How To Buy NSC Bonds Online?

By The Money Farm Team

On submission of the requisite KYC documents, NSC can be purchased from any Indian Post Office.

Is it possible to buy NSC online?

On submission of the requisite KYC documents, NSC can be purchased from any Indian Post Office. NSCs are now unavailable for purchase online. Complete the NSC application form, which is available both online and at all Indian post offices. Self-attested copies of all essential KYC documents must be submitted.

Is NSC accepted by banks?

Minimal investments: A certificate can be acquired for Rs.100 as a minimum investment. The certificate is available in the following denominations: Rs.10,000, Rs.5,000, Rs.1,000, Rs.500, and Rs.100. Small investments can be made at first, and as time goes on, individuals can expand their investments.
Individuals can pick between two maturity periods of the scheme: 5 years and 10 years.
Interest rate: The current interest rate has been decreased from 7.9% to 6.8%. On an annual basis, it is compounded. The interest, on the other hand, is only paid at the end of the term. For example, a subscriber who invests Rs.100 will receive Rs.146.93 after 5 years.
Nominations: The investor can add family members, including minors, as nominations. If the investor dies while the scheme is still active, the nominee will be eligible to inherit the scheme.
Different forms of NSC: Initially, the two types of certificates offered were the NSC IX Issue and the NSC VIII Issue. The NSC IX issue was, however, halted by the Indian government in December 2015. As a result, the NSC VIII Issue is the only one available.
Loans secured by NSC: The NSC can be used as a security or collateral to obtain loans from banks. The certificate must, however, be transferred to the bank with the permission of the individual postmaster.
NSCs can be obtained at post offices after the relevant documentation have been submitted.
Certificate transfer: NSCs can be transferred from one post office to another. It is also possible to transfer a certificate from one person to another. The certificate, on the other hand, will remain the same, with the new owner’s name put on it and the previous owner’s name rounded.

What is the procedure for purchasing NSC bonds?

How to Purchase

The certificate can be purchased using cash, a check, or a demand draft drawn on the postmaster of the post office where you are purchasing the NSC.

Is it possible to purchase NSC from HDFC Bank?

The government has enabled banks, including private ones (ICICI Bank, HDFC Bank, and Axis Bank), to accept deposits under various programs such as National Savings Certificates (NSC), recurring deposits, and monthly income schemes in order to make small savings investments easier and more convenient (MIS). Banks currently accept deposits through the Public Provident Fund, Sukanya Samriddhi Account, and the Senior Citizen Savings Scheme-2004. Because interest rates on small savings are higher than those on bank deposits with similar maturities, the government’s approach will result in larger mobilization under the scheme. Interest rates for modest savings schemes have been changed every quarter since April 2016, based on the bond yield. Despite the fact that bond yields had declined in the previous three months, the government did not modify the interest rates on modest savings programs for the October-December quarter in September this year.

Aadhaar has also been made mandatory for all modest savings programmes by the government. Existing depositors have until December 31, 2017 to produce the 12-digit unique identification number and link their accounts to it.

Is it possible to buy NSC from SBI?

Banks and Post Offices used to issue physically pre-printed NSC certificates. However, as of July 1, 2016, the service has been discontinued. Currently, certificates can be issued in the following formats:

All public sector banks and the top three private banks were purchased (ICICI, HDFC & Axis)

If you have a bank/post office savings account, you can buy NSC certificates in e-mode if you have online banking access. It can be purchased by an investor for themselves, on behalf of a minor, or in a joint account with another adult.

Is it possible to purchase NSC from SBI?

You can buy NSC or KVP certificates in e-mode if you have a savings account with a bank or post office.
If you don’t already have a savings account, you’ll need to get one and apply for Internet Banking before buying NSC or KVP.

Is Fd superior to NSC?

