC documents - identity and address proof.
5. Submit recent passport size photographs.
6. Once the form, documents and photographs have been submitted, make the initial deposit towards the account, which cannot be lower than Rs 20. The deposit has to be made in cash.
7. If you want to get a Post Office savings account without a cheque book, you will need to pay a deposit amount of at least Rs.50.