8 post office investment schemes that offer over 7% guaranteed return

Did you know that you can open a host of small savings scheme accounts at designated post office branches? These schemes are investment options that are government-backed and designed to encourage savings among individuals. Some popular small savings schemes include Public Provident Fund (PPF), National Savings Certificate (NSC), Kisan Vikas Patra (KVP), Senior Citizen Savings Scheme (SCSS), Sukanya Samriddhi Yojana (SSY), and Post Office Monthly Income Scheme (POMIS).

Here are eight small savings schemes, available at post offices, that deliver returns higher than 7.0 per cent, as of the quarter ending June 30, according to the India Post website (indiapost.gov.in):

Here are some of the key details to know about these small savings schemes:
    
Post Office Public Provident Fund (PPF)
A long-term savings scheme, the Post Office Public Provident Fund (PPF) offers a tenure of 15 years, with the option to extend in blocks of five years. Investors can deposit a minimum of Rs 500 and a maximum of Rs 1.5 lakh annually, and gain interest of 7.1 per cent per annum.

Post Office Senior Citizen Savings Scheme (SCSS)
The Senior Citizen Savings Scheme is a government-backed initiative designed to provide financial security to elderly individuals, offering an interest rate of 8.2 per cent per annum. Senior citizens aged 60 years and above can benefit from this scheme, which offers regular interest payouts. The scheme provides a safe and reliable investment option for retirees looking to secure their future. The scheme is available at a minimum investment of Rs 1,000 and allows a maximum investment of Rs 30 lakh.

Post Office Monthly Income Scheme (POMIS)
The Post Office Monthly Income Scheme (POMIS) provides a steady monthly interest income, ideal for risk-averse investors. It offers a flexible lock-in period, ranging from one to five years, where a five-year tenure offers a fixed interest rate of 7.4 per cent. One can set up an MIS account against a minimum deposit of Rs 1,000. The scheme allows a maximum investment of Rs 9 lakh in a single account and Rs 15 lakh in a joint account.

Post Office Time Deposit (TD) Scheme
Also known as National Savings Time Deposit scheme, the Post Office Time Deposit scheme offers four types of plans, ranging from one year to five years, each having a dedicated fixed interest rate. For the quarter ending June 30, the two-, three- and five-year time deposit schemes offer interest rates of 7.0 per cent, 7.1 per cent and 7.5 per cent, respectively, while the one-year option delivers a 6.9 per cent return. Eligible depositors can start a TD account with a minimum investment of Rs 1,000.

Post Office National Savings Certificates (NSC)
The National Savings Certificate (NSC) comes with a fixed tenure of five years with a guaranteed interest rate, currently at 7.7 per cent per annum. It is a favourable and popular choice for risk-averse investors seeking steady returns.

Post Office Kisan Vikas Patra (KVP)
Investment in the Kisan Vikas Patra certificates - also known as certificates of deposit - doubles over a period of 115 months (nine years and seven months). The scheme is available for investment against a minimum deposit of Rs 1,000 with no upper limit.

Post Office Sukanya Samriddhi Account Scheme
The Sukanya Samriddhi Scheme is a special scheme to encourage savings for girl children in the country. This scheme offers a high-interest rate, tax benefits, and a long-term investment option for parents to build a corpus for their daughter for purposes such as education and marriage. Families with girl children below 10 years old can open an account under this scheme. The Sukanya Samriddhi scheme allows a minimum investment of Rs 250 annually, with an upper cap of Rs 1.5 lakh per financial year.

Mahila Samman Savings Certificate (MSSC)
Aimed at empowering women, the Mahila Samman Savings Certificate is a special savings scheme offering a safe investment option with attractive interest rates and tax benefits, with current fixed interest standing at 7.5 per cent. The scheme is available at a deposit of a minimum of Rs 1,000 and up to Rs 2 lakh for a fixed maturity period of two years.

These schemes cater to diverse financial goals, from long-term savings to regular income and specific needs like children's education and senior citizen security. With their high interest rates and safety, they are excellent choices for risk-averse investors looking to grow their savings.