Post Office RD Maturity Rules: Like the bank, you are also given all the facilities in the post office. Just as you can open your account in the bank, invest in FD, RD, PPF etc.
schemes, similarly you get all these facilities in the post office, as well as RD and Sometimes better interest is available from banks on schemes like FD. This is the reason why many people prefer to invest in post office instead of bank. But if you are thinking of opening an RD in the post office, then you should know that the Post Office Recurring Deposit Account is opened for five years.
You do not get the option of RD for one or two years like a bank. That is, if you are going to start RD in the post office, then you will have to invest continuously for 5 years. But suppose sometime after starting RD, if you need to break it in the middle, what will you do, what is its rule and how much will be the loss, know about it here.
On premature closure
At present, interest is being received at the rate of 5.8 per cent on Post Office Recurring Deposit ie RD. According to the rules, the post office RD account matures after 5 years, but if needed, you can close it in the middle after three years from the date of opening the account. But if you close this account even a day before the maturity period, then you are not given interest at the rate of 5.8%, but you are given interest equal to the post office savings account. At present, 4% interest is being received on the post office savings account.
On premature death of the account holder
If a person starts his post office RD account and dies before maturity, then all the money deposited in that RD is given to the nominee of the account holder. If the nominee wants, investing in that account every month, he can keep that account running till the completion of the maturity period. In this case, he is given the full amount along with the interest received on maturity.
Who can open RD account
Any person whose age is 18 years can open an RD account for himself in the post office. At the same time, the guardian can open this account in the name of the child. If the age of the child is more than 10 years and he can put a similar signature, then he himself can open the post office RD account in his name. Apart from this, two to three people together can also open a joint account of RD for themselves.
