4 Safe Government Schemes Offer High Returns: Indian investors are always looking for such options where their money is safe and they also get good returns. If you have a lump sum amount and want to get more secure and stronger interest than Fixed Deposit (FD), then these government schemes can prove to be best for you. These four options not only guarantee security but also provide better interest rates than FDs at present. Come, let us know in detail about these investment options which can give you great returns.

Safe Investment: Why are these options special?

Security and returns are the two most important things while investing. Fixed deposits have always been considered safe, but the biggest advantage of investing in government schemes is that you can get better interest rates than FD and also get the benefit of tax exemption. These plans help you grow your money over the long term and remain unaffected by market fluctuations.

1. Public Provident Fund (PPF)

Public Provident Fund (PPF) is a great option for investors who want to make safe investments for the long term.

• Interest Rate: Currently it offers an attractive interest rate of around 7.1%.


• Tenure: Its maturity period is 15 years.


• Tax Benefits: The biggest feature of PPF is its ‘EEE’ tax status. This means that the amount deposited, interest received and the entire amount received on maturity is completely tax free.

2. Senior Citizens Savings Scheme (SCSS)

This scheme is specially designed for senior citizens aged 60 years and above, to provide them regular and secure income after retirement.

• Interest Rate: It is getting the highest interest rate of around 8.2%, which makes it much better than FD.


• Duration: Its initial duration is 5 years, which can be extended further.


• Tax Benefits: Investing in this also gives the benefit of tax exemption under Section 80C of the Income Tax Act.

3. Post Office Time Deposit (POTD)

Post Office Time Deposit works in a similar way to a bank’s Fixed Deposit (FD), but being in the post office, it is considered more secure and its interest rates are often slightly better than banks.

• Tenure: It is available in tenors of 1, 2, 3 and 5 years.


• Interest Rates: Interest rates vary depending on the tenure, but are attractive.


• Tax Benefits: The special thing is that the benefit of tax exemption is also available on the 5 year option.

4. Sukanya Samriddhi Yojana (SSY)

This scheme has been started by the Government of India to secure the future of daughters. It helps parents create a large fund for their daughter’s education and marriage.

• Interest Rate: Currently it is offering excellent interest of around 8.2%.


• Tenure: The maturity period of the scheme is 21 years (up to education or marriage of daughter, whichever is earlier).


• Tax Benefits: This scheme is also tax free like PPF. In this, there is no tax on investment, interest and maturity amount.

These four government schemes not only guarantee security to your investment, but also provide better interest rates and tax exemption benefits than fixed deposits. By choosing any of these options according to your need and tenure, you can grow your money safely.