Sukanya Samridhi Yojana

Sukanya Samridhi Yojana

Sukanya Samridhi Yojana Saving scheme is an ambitious small savings scheme launched by the Government under the mission 'Beti Bachao, Beti Padhao'. The scheme is specially designed with the objective of taking care of higher education or marriage needs of the Girl child in the future.

Eligibility:

Ø  The account can be opened anytime between the birth of a girl child and the time she attains 10 years age by the parent/guardian. As a grace period, any girl child born between 2nd February 2003 and 1st December 2015 is also eligible to have an account under this scheme.

Ø  One can open only maximum of 1 account per girl child and in total only 2 accounts can be opened by parents for 2 girls (one for each), but in case the second birth has resulted in twins, then 3 accounts are allowed.

Ø  The account can be opened and operated in the girl child’s name by her parents or legal guardians until she attains the age of 10. After that she can operate the account herself but the deposits may be made by her parents

Ø  The account can be transferred anywhere within the country, if the girl child shifts to a different place

   Following are the details of calculation as shown in the image below:

Benefits of Investing in Sukanya Samridhi Yojana:

Ø  Attractive interest rate of 8.5%. Interest rate is regulated by Ministry of Finance from time to time.

Ø  Minimum Rs. 1,000 can be invested in one financial year.

Ø  Maximum investment of Rs. 1,50,000 can be made in one financial year.

Ø  Deposits in an account can be made till completion of 14 years, from the date of opening of the account.

Ø  50% of the accumulated amount  can be  withdrawn when the girl attains 18 years of age, for the education purpose and rest has to be left in the account so that it can be used for the marriage purpose.

Ø  The account shall mature on completion of 21 years from the date of opening of the account, provided that where the marriage of the account holder takes place before completion of such period of 21 years, the operation of the account shall not be permitted beyond the date of her marriage

Ø  Investment in Sukanya Samriddhi Yojana scheme is exempted from Income Tax under section 80C. The scheme offers Tax Benefit under EEE i.e. Investment, interest earned and Withdrawals are tax exempted

Drawbacks of Sukanya Samridhi Yojana:

Ø  Lock in Period of 21 years and restriction of premature withdrawal to 50% (after attaining age 18) reduces the flexibility of the scheme.

Ø  Revision of interest rates based of Government policies might restrict returns

 Ø   The account is limited for just two girl children only

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Please Note :

1)       There is a penalty if the contribution is not regular then the account will be treated as an irregular account. This can be regularized/renewed on payment of Rs 50 per year as penalty. Along with this, the minimum specified subscription for the year (s) of default should be paid.

2)       Premature closure is allowed only for two specific circumstances.

Ø  If the account holder (girl child) dies, the account will be closed and the money will be handed over to the legal guardian or parents on furnishing a valid death certificate in the name of account holder.

Ø  If the government feels that it is extremely difficult or impossible for the parents or guardian to continue with the account. Permission will be issued in case of serious health problems.

Documentation required to open sukanya 

samridhi yojana account:

Ø  Birth certificate of the girl child.

Ø  Identity proofs of the parents or legal guardian (Voter’s Card, PAN Card, Passport, Aadhaar Card).

Ø  Address proofs of the parents or legal guardian ( any identity proof as above with address mentioned in it, or recent electricity bill, telephone bill, etc).

List of banks where SSY account can be opened:

1. Allahabad Bank                       15. Oriental Bank of Commerce

2. Andhra Bank                           16. Punjab National Bank

3. Axis Bank                               17. Punjab & Sind Bank

4. Bank of Baroda                      18. State Bank of India

5. Bank of India                         19. State Bank of Patiala

6. Bank of Maharashtra             20. Sate Bank of Bikaner & Jaipur

7. Canara Bank                          21. State Bank of Travancore

8. Central Bank of India            22. State Bank of Hyderabad

9. Corporation Bank                  23. State Bank of Mysore

10. Dena Bank                           24. Syndicate Bank

11. ICICI Bank                           25. UCO Bank

12. IDBI Bank                            26. Union Bank of India

13. Indian Bank                          27. United Bank of India

14. Indian Overseas Bank            28. Vijaya Bank

Thank You!