Recurring Deposit

 I strongly recommend Recurring Deposits as a savings avenue. 

If you have a savings account which everyone will probably have, register a standing instruction with your bank for transfer of funds to the RD account. 

The quantum and period are for you to choose. My suggestion is for a period of one year. 

Quantum - it may be 50, 100, 200, 500, 1000 or multiples. 

RD doesnot offer high interest and the interest is taxable.

The attraction is if you remit 500 for one year, you'll have 6000 plus interest after one year. 

Spend it if you need to spend preferably for acquisition of whatever you need at home. If not put it aside as an FD for one year that may be renewed year after year. Please open another RD when the existing RD is closed.

Over a period of time you can build reserves or capital. 

I had suggested this to as many as possible while in service. 

I still do it. 

My principle has always been,

 " Those who have ears, let them hear"