NSC Scheme: Invest money once, after five years you will earn lakhs only from interest, know how

If you want to invest in a place without risk, where your money is safe and you get good returns, then a government scheme of the post office can be useful for you. The special thing is that there is a government guarantee on the investment and interest is also given at an attractive rate.

The government has not made any change in the interest rate of this scheme for the quarter July to September 2026. In such a situation, investors have the opportunity to get better returns like before.

NSC Scheme will provide interest at the rate of 7.7 percent

The government has retained the interest rate of the National Savings Certificate Scheme at 7.7 percent for the July to September 2026 quarter. The interest received in this scheme is compounded on compound basis and the entire amount is received together on maturity. Its full benefit is available only if the investor continues the account till the completion of the five-year period.

You can start investing with just Rs 1000

Investment in this scheme can be started with a minimum of Rs 1000. There is no limit on maximum investment, so investors can deposit the amount as per their capacity. An account under this scheme can also be opened in the name of children. The account of a child below 10 years of age can be operated by a parent or guardian.

You will also get the benefit of saving tax

By investing in the National Savings Certificate Scheme, one can also avail tax exemption of up to Rs 1.5 lakh in a financial year under Section 80C of the Income Tax Act.

In this way, you will get Rs 5 lakh only from interest.

If an investor invests a lump sum of Rs 11.50 lakh in this scheme and continues the account for full five years, the total amount on maturity can be around Rs 16.66 lakh (NSC Scheme). In this, the income from interest only will be around Rs 5.16 lakh. This calculation has been done on the basis of the current 7.7 percent annual interest rate.

Loss on closing account before maturity

There is an option to close the account prematurely in this scheme, but one does not get the full benefit from it. If the account is closed after one year, normally interest will not be availed and only the principal amount deposited will be returned. Therefore, to take full advantage of the scheme, it is considered better to maintain the investment for a fixed period of five years.