The Post Office of India trumps with the new alluring schemes for saving your extra bucks.  The schemes not only requires contributions but also commits good returns for your saving. The Postal System of India represents Five engaging saving schemes. The list includes savings account, fixed deposit account, recurring deposit account,sukanya samriddhi account, monthly investment scheme, perpetrates interest rates crossing from 4 per cent to 8.1 per cent.

These schemes even propose income tax benefits under Section 80C of the Income Tax Act.

Post Office Savings Account holds the interest rate of 4 per cent per annum which implies that annual return will increase by 4 per cent annually. The interest income is tax-free till Rs 10000. The account can only be opened by cash. The Post office even issues an ATM if required. The transaction can be done through electronic mode.

Post Office Fixed deposit, You just need at least Rs 200 to open this fixed deposit account. It even provides the facility to transfer the account from one place to another. The interest rates increase with the number of years. For the one year fixed deposit the interest rate is 6.6 per cent while two-year deposit grabs the interest rate of 6.7 per cent. The three-year post office fixed deposit has 6.7 per cent interest and Five-year-old deposit acquires 7.4 per cent. The five-year-old account even unlatches the benefit under Section 80C of the Income Tax Act, 1961.

Post office recurring deposit, It can be opened with the minimum amount but in the multiple of five and there is no limit for the recurring deposit instalment. This deposit holds a quarterly-compounded interest rate of 6.9 per cent per annum. One withdrawal is allowed after one year but it should not be more than 50%. It requires payments at regular intervals.

Sukanya Samriddhi Scheme is a scheme launched by Govt. It just needs deposits of Rs 250 yearly. The account can be opened in the name of the girl child by the parents or local guardians. It can be only opened until the age of 10 years from the date of birth. It offers the interest rate of 8.1 % and is calculated and compounded on annual basis.

Post office monthly investment scheme (MIS) provides the return at regular periods. The minimum amount required should be the multiple of 1,500. The highest investment can be made up to Rs 4.5 lakh in a single account and Rs 9 lakh for joint one. The MIS has an interest rate of 7.3 per cent per annum and it occupies maturity i.e maturity period is 5 years.