Both the NSC and the FD instruments have benefits and drawbacks. NSC offers a number of advantages over fixed deposits, including lesser risks and greater interest rates. The reason for this is that TDS is taken from FD interest. Even though FDs offer a little higher interest rate, post-tax returns may be lower due to TDS deduction. As a result, while comparing these two tax-saving instruments, it’s important to evaluate the interest yielded on maturity on FDs and NSCs, not just the interest rate.

If the investor is over the age of 65 and earns less than the taxable limit, they can get a higher interest rate (banks provide preferential interest rates for senior citizens). They can also submit Form 15H or 15G to avoid paying TDS. As a result, if these forms are submitted to avoid TDS, these two saving instruments will mature at the same time. In addition, additional aspects such as interest rate, compounding frequency, and so on must be considered.

When choosing the right investment vehicle, an investor must consider all of the aspects. Furthermore, keep in mind that interest gained on NSCs and FDs is accrued rather than paid out. As a result, these programs should only be considered by those who do not require a steady income.

In a larger sense, because NSC is illiquid, it can be used for long-term goals such as retirement benefits in old life. FDs, on the other hand, might be useful in terms of liquidity because they can be broken whenever money is needed. As a result, one should select an investment vehicle based on their financial goals, time horizon, and risk tolerance.

What is the best way to buy KVP online?

Download the online application form to apply for the Kisan Vikas Patra. This will save you time from standing in long lines at the Post Office to request the form, as well as the time it will take to fill in all of the details. After you’ve downloaded the form, you’ll need to fill in the following information:

You must specify the amount for which you wish to purchase the Kisan Vikas Patra.
Cash or a check can be used to pay for the purchase. The same information must be included on the application form.
The adult(s) who purchase the KVP should sign the document with their names on it. If the purchase is for a child, the date of the minor’s birth should be included, as well as the name of the parent or guardian who will be encashing the KVP.
The KVP offers a nomination service, which allows you to input information about the person(s) you want to receive money in the event of your death. The name(s) of the person(s), their complete address, and, if the nominee is a juvenile, their date of birth are all included in the information.
You must sign the form and pass it over to the concerned courier or the Postmaster at your nearest Departmental Post Office after it has been completed.
For the successful completion of your KVP online, the Post Office will finish the remaining procedures.

Kisan Vikas Patra Online FAQs

The KVP form should be sent to the Postmaster of the Post Office where you intend to submit it.

Is there a minimum and maximum price for purchasing the Kisan Vikas Patra?

A KVP certificate can be purchased for as little as Rs. 1000. There is no maximum purchase amount.

What does the Kisan Vikas Patra scheme have to offer in terms of nominations?

You can choose to select a person or persons who will receive payment for the certificate in the event of your death via KVP’s nomination service. The nomination facility requires that specific information be provided, such as the nominee’s name, complete address, and, in the case of a child, the date or birth.

Once you’ve finished the kisan vikas patra online form, you’ll need to mail it to the Post Office where you want to get the certificate, addressing it to the concerned Postmaster General.

NSC or Kisan Vikas Patra: which is better?

Investors looking for a safe fixed income choice might consider Kisan Vikas Patra and National Savings Certificate. The interest rates are practically identical as well. However, the following are some guidelines that might assist investors in selecting the best KVP vs NSC scheme:

You want to put your money into a safe, low-risk investment that will double your money when it matures.
In the case of NSC, you would like a 2.5-year lock-in rather than a 5-year lock-in. In the event of an emergency, KVP has more liquidity than NSC.

The Minimum Deposit value for KVP

A minimum initial investment of Rs. 1000 is required to start a KVP account. Amounts in multiples of Rs. 100 can be invested.

However, certificates in the values of Rs. 1,000, Rs. 5,000, Rs. 10,000, and Rs. 50,000 are currently available. The amount of money you can invest in KVP has no upper limit.

From Where to Buy Kisan Vikas Patra Certificate

Certificates can be obtained from any India Post Office or KVP. Online, as well as at India Post Offices and select banks, application forms are accessible.