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Want to Double Your Money? Invest in this Government-backed Savings Scheme; Complete Details Inside

Abha Toppo
Abha Toppo

If are worried about your future at this crisis situation then you must surely read this article.  For a safe and secured future, you must invest in a beneficial government scheme. Small savings schemes that are backed by Government are some of the most popular and demanding investment options in India besides bank Fixed Deposits (FDs). 

India Post provides nine small savings schemes including National Savings Certificates (NSC), Public provident fund (PPF), Recurring Deposit (RD), Sukanya Samriddhi Scheme, Kisan Vikas Patra (KVP) etc.

But in this article, we will mainly focus on Kisan Vikas Patra (KVP) Scheme. This post office scheme has a maturity period of 124 months. Through Kisan Vikas Patra you can double your invested money in 124 months or 10 years and 4​​​ months. Earlier, the invested amount doubled in 113 months.

It must be noted that after investing in this Post Office scheme, you will get a guarantee from the government that your money is secured and investment will give guaranteed returns.

kisan vikas patra

Rate of interest on Kisan Vikas Patra​

The annual rate of interest on Kisan Vikas Patra account is 6.9%. And as it is a central government scheme, after you invest in this Post Office scheme, you will surely get a guarantee from the government that your investment is secured with a guaranteed return, which means the interest  rate is fixed throughout the investment period at the annual interest rate available at the time of account opening.

What is the Eligibility of Kisan Vikas Patra? 

Any Indian citizen above 18 years of age can invest in this government scheme and get a certificate. In addition, there is no upper age limit for KVP, which means senior citizens can also invest in it.

This scheme also allows minors to invest and buy a KVP certificate. But, the account has to be held by an adult.

Only those residing in India are eligible to buy a KVP certificate. NRIs or Non-resident Indians are not allowed to invest in this scheme.

Hindu-Unified Families also cannot purchase a KVP certificate.

Companies cannot get a KVP certificate.


Maturity period of Kisan Vikas Patra

New maturity period of this post office scheme account is 124 months, which means 10 years and 4 months. Take for example, if you invest Rs 1 Lakh in KVP account today then this Rs 1 lakh will become Rs 2 lakh at the time of maturity.

It is also important for the investors to know that there is no limit on the maximum amount to be invested in KVP account. However, the minimum amount to be invested is Rs 1,000 & the amount has to be in the multiple of Rs 100 only. The certificate will be issued in form of Passbook.

Who can buy Kisan Vikas Patra Certificate?

KVP Certificates can be purchased by the following;

  • A single adult

  • Joint A Account - max 3 adults

  • Joint B Account – max 3 adults

  • Minor above ten years of age (an adult on behalf of a minor and a guardian on behalf of a person of unsound mind)

You can encash the Kisan Vikas Patra certificates after 30 months or two and half years from the date of issue. Here you are also given facility of nomination. Also, the certificate can be transferred from one person to another & from one post office to another.

KVP Premature Withdrawal

Unlike other saving schemes, KVP also allows you to make premature withdrawals. But, if you withdraw within 1 year of purchasing the certificate then not only will you lose the interest but will have to pay a penalty.

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