Kisan Vikas Patra 2014

Finance Minister Arun Jaitley on Tuesday resurrected the popular Kisan Vikas Patra (KVP) scheme in a bid to boost small savings and hike savings rate. Coming in the wake of the infamous Saradha scam, which has had many gullible investors fall prey to it, the Kisan Vikas Patra is aimed at helping investors channelise their savings in trusted government schemes instead of some obscure ponzi schemes.

Kisan Vikas Patra (KVP) used to be a very popular savings instrument among small savers. Gross collections under the scheme in the year 2010-11 were Rs. 21,631.16 crore but the scheme was discontinued in November 2011.

Under the new scheme, the invested money in Kisan Vikas Patras will double in 100 months, giving a return of around 8.7 per cent annum. Available in the denomination of Rs. 1,000, 5,000, 10,000 and 50,000, the amount invested in KVP would be doubled in 100 months. KVP, which has no upper ceiling for investment, can be encashed after a lock-in period of 30 months.

There will be no KYC but interest payment would face TDS (tax deducted at source).

The government is reintroducing it this year with the aim of bringing the savings of farmers into the formal channels. “Kisan Vikas Patra was a very popular instrument among small savers. I plan to reintroduce the instrument to encourage people, who may have banked and unbanked savings, to invest in this instrument,” Finance Minister Arun Jaitley said in his budget speech.

The earlier UPA government had discontinued issuance of KVP from December 1, 2011 following the recommendations of the Shyamala Gopinath committee, which was set up to review small savings schemes.

 

 

12 comments for “Kisan Vikas Patra 2014

  1. neelam gupta
    February 2, 2017 at 10:41 am

    after a break of 3 years whether i withdrawn than whether i will get interest up to 3 years

  2. Jay Patel
    May 19, 2016 at 1:52 pm

    Any suggestion for NRIs to invest in high rate goverment schemes with or without income tax benefits.

  3. ANIL JAIN
    December 17, 2015 at 9:41 am

    i HAVE PURCHASED KVP FOR RS.20,000 I CAME TO KNOW THAT TDS IS DEDUCTED ON KVP MATURITY , PLEASE INFORM US AT THE TIME OF MATURITY P.OFFICE WOULD DEDUCT TDS AND ISSUE ME THE BALANCE CHEQUE . WHAT IS THE MINMUM INTEREST ON WHICH TDS IS DEDUCTED ON KVP ?

  4. mukesh verma
    July 13, 2015 at 10:03 am

    i want reinvest the existing kvp which was matured, agent once asked for self signed PAN & voter card, after giving the same,now forcing for adhaar ,is adhaar is compulsory, agent says some post office considers,few does not,my question to you is that whether adhaar is compulsory or not ,I want to the guideline provided by govt with this regard.

  5. urvi
    March 26, 2015 at 4:22 pm

    what is the procedure to get a cheque on the maturity of KVP? does d presence of d person required?

  6. C.Arulraj
    March 25, 2015 at 3:36 pm

    Sir,
    Premature Kvp- after death what is the procedure

  7. veerabhadra rao balla
    March 20, 2015 at 3:44 pm

    i am 80 years old and i have lost my KVP. how to claim it before some else forge my signature.

    • Savingwala
      March 21, 2015 at 5:47 am

      Please approach to nearest post office along with photo copy of the documents.

  8. Raghvendra singh Bhadoria
    January 24, 2015 at 8:34 pm

    Give correct information about new Kishan vikash parts

    • Savingwala
      January 31, 2015 at 10:03 am

      What information you find incorrect here. Please let us help to improve the quality of the site. You suggestions and feedbacks will be very helpful.

      • Sam
        February 10, 2015 at 10:24 pm

        Missing Information of KVP at Savingwala:
        -How TDS will be accounted for when Post Office do not have PAN number of the KVP owner?
        -Arun Jaitley said it is available in denomination of Rs.20,000 also.

        • Savingwala
          February 15, 2015 at 12:16 pm

          thanks for updates, we will update the information accordingly.

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