{"id":7715,"date":"2025-07-11T12:31:44","date_gmt":"2025-07-11T12:31:44","guid":{"rendered":"https:\/\/lemonn.co.in\/blog\/?post_type=glossary&#038;p=7715"},"modified":"2025-07-11T12:31:47","modified_gmt":"2025-07-11T12:31:47","slug":"kisan-vikas-patra-kvp","status":"publish","type":"glossary","link":"https:\/\/lemonn.co.in\/blog\/glossary\/kisan-vikas-patra-kvp\/","title":{"rendered":"Kisan Vikas Patra (KVP)"},"content":{"rendered":"<p><strong><a class=\"glossaryLink\" href=\"https:\/\/lemonn.co.in\/blog\/glossary\/kisan-vikas-patra-kvp\/\" data-gt-translate-attributes='[{\"attribute\":\"data-cmtooltip\", \"format\":\"html\"}]' tabindex=\"0\" role=\"link\">Kisan Vikas Patra (KVP)<\/a><\/strong> is a government-backed savings scheme introduced in 1988 by India Post. It aims to encourage long-term financial discipline among individuals by offering a secure investment avenue with guaranteed returns. Initially targeted at farmers, it is now available to all Indian residents. The scheme allows investors to double their investment over a predetermined period, making it an attractive option for risk-averse individuals seeking assured returns.<\/p>\n\n\n\n<h2 id=\"types-of-kvp-certificates\" class=\"wp-block-heading\">Types of KVP Certificates<\/h2>\n\n\n\n<p>KVP offers three types of certificates to cater to different investment preferences:<\/p>\n\n\n\n<h3 id=\"1-single-holder-type-certificate\" class=\"wp-block-heading\">1. <strong>Single Holder Type Certificate<\/strong><\/h3>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Issued to an individual adult.<\/li>\n\n\n\n<li>Can also be purchased by an adult on behalf of a minor.<\/li>\n\n\n\n<li>Suitable for individual investors aiming for personal savings.<\/li>\n<\/ul>\n\n\n\n<h3 id=\"2-joint-a-type-certificate\" class=\"wp-block-heading\">2. <strong>Joint &#x2018;A&#x2019; Type Certificate<\/strong><\/h3>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Issued jointly to two adults.<\/li>\n\n\n\n<li>Payable to both holders jointly or to the survivor in case of one holder&#x2019;s demise.<\/li>\n\n\n\n<li>Ideal for couples or partners planning joint investments.<\/li>\n<\/ul>\n\n\n\n<h3 id=\"3-joint-b-type-certificate\" class=\"wp-block-heading\">3. <strong>Joint &#x2018;B&#x2019; Type Certificate<\/strong><\/h3>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Issued jointly to two adults.<\/li>\n\n\n\n<li>Payable to either of the holders or to the survivor.<\/li>\n\n\n\n<li>Offers flexibility, allowing either holder to encash the certificate.<\/li>\n<\/ul>\n\n\n\n<h2 id=\"key-features-of-kvp\" class=\"wp-block-heading\">Key Features of KVP<\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Guaranteed Returns<\/strong>: KVP offers a fixed interest rate, ensuring that your investment will double over the scheme&#x2019;s tenure.<\/li>\n\n\n\n<li><strong>Interest Rate<\/strong>: As of the latest update, the interest rate is 7.5% per annum, compounded annually.<\/li>\n\n\n\n<li><strong>Maturity Period<\/strong>: The investment matures in 115 months (9 years and 7 months).<\/li>\n\n\n\n<li><strong>Minimum Investment<\/strong>: &#x20B9;1,000.<\/li>\n\n\n\n<li><strong>No Maximum Limit<\/strong>: There is no upper limit on the investment amount.<\/li>\n\n\n\n<li><strong><a class=\"glossaryLink\"  href=\"https:\/\/lemonn.co.in\/blog\/glossary\/tax\/\"  data-gt-translate-attributes='[{\"attribute\":\"data-cmtooltip\", \"format\":\"html\"}]'  tabindex='0' role='link'>Tax<\/a>ation<\/strong>:\n<ul class=\"wp-block-list\">\n<li>Investments in KVP do not qualify for deductions under <a class=\"glossaryLink\" href=\"https:\/\/lemonn.co.in\/blog\/glossary\/section-80c\/\" data-gt-translate-attributes='[{\"attribute\":\"data-cmtooltip\", \"format\":\"html\"}]' tabindex=\"0\" role=\"link\">Section 80C<\/a> of the <a class=\"glossaryLink\" href=\"https:\/\/lemonn.co.in\/blog\/glossary\/income-tax-act\/\" data-gt-translate-attributes='[{\"attribute\":\"data-cmtooltip\", \"format\":\"html\"}]' tabindex=\"0\" role=\"link\">Income Tax Act<\/a>.<\/li>\n\n\n\n<li>Interest earned is taxable.<\/li>\n\n\n\n<li>No Tax Deducted at Source (<a class=\"glossaryLink\"  href=\"https:\/\/lemonn.co.in\/blog\/glossary\/tds\/\"  data-gt-translate-attributes='[{\"attribute\":\"data-cmtooltip\", \"format\":\"html\"}]'  tabindex='0' role='link'>TDS<\/a>) upon maturity.<\/li>\n<\/ul>\n<\/li>\n\n\n\n<li><strong>Loan Facility<\/strong>: KVP certificates can be used as collateral to avail loans from banks and financial institutions.<\/li>\n\n\n\n<li><strong>Transferability<\/strong>: Certificates can be transferred from one person to another under specific conditions, such as the death of the holder.