KVP Calculator
Calculate Kisan Vikas Patra returns. Your money doubles in 9 years 7 months at 7.5% p.a.
Investment Details
KVP Features: Guaranteed doubling, no tax benefit under 80C, available at post offices, minimum ₹1,000 investment, no maximum limit.
Returns Summary
Year-wise Growth
| Year | Interest | Balance |
|---|---|---|
| Year 1 | ₹7,763 | ₹1.08 L |
| Year 2 | ₹8,366 | ₹1.16 L |
| Year 3 | ₹9,015 | ₹1.25 L |
| Year 4 | ₹9,715 | ₹1.35 L |
| Year 5 | ₹10,470 | ₹1.45 L |
| Year 6 | ₹11,282 | ₹1.57 L |
| Year 7 | ₹12,158 | ₹1.69 L |
| Year 8 | ₹13,102 | ₹1.82 L |
| Year 9 | ₹14,119 | ₹1.96 L |
| Year 10 | ₹8,737 | ₹2.05 L |
Frequently Asked Questions
What is Kisan Vikas Patra (KVP)?
Kisan Vikas Patra is a government-backed savings scheme offered by India Post. It's a certificate that doubles your investment in a fixed period (currently about 115 months or 9 years 7 months). Originally meant for farmers, it's now available to all Indian residents and offers guaranteed returns.
What is the current KVP interest rate?
The current KVP interest rate is 7.5% per annum (as of April 2024), compounded quarterly. The rate is revised quarterly by the government. At this rate, your money doubles in approximately 115 months (9 years 7 months).
How does KVP double my money?
KVP uses quarterly compound interest. Interest is calculated every quarter and added to your principal, so you earn interest on interest. Over the maturity period, this compounding effect doubles your investment. For example, ₹1 lakh becomes ₹2 lakh at maturity.
What is the minimum and maximum investment in KVP?
Minimum investment is ₹1,000 with no maximum limit. KVP is available in denominations of ₹1,000, ₹5,000, ₹10,000, and ₹50,000. You can buy multiple certificates to invest any amount. No upper limit makes it attractive for large investments.
Can I withdraw KVP before maturity?
Yes, but with conditions: No withdrawal in first 2.5 years (30 months) except in case of death. After 2.5 years, you can encash with reduced interest. The longer you hold, the better the returns. Full maturity amount is paid only at the end of the term.
Is KVP eligible for Section 80C tax deduction?
No, KVP is NOT eligible for Section 80C deduction. Unlike NSC, PPF, or ELSS, KVP doesn't provide any tax benefit on investment. However, it's attractive for its guaranteed doubling feature and no investment limit. For tax benefits, consider NSC or PPF instead.
How is KVP interest taxed?
KVP interest is fully taxable as per your income tax slab. You can choose to pay tax on accrued interest each year or at maturity. TDS is not deducted, but you must declare the interest in your ITR. Interest is added to 'Income from Other Sources'.
Can I use KVP as collateral for loans?
Yes, KVP certificates can be pledged as security for loans from banks. You can get up to 80-90% of the certificate value as loan. The KVP remains with the lender until the loan is repaid. Interest on KVP continues to accrue during the loan period.
Who is eligible to buy KVP?
Eligible: (1) Any Indian resident adult (2) Joint account with up to 3 adults (3) Minor through guardian (4) Trust/Group. Not eligible: NRIs, HUFs, and companies. KYC (PAN, Aadhaar) is mandatory for purchases above ₹50,000.
Can I transfer KVP to another person?
Yes, KVP can be transferred once in the following cases: (1) Death of holder - to nominee/legal heir (2) On court order (3) By pledging to specified authority. Transfer to another person by sale/gift is not allowed after purchase.
What happens if I lose my KVP certificate?
If you lose your KVP certificate, you can apply for a duplicate at the issuing post office. Submit an FIR copy, an indemnity bond, and an application with affidavit. The process takes about 2-4 weeks. Keep a photocopy of your certificates for safety.
Is KVP better than FD for long-term investment?
KVP advantages: Government guarantee (safer than banks), no limit on investment, clear doubling timeline. FD advantages: More flexible tenure, higher interest rates sometimes, easier liquidity. Choose KVP for guaranteed doubling, FD for flexibility and higher rates.