New Delhi: There are certain Post Office schemes that can help fulfil the dream of building wealth. If you are looking for an investment avenue that offers both safety and returns, Post Office schemes can prove to be a boon. For those seeking a monthly income, the Post Office Monthly Income Scheme (MIS) is a highly popular option.
Investors often wonder if an account can be opened in the names of two individuals. However, opening multiple accounts does not allow you to exceed the prescribed investment limit. Understanding a few key details about this scheme can ensure a hassle-free investment experience.
Can one open multiple MIS accounts?
The Post Office Monthly Income Scheme is a unique offering. An individual can open more than one account under this scheme if they find it convenient to keep funds in separate accounts. Crucially, the total deposits across all such accounts are aggregated.
This is why opening multiple accounts does not increase the maximum investment limit. For instance, if you deposit ₹4 lakh in one account and ₹5 lakh in another, your total individual MIS investment is considered to be ₹9 lakh. While a third account can be opened, the total deposited amount cannot exceed this overall limit.
Similarly, if you deposit ₹4 lakh in one account and ₹5 lakh in another, the total investment is calculated as ₹9 lakh. In any case, the total limit for an individual account is ₹9 lakh.
What is the limit for joint accounts?
Did you know that the maximum investment limit for a joint account is ₹15 lakh? If an MIS account is opened in the names of two or more people, the maximum investment allowed is ₹15 lakh. The same rule applies here: opening multiple joint MIS accounts does not raise the total investment limit. To illustrate, if someone opens two joint MIS accounts depositing ₹8 lakh in the first and ₹7 lakh in the second, the total investment amounts to ₹15 lakh. One cannot increase this overall limit by depositing additional funds into another joint account.
Why is this account needed?
Given this, one might wonder: if the total investment limit remains fixed, what is the benefit of opening multiple accounts? The facility to open more than one account does not imply an increase in the investment limit. Instead, people can use this option to segregate their funds across different accounts or maintain separate accounts to cater to specific needs.
