Post office Monthly Income Scheme
The post-office monthly income scheme (MIS) provides for monthly payment of interest income to investors. It is meant for investors who want to invest a sum amount initially and earn interest on a monthly basis for their livelihood. The Postal MIS is meant to provide a source of regular income on a long term basis. In India the post office MIS is a popular scheme for retired persons who can earn monthly income by way of safely depositing lump sum amount in the post office.
The MIS can be opened with any Postal branch in the country. This scheme gives a fixed return of 8% and pays interest monthly. The MIS matures in 6 years and the maximum amount that can be invested is Rs. 3 lakhs for an individual and Rs. 6 lakhs for a joint account. The interest income accrued in the MIS is taxable.
Features of Postoffice MIS
How much to Invest in PostOffice MIS
Minimum - Rs. 1500/-
Maximum - (i). Rs. 3.0 lacs for single account
(ii). Rs. 6.00 lacs for joint account.
(i). On Maturity with bonus
(a). After one year with deduction of 2% of deposited amount.
(b). After three years with 1% deduction.
5% Maturity Bonus w.e.f. 08-12-2007
How to Open the Post office MIS Account?
A person can buy a Post office MIS at any post-office in India. When he opens an MIS account , he l gets a certificate issued by the post office. In addition, the investor is provided with a passbook to record his transactions against his MIS.