Post Office Monthly Income Scheme (MIS) is meant for investors who want to invest a sum amount initially and earn interest on a monthly basis for their livelihood. The scheme is, therefore, more beneficial for retired persons.
Changes in the scheme :
|Eligibility||Any individual singly or jointly with other one or two adults.
A guardian on behalf of minor or a person of unsound mind.
A minor who has attained the age of 10 years.
|Minimum amount||Rs. 1,500/-|
|Maximum amount||Rs. 4.5 lakhs in single account and Rs. 9 lakhs in joint account.
Any number of accounts can be opened subject to the maximum prescribed limit.
|Maturity period||Six years for accounts opened upto 30th November 2011. |
Five years for accounts opened after 1st December 2011.
|Interest Rate||8 per cent per annum for accounts upto 30th Novemeber 2011. Additionally bonus of 5 per cent of the deposit amount on maturity after six years for accounts opened upto 30th November 2011.|
8.20 % per annum on accounts opened on or after 1st December 2011. No bonus is payable for accounts opened on or after 1st December 2011.
Interest rate revised to 8.50% w.e.f. 01.04.2012.
Interest rate revised to 8.40% w.e.f. 01.04.2013.
|Premature withdrawal||Can be prematurely encashed after one year but before 3 years at the discount of 2% of the deposit and after 3 years at the discount of 1% of the deposit. (Discount means deduction from the deposit.)
No bonus is applicable to any premature closure of the Account.
|Tax benefits||Not available.|
|Agency Commission||0.5% w.e.f. 1st December 2011.|