KVP is the right scheme for risk-averse investors. You get guaranteed returns in this government scheme. There is no limit on investment in KVP.
New Delhi. Everyone wants to invest his hard-earned money in a place where he not only gets good returns, but also his capital is completely safe. Keeping in mind the needs of risk-averse and small investors, the government is running many small savings schemes. One such great small savings scheme is Kisan Vikas Patra. This is a good investment option for those looking for long-term investment. Currently, Kisan Vikas Patra is getting interest at an annual rate of 7.5 percent (Kisan Vikas Patra Interest Rate). This means that if you invest money in this scheme, your money will double in 115 months i.e. 9 years and seven months.
Kisan Vikas Patra can be purchased for ten years. The minimum investment in it is Rs 1,000. There is no maximum investment limit. This means that you can invest in it to your heart’s content. It is a safe way of investing and is not subject to market risks. You will get guaranteed returns despite market fluctuations.
Who can invest?
The person investing in Kisan Vikas Patra must be at least 18 years of age. Apart from single account, there is also facility of joint account. This scheme is also available for minors, which has to be looked after by the guardian. This scheme is also applicable for trusts except Hindu Undivided Family i.e. HUF or NRI. To invest in this, there are certificates of Rs 1000, Rs 5000, Rs 10,000 and Rs 50,000, which can be purchased.
One Time Investment Scheme
Kisan Vikas Patra is a one-time investment scheme of the Government of India, where your money doubles in a fixed period. You can buy Kisan Vikas Patra from all post offices and big banks in the country. Nomination facility is available while purchasing the certificate. If you have not made a nominee while purchasing the KVP certificate, then you can make a nomination anytime before maturity.
What tax benefits are available?
On investing in Kisan Vikas Patra, you have to pay tax on the interest income earned. However, under section 80C of the Income Tax Act, you do not get any tax benefit on the amount deposited in this scheme.
Tags: Investment tips, Farmers Development Letter, Money Making Tips, Small Saving Schemes
FIRST PUBLISHED : February 17, 2024, 18:00 IST