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.
Recent 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||₹ 1,500/-|
|Maximum amount||₹ 4.5 lakhs in single account and ₹ 9 lakhs in joint account.
Where amount is deposited in excess of the specified limit, the depositor shall be requested to withdraw the same. Such excess deposit swhall carry the POSB interest rate from the date of deposit till the date of withdrawal.
Any number of accounts can be opened subject to the maximum prescribed limit for deposit.
|Maturity period||Six years for accounts opened upto 30th November 2011. |
Five years for accounts opened after 1st December 2011.
|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.|
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