Post Office Saving Schemes are backed by the Indian Government and therefore are one of the  safest investment avenues available to the investors. The investment schemes offered by the  Post Office being risk-free, provide lower returns as compared to other investment options like  equity or equity mutual funds. So, this makes it suitable for investors who want to earn risk free returns and prioritize the safety of capital. Also, investors planning for long term goals can  look into enrolling in post office schemes like PPF, Sukanya Samriddhi Yojana & Senior  Citizens Savings Scheme offering high risk-free returns and carrying long investment horizons.  

Tax exemption — Some of the post office saving schemes like the 5-year Time Deposits,  National Saving Certificates, and Senior Citizen Savings Schemes offer tax benefits or  exemptions to the investors on the deposit amounts under section 80C of the Income  Tax Act,1961. Investing in these schemes can generate tax savings for individuals.  

Risk-Free — All the schemes offered by the Post offices are completely risk-free/have  zero risk as they are backed by the government. This makes the post office savings  schemes one of the safest options for investments or parking their savings.  

Minimum documentation — These post office schemes involve minimal documentation  requirements & quick process which makes it very easy for the investors to enter into  these investments.  

Ideal for Long term Goals — Post office schemes like PPF which are long term  investments for up to 15 years are ideal for long term goals such as Retirement, Pension  requirements or meeting any other financial goals. These schemes can help build a large  corpus over a period of time.  

Accessibility — With a large network of more than 1.5 lacs post offices in the country,  these schemes are accessible to the urban as well as rural public with ease.  

Variety of Schemes — Post office savings schemes have 9 schemes from which  individuals can choose according to their requirements. They can opt for different  schemes for different financial or investment needs  

The Post Office Saving Schemes (POS) are popular among investors because of the  sovereign guarantee provided on the investments by the central government. 

Important links – 

1.https://www.paisabazaar.com/saving-schemes/ppf/ 

2.https://www.indiapost.gov.in/Financial/pages/content/post-office-saving-schemes.aspx 

3.https://cleartax.in/s/post-office-saving-schemes