Kisan Vikas Patra Scheme : पैसा होगा दोगुना, जानें पूरी डिटेल

The Kisan Vikas Patra (KVP) is a government of India-backed savings scheme offered by India Post. Originally launched in 1988 and relaunched in 2014, KVP doubles your investment over a fixed period of time by making it a trusted choice for investors. As of April 2025, KVP offers a 7.5% per annum interest rate with a maturity period of 115 months (9 years and 7 months).

Table of Contents

What is Kisan Vikas Patra?

Kisan Vikas Patra is a certificate-based investment scheme that ensures your money doubles at maturity. Initially targeted at farmers, it’s now open to all eligible Indian residents. Available through India Post offices and select banks (e.g., Axis Bank, Bank of Baroda), KVP is backed by the Government of India, with deposits up to ₹5 lakh insured by the Deposit Insurance and Credit Guarantee Corporation (DICGC) when offered through banks. Its simplicity and assured returns make it a popular alternative to fixed deposits and mutual funds.

Key Features

Interest Rate: 7.5% p.a. (compounded annually), fixed at the time of investment.
Maturity Period: 115 months, doubling the principal amount.
Minimum Investment: ₹1,000, in multiples of ₹100, with no upper limit.
Denominations: Certificates issued in ₹1,000, ₹5,000, ₹10,000, and ₹50,000 (₹50,000 at head post offices only).
Lock-In Period: 30 months (2 years and 6 months). Premature withdrawal is limited to the account holder’s death or court orders.
Transferability: Certificates can be transferred to another person or post office/bank with written consent.
Nomination: Available, including for minors (requires date of birth).

KVP Interest Rates and Returns in 2025

For Q1 FY 2025–26, KVP offers a 7.5% p.a. interest rate, compounding annually, doubling your investment in 115 months. Example returns:

₹10,000 invested → ₹20,000 at maturity.
₹1,00,000 invested → ₹2,00,000 after 115 months.

The Ministry of Finance revises rates quarterly, but your investment locks in the rate at purchase. Post-maturity, the corpus earns interest until withdrawn, boosting returns if you delay encashment.

Eligibility Criteria

KVP is accessible to various investors:

Individuals: Resident Indian citizens aged 18+.
Minors: Parents/guardians can invest for minors (10+ years for direct investment).
Joint Accounts: Up to two adults (Joint A: payable to both or survivor; Joint B: payable to either or survivor).
Trusts: Eligible to invest.
Ineligible: Non-Resident Indians (NRIs) and Hindu Undivided Families (HUFs).

Documents Required

To purchase KVP, provide:

Form A: KVP application form (Form A1 if through an agent).
KYC Documents: Aadhaar (mandatory), PAN (mandatory for investments above ₹50,000), passport, voter ID, or driving license.
Income Proof: For investments above ₹10 lakh, submit ITR, salary slips, or bank statements.
Nomination Form: Optional, with nominee details.

Lost or damaged certificates can be replaced by applying at the issuing post office or bank.

How to Invest in Kisan Vikas Patra in 2025

KVP can be purchased offline at post offices or authorized banks, or online via India Post’s portal.

Offline Process

Visit a post office or authorized bank.
Fill out Form A (or Form A1 for agents).
Submit KYC documents (Aadhaar, PAN, etc.).
Pay via cash, cheque, pay order, or demand draft (payable to the postmaster).
Receive the KVP certificate instantly or via email.

Online Process

Log in to India Post’s internet banking portal.
Go to “General Services” > “Service Requests” > “New Requests.”
Select “KVP Account – Open a KVP Account.”
Enter the investment amount (₹1,000 minimum, in ₹100 multiples) and link a Post Office Savings Account.
Agree to terms, enter the transaction password, and submit.
Download the deposit receipt and receive the certificate via email.

Benefits of Kisan Vikas Patra

Assured Returns: Doubles your investment in 115 months, unaffected by market risks.
High Safety: Government-backed, with DICGC insurance up to ₹5 lakh at banks.
Flexible Investment: Low entry point (₹1,000) and no upper limit.
Loan Collateral: Use KVP certificates to secure low-interest loans.
No TDS: No Tax Deducted at Source on withdrawals, simplifying tax compliance.
Wide Accessibility: Available at 1.55 lakh post offices and select banks, with online options.

Taxation

No Tax Benefits: KVP does not qualify for Section 80C deductions.
Interest Taxation: Taxable under “Income from Other Sources” as per your income tax slab. No TDS is deducted.

Withdrawal Rules

Maturity: Encash the doubled amount after 115 months at the issuing post office or bank.
Premature Withdrawal: Permitted after 30 months only for the account holder’s death or court orders.
Post-Maturity: Funds earn interest until withdrawn, increasing returns.

Why Choose Kisan Vikas Patra in 2025?

KVP is ideal for:

Risk-Averse Savers: Offers guaranteed returns with zero market exposure.
Long-Term Planners: Suits goals like retirement, education, or property purchase.
Rural Investors: Accessible through India’s vast post office network.
Flexible Savers: No investment cap and joint account options cater to diverse needs.

However, KVP may not suit those seeking tax-saving investments (e.g., PPF, ELSS) or short-term liquidity due to its 30-month lock-in.

Frequently Asked Questions (FAQs)

1. What is the KVP interest rate for 2025?
KVP offers 7.5% p.a. (compounded annually), doubling investments in 115 months, as of Q1 FY 2025–26.

2. Who is eligible for KVP?
Resident Indian adults, minors (via guardians), and trusts. NRIs and HUFs are ineligible.

3. What is the minimum KVP investment?
₹1,000, in multiples of ₹100, with no upper limit.

4. Can I withdraw KVP before maturity?
Yes, after 30 months, only in cases of the account holder’s death or by court order.

5. Is KVP interest taxable?
Yes, interest is taxable under “Income from Other Sources,” but no TDS is deducted. No Section 80C benefits apply.

6. How can I buy KVP online?
Through India Post’s internet banking portal by linking a PO Savings Account and completing KYC.

7. Can KVP be used for loans?
Yes, KVP certificates can be used as collateral for secured loans.

8. Where is KVP available?
At India Post offices, select banks (e.g., Axis Bank), or online via DOP internet banking