Where to deposit the money?Post Office or Bank - Know who will benefit more
Every person wants his hard earned money to be safe and good interest is also received on him.But often the question comes in the minds of people that where it would be better to deposit money - Post Office or Bank (Government Bank like SBI)?Savings and fixed deposits (FD) are facilitated in both places, but the investment should be decided only by looking at the interest rate and security.
Benefits of depositing money in post office
The Indian Postal Department is not limited to sending letters, but it is one of the largest financial services provider institutions in the country.Many types of savings schemes are available here like - Post Office Savings Account, Recurring Deposit (RD), Time Deposit (TD), Monthly Income Scheme (MIS), National Savings Certificate (NSC) and Public Provident Fund (PPF).The biggest feature of the post office is that here the government gives the government guarantee.That is, your money deposited here is 100% safe.Interest rates on many schemes are more than banks.For example - The interest rate in some schemes ranges from 7% to 8% and can be more attractive on long -term investment.
Benefits of depositing money in bank
If you deposit money in the bank, then you get the benefit of flexibility and digital facility.With a bank account, you can do online transactions, withdraw money from ATMs and avail mobile banking.Saving accounts in banks and interest rates on FD are usually from 3% to 7%.A large government bank like SBI also ranges the interest rate on FD from about 6.5% to 7.5%.This interest rate may be slightly lower than the post office, but the liquidity in the bank is easier to withdraw money immediately.
Where would it be better to deposit?
The decision of where to deposit money depends on your needs.If you want safe and guaranteed returns, then Post Office is the best option.On the other hand, if you want digital facilities and access to money immediately, then Bank (government bank like SBI) will be correct.