The Post Office Recurring Deposit (RD) Scheme continues to be one of the most reliable and popular savings plans in India, especially for those who want guaranteed returns without any market risks.
With a fixed interest rate and government-backed security, this scheme helps individuals build a substantial fund through disciplined monthly savings. The new calculation shows that by saving ₹10,000 every month, an investor can accumulate an impressive ₹7.13 lakh in just five years.
How Your ₹10,000 Monthly Deposit Turns into ₹7.13 Lakh
The Post Office RD runs on a 5-year maturity period with interest compounded quarterly. This compounding effect steadily increases the deposit amount and delivers consistent growth.
By depositing ₹10,000 every month for 60 months, the total investment becomes ₹6,00,000. With the current RD interest rate applied through quarterly compounding, the maturity value reaches approximately ₹7,13,000 at the end of five years.
RD Maturity Value Table for ₹10,000 Monthly Deposit
| Monthly Deposit | Tenure | Total Deposit | Approx. Maturity Value |
|---|---|---|---|
| ₹10,000 | 5 Years | ₹6,00,000 | ₹7,13,000 |
Note: Final maturity depends on the prevailing RD interest rate at the time of opening.
Why the Post Office RD Is Popular
The scheme is widely favored because it offers a stable interest rate, guaranteed maturity, and complete safety under the Government of India. It is ideal for salaried individuals, small business owners, and anyone who prefers low-risk savings with predictable returns. The disciplined monthly deposit habit also helps build financial discipline while steadily creating a healthy corpus over time.
How to Open an RD in the Post Office
Opening an RD account is simple. Individuals can visit their nearest post office and complete the account opening form with basic KYC documents. Existing account holders can even automate monthly deposits through standing instructions. Once the RD is opened, the investor receives a passbook containing deposit and maturity details.
A Smart Choice for Building Mid-Term Savings
For those looking to accumulate a sizeable amount for future goals such as education, home renovation, travel, or emergency funds, this RD plan is a practical and safe option. Turning ₹10,000 monthly savings into more than ₹7 lakh in five years makes this scheme a strong choice for disciplined savers seeking assured returns.