Types of Saving Schemes in India
Saving schemes are introduced by the Indian Government or by financial institutions or banks of the public sector. Their interest rates, investment horizons and tax treatments differ. A saving scheme makes us prepared financially for unexpected personal and medical emergencies. This helps you fulfill your personal goals and those of your family-additional education courses to complement your current credentials, further education and marriage for children, etc. In others, money from saving schemes often acts as an additional source of income. Everything else? This instills a disciplined habit of saving regularly. The advantage of saving schemes is that they are supported by Government, thereby providing full protection and security of your invested money. Furthermore, they are low in risk but have decent returns at the same time. In general, interest rates on saving schemes are updated every 3-6 months. Types of saving schemes in India can be broadly categorized into 2 types...