Why does Rekha want her money back sooner than later?

If Rekha keeps ₹8000 in the bank today, she will earn at least 3% annual interest on it for two years This way, she will have a total of ₹8478 by the end of two years. Imagine if the money was kept at home then it would have gained zero interest and would have been the same amount even after 2 years. 

This increase or decrease in the value of money over time is called the time value of money.

It is important to calculate this before making a decision of receiving money now or later.