An MIS account is a special type of savings account that can earn interest. However, it is important that you link your MIS account to your bank or PO Savings account to ensure that you are earning interest on the deposits in both accounts. A MIS account can also earn a loan against the deposit, which is usually 7.5% higher than the interest rate on the deposit. Payments made before the account reaches its maturity date are not allowed for 90 days deposit schemes and other MIS plans. The interest on the pre-mature payment is calculated based on the savings account rate. The amount of interest that you have paid will be deducted from your principal amount.
MIS Accounts are related to a specific product or class of products. When defining a customer’s code, MIS details can be defined. Clicking the ‘MIS’ button on the customer code will invoke the MIS screen. The MIS details for a specific customer are pulled from the product and composite MIS code defined in the customer definition. This screen also has an MIS Change log where you can view all changes made to an account.
MIS accounts can be opened with a minimum of Rs 1,000. Usually, you can deposit a maximum of Rs 9 lakh in a single account. MIS accounts can be opened individually or jointly. The joint holder has an equal share in the investment. The minimum opening amount is Rs 1,000. However, you must deposit at least Rs 1,000 in order to get the account. It is important to remember that you cannot withdraw funds from your MIS account before the maturity date. If you decide to withdraw money before the maturity date, you will have to pay 2% of the total principal amount.
A MIS account can be converted into a joint or single account and transferred from one Post Office to another. An MIS account can be transferred from one branch to another, and you can nominate a beneficiary either at the time of account opening or afterwards. A HUF account is another MIS account option. The interest on an MIS account is paid monthly in cheques or cash. You should note that the maximum investment limit for a single account is Rs. 4.5 lakh.
The monthly interest on a MIS account is calculated using an MIS account calculator. Enter the amount invested and the interest rate and you will receive a monthly interest. By using the MIS account calculator, you can budget your monthly finances and plan your expenses. You can get the estimated amount of interest in a few seconds. Then, MIS can help you plan your budget accordingly. You can even use the MIS calculator for a comparison between MIS accounts.
Generally, an MIS account can be transferred from one post office to another. If you have a joint MIS account with a child, you can switch it to a joint one and name the account in your child’s name. The maturity period is five years. After maturity, the interest shall be drawn automatically from the savings account at the same Post Office or by an ECS. In addition, interest on joint MIS accounts is credited to a savings account at any of the CBS Post offices.