<\/li>\n\n\n\n<li><strong>Premature Withdrawal<\/strong>: Allowed only after 2 years and 6 months (30 months) under specific circumstances like the death of the holder or by court order.<\/li>\n<\/ul>\n\n\n\n<h2 id=\"eligibility-criteria\" class=\"wp-block-heading\">Eligibility Criteria<\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Residency<\/strong>: Must be an Indian resident.<\/li>\n\n\n\n<li><strong>Age<\/strong>: Individuals aged 18 years and above can invest.<\/li>\n\n\n\n<li><strong>Minors<\/strong>: Investments can be made on behalf of minors by parents or legal guardians.<\/li>\n\n\n\n<li><strong>Exclusions<\/strong>: Non-Resident Indians (NRIs) and Hindu Undivided Families (HUFs) are not eligible to invest in KVP.<\/li>\n<\/ul>\n\n\n\n<h2 id=\"how-to-invest-in-kvp\" class=\"wp-block-heading\">How to Invest in KVP<\/h2>\n\n\n\n<h3 id=\"offline-method\" class=\"wp-block-heading\">Offline Method:<\/h3>\n\n\n\n<ol class=\"wp-block-list\">\n<li>Visit your nearest post office or authorized bank branch.<\/li>\n\n\n\n<li>Obtain and fill out Form A (application form).<\/li>\n\n\n\n<li>Submit the form along with KYC documents (e.g., Aadhaar card, <a class=\"glossaryLink\" href=\"https:\/\/lemonn.co.in\/blog\/glossary\/pan-card\/\" data-gt-translate-attributes='[{\"attribute\":\"data-cmtooltip\", \"format\":\"html\"}]' tabindex=\"0\" role=\"link\">PAN card<\/a>, passport).<\/li>\n\n\n\n<li>Make the payment through cash, cheque, or demand draft.<\/li>\n\n\n\n<li>Receive the KVP certificate upon successful processing.<\/li>\n<\/ol>\n\n\n\n<h3 id=\"online-method\" class=\"wp-block-heading\">Online Method:<\/h3>\n\n\n\n<ol class=\"wp-block-list\">\n<li>Log in to the India Post website or your internet banking portal.<\/li>\n\n\n\n<li>Select the KVP scheme and download Form A.<\/li>\n\n\n\n<li>Fill in the required details and submit the form along with scanned copies of KYC documents.<\/li>\n\n\n\n<li>Make the payment through the available online payment modes.<\/li>\n\n\n\n<li>The KVP certificate will be sent to your registered email ID.<\/li>\n<\/ol>\n\n\n\n<h2 id=\"benefits-of-kvp\" class=\"wp-block-heading\">Benefits of KVP<\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Safe Investment<\/strong>: Being a government-backed scheme, it offers a secure investment avenue with minimal risk.<\/li>\n\n\n\n<li><strong>Assured Returns<\/strong>: The fixed interest rate ensures that your investment will double over the specified tenure.<\/li>\n\n\n\n<li><strong>Flexible Investment Amounts<\/strong>: With a low minimum investment requirement and no upper limit, it caters to a wide range of investors.<\/li>\n\n\n\n<li><strong>Loan Facility<\/strong>: The ability to use KVP certificates as collateral provides <a class=\"glossaryLink\" href=\"https:\/\/lemonn.co.in\/blog\/glossary\/liquidity\/\" data-gt-translate-attributes='[{\"attribute\":\"data-cmtooltip\", \"format\":\"html\"}]' tabindex=\"0\" role=\"link\">liquidity<\/a> options without breaking the investment.<\/li>\n\n\n\n<li><strong>Ease of Transfer<\/strong>: The transferability feature ensures that the investment can be passed on to nominees or legal heirs smoothly.<\/li>\n<\/ul>\n","protected":false},"excerpt":{"rendered":"<p>Kisan Vikas Patra (KVP) is a government-backed savings scheme introduced in 1988 by India Post. It aims to encourage long-term financial discipline among individuals by offering a secure investment avenue with guaranteed returns. Initially targeted at farmers, it is now available to all Indian residents. The scheme allows investors to double their investment over a [&#x2026;]<\/p>\n","protected":false},"author":9,"featured_media":0,"menu_order":0,"template":"","meta":{"footnotes":""},"class_list":["post-7715","glossary","type-glossary","status-publish","hentry"],"blocksy_meta":[],"_links":{"self":[{"href":"https:\/\/lemonn.co.in\/blog\/wp-json\/wp\/v2\/glossary\/7715","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/lemonn.co.in\/blog\/wp-json\/wp\/v2\/glossary"}],"about":[{"href":"https:\/\/lemonn.co.in\/blog\/wp-json\/wp\/v2\/types\/glossary"}],"author":[{"embeddable":true,"href":"https:\/\/lemonn.co.in\/blog\/wp-json\/wp\/v2\/users\/9"}],"version-history":[{"count":1,"href":"https:\/\/lemonn.co.in\/blog\/wp-json\/wp\/v2\/glossary\/7715\/revisions"}],"predecessor-version":[{"id":7716,"href":"https:\/\/lemonn.co.in\/blog\/wp-json\/wp\/v2\/glossary\/7715\/revisions\/7716"}],"wp:attachment":[{"href":"https:\/\/lemonn.co.in\/blog\/wp-json\/wp\/v2\/media?parent=7715"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}