investment options, each with its unique advantages, National Savings Certificate (NSC) issued by the Indian government is a conventional yet widely embraced investment choice. For those unfamiliar or new to the investment landscape, the NSC is a fixed-income investment program that provides a secure and reliable option with assured returns. It has gained popularity among modest and mid-sized investors due to its tax benefits and attractive return rates.
The NSCs undergo periodic interest rate adjustments determined by the Finance Ministry. For the fourth quarter of the fiscal year 2023-24 (January-March), the prevailing NSC interest rate stands at 7.7% per annum. This rate remains consistent with the preceding quarter (October-December 2023).
It’s important to note that the interest is compounded annually. Engaging in NSC investments is a simple process, offering two primary avenues: offline (physical certificate) and online (e-mode). Let’s delve into the details of each: Individuals who prefer not to utilise the internet for their investments can opt for the offline mode to purchase the NSC.
The online mode provides an alternative for investing in NSCs, allowing you to conveniently invest in these instruments through the internet. This eliminates the need to find the nearest post office at your convenience. Below are the essential attributes of NSCs: In summary, NSCs provide a secure and low-risk investment avenue with assured returns and appealing tax advantages.
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