KVP An Attractive Proposition to Double Your Investment

Financial schemes that guarantee double returns for your investment in a few years have always been an attraction for investors. Kisan Vikas Patra is one such investment scheme proffered by the Indian Post Office. This scheme doubles your one time savings over a period of 96 months. For example, if an individual buys a KVP for Rs. 10,000, he will be getting Rs. 20,000 after the completed term, i.e. 96 months.
Working fundamentals of Kisan Vikas Patra

The working of Kisan Vikas Patra is based on compounding interest on an annual basis. The KVP certificates feature a lock-in term of 30 months starting from the date of purchase. As the Interest rate of Kisan Vikas Patra is compounded annually, a longer term for deposit would get you higher earnings. This way, by the maturity of the term, the invested amount will double up.
KVP – Salient Features

KVP is one of the most trusted investment schemes throughout the country. Moreover, it can be accessed easily from any post office. The minimum age for investing in a KVP is 18 years. However, NRIs or members from an undivided Hindu family are not eligible to invest in a KVP. Some other features of KVP include:

The maturity period of a Kisan Vikas Patra is 8 years and 7 months. The investor can, however, be transferred by the investor to some other individual as per the basic procedures and rules.
The KVP form is required to be filled and put forward along with the cheque/draft/cash at the post office. You will obtain an identity slip issued by the post office. On maturity of the KVP term, it is required to be presented at the PO for redemption.