The Kisan Vikas Patra (KVP) is a small Savings Certificate Scheme launched by the Indian government in 1988, designed to promote long-term financial discipline, with the investment doubling in approximately 9.5 years (115 months).
Key Features of the Kisan Vikas Patra (KVP) Scheme:
- Purpose: To promote long-term financial planning and savings.
- Maturity: The investment doubles in approximately 9.5 years (115 months).
- Investment:
- Minimum investment: ₹1,000.
- No maximum limit.
- Investment can be made in multiples of ₹100.
- Eligibility:
- Open to any Indian resident and minors.
- Can be purchased by an adult for themselves, on behalf of a minor, or jointly by two adults.
- Transferability: Certificates can be transferred from one person to another and from one post office to another.
- Nomination: Facility of nomination is available.
- Encasement: Certificates can be encashed after 2.5 years from the date of issue.
- Interest Rate: The interest rates are decided by the government and may vary every 3 months.
- Taxation: The interest earned is taxable as “Income from Other Sources,” and 10% TDS is deducted from the interest.
- Documents Required: Aadhaar Card, PAN Card, and other identity and address proofs.
- Where to Invest: KVP can be purchased from any Departmental Post Office.
To open a Kisan Vikas Patra (KVP) account, you’ll need a duly filled application form (Form A), along with KYC documents like Aadhaar Card, PAN card, Passport, Voter ID, or Driving License, and address proof.
Here’s a more detailed breakdown of the required documents:
- Application Form (Form A): Obtain this form from the post office or designated bank.
- KYC Documents (Identity Proof):
- Aadhaar Card
- PAN Card
- Passport
- Voter ID
- Driving License
- KYC Documents (Address Proof):
- Aadhaar Card
- Passport
- Voter ID
- Driving License
- Utility Bills (electricity, water, etc.)
- For Joint Accounts: If opening a joint account, ensure all joint account holders provide their necessary KYC documents.
- For Minor or Person of Unsound Mind:If opening an account on behalf of a minor or person of unsound mind, the guardian needs to provide the necessary documents and certification
To open a Kisan Vikas Patra (KVP) account, you’ll need a duly filled application form (Form A), along with KYC documents like Aadhaar Card, PAN Card, Passport, Voter ID, or Driving License, and address proof.
Here’s a more detailed breakdown of the required documents:
- Application Form (Form A): Obtain this form from a post office or designated bank.
- KYC Documents (Identity Proof):
- Aadhaar Card
- PAN Card
- Passport
- Voter ID
- Driving License
- Address Proof:
For minors or persons of unsound mind: The guardian’s written certification stating the minor/person is alive and the transfer is for their benefit.
For Joint Accounts: If opening a joint account, you’ll need the KYC documents of all account holders.
