FDs To National Savings Certificate, Small Investment Schemes To Beat Inflation – News18

Sometimes, saving money is just not enough. It is considered wise to invest your savings which will guarantee a good return. While many invest in stock and share market, or in buying assets like real estate, or precious metals like gold, there are others who believe in investing their money in a scheme where the returns are higher than the inflation rate.

In July 2023, the retail inflation rate was 7.43 per cent, and there are a few schemes you can invest in for higher returns. Let us take a look at some small investment schemes to beat the inflation.

Fixed Deposits (FDs)

State Bank of India and ICICI Bank are currently offering 3 per cent to 7.1 per cent interest rates to the general public on Fixed Deposits for a tenure of seven days to 10 years. On the other hand, Axis Bank is giving an interest rate from 3.5 per cent to 7.1 per cent on FDs upon maturity.

Public Provident Fund (PPF)

HDFC Bank is offering a 7.1 per cent interest rate to the general public on Public Provident Fund. It is fully exempted from tax under the Section 80C. Even after maturity, the account can be extended for 5 years.

Sukanya Samriddhi Yojana

The government scheme Sukanya Samriddhi Yojana was created under the initiative of Beti Bachao Beti Padhao to benefit the girl child. It is currently offering 8 per cent interest, which is higher than the July inflation rate. All you need to do is open an account in the name of your daughter and you will be able to deposit a minimum Rs 250 and a maximum Rs 1.50 lakh annually.

National Savings Certificate (NSC)

A National Savings Certificate is a small saving scheme that provides returns enough to beat inflation. The return rate is 7.7 per cent on the money deposited in the NSC account. The lock-in period of the scheme is 5 years.

Post Office Monthly Income Scheme (POMIS)

The Post Office Monthly Income Scheme gives higher returns to beat the inflation rate. If you invest in this scheme, you can avail 7.4 per cent return. The maturity period of this scheme is 5 years and you can invest a maximum of Rs 9 lakh.