New Government Scheme: How to Get ₹36 Lakh in 5 Years
For investors who prefer safety over risk, government-backed savings schemes continue to be a reliable way to grow money steadily. One such option is the National Savings Certificate (NSC), available through post offices across India. Known for its guaranteed returns, tax benefits and simple process, NSC is a popular choice among individuals looking for secure long-term savings without exposure to market fluctuations.
What is the National Savings Certificate (NSC)?
NSC is a fixed-income savings scheme backed by the Government of India and offered through the postal network. Since it is not linked to equity or market movements, your investment remains protected. For the current quarter, the NSC interest rate stands at 7.7% per annum, compounded annually.
The government reviews and revises NSC interest rates every quarter to ensure they remain competitive with other small savings schemes. In addition to assured returns, NSC also provides tax benefits of up to ₹1.5 lakh under Section 80C of the Income Tax Act.
For example, an investment of ₹25 lakh can mature to approximately ₹36.47 lakh after five years. This means an interest gain of nearly ₹11.47 lakh, all without taking any market-related risk.
What is the National Savings Certificate (NSC)?
NSC is a fixed-income savings scheme backed by the Government of India and offered through the postal network. Since it is not linked to equity or market movements, your investment remains protected. For the current quarter, the NSC interest rate stands at 7.7% per annum, compounded annually. The government reviews and revises NSC interest rates every quarter to ensure they remain competitive with other small savings schemes. In addition to assured returns, NSC also provides tax benefits of up to ₹1.5 lakh under Section 80C of the Income Tax Act.
How much can your investment grow?
The main attraction of NSC lies in the power of compounding. Over a fixed tenure of five years, the invested amount grows steadily.For example, an investment of ₹25 lakh can mature to approximately ₹36.47 lakh after five years. This means an interest gain of nearly ₹11.47 lakh, all without taking any market-related risk.
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