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Post Office MIS vs TD: Where to Invest 5 Lakhs for Maximum Profit?
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News18•23-09-2026, 15:57
Post Office MIS vs TD: Where to Invest 5 Lakhs for Maximum Profit?
- •Post Office Time Deposit (TD) and Monthly Income Scheme (MIS) are popular savings options.
- •Investing 5 lakh rupees in a 5-year TD at 7.50% interest yields an estimated ₹2,24,974 interest, totaling ₹7,24,978.
- •For MIS, 5 lakh rupees at 7.40% annual interest provides approximately ₹3,083 monthly, totaling ₹1,85,000 interest over 5 years.
- •TD offers flexible tenures (1, 2, 3, or 5 years), while MIS has a fixed 5-year lock-in period.
- •Choose MIS for regular monthly income and TD for a lump sum return, depending on your financial needs.
Key Questions Answered
Investors can deposit money in Post Office Time Deposits for 1, 2, 3, and 5 years. Currently, the 1-year TD offers 6.9% interest, the 2-year TD offers 7% interest, and both the 3-year and 5-year TDs offer 7.5% interest.
If you invest 5 lakh rupees in a Post Office Time Deposit for 5 years at an annual interest rate of 7.50%, you will receive an estimated interest of ₹2,24,974. This brings the total estimated maturity value to ₹7,24,978.
The Post Office Monthly Income Scheme features a 5-year lock-in period where your principal remains completely safe. With a current annual interest rate of 7.40%, a 5 lakh rupee investment yields an annual interest of ₹37,000, which breaks down to approximately ₹3,083 paid monthly.
