Introduction
The Sukanya Samriddhi Yojana (SSY) Scheme, under the “Beti Bachao – Beti Padhao” initiative, aims to secure the financial future of girl children in India. Let’s explore its intricacies.
What is a Sukanya Samriddhi Yojana (SSY)?
SSY is a government-backed savings scheme fostering long-term financial growth for girl children, providing parents or legal guardians with an opportunity to ensure their daughters’ financial security and independence.
Eligibility Criteria:
- Account can be opened by a parent or legal guardian of a girl child below 10 years.
- One account per girl child, with a maximum of two accounts per family.
Benefits of Sukanya Samriddhi Yojana
- Economic Affordability: Minimum annual deposit of Rs. 250 makes it accessible to families.
- High Interest Rates: Offers attractive rates, maximizing investment growth.
- Tax Benefits: Tax deductions under Section 80C, with tax-free interest and maturity proceeds.
- Assured Returns: Guaranteed returns upon maturity.
How to Invest:
- Documentation: Gather necessary documents including birth certificate, parent/guardian ID, and KYC proofs.
- Offline Application: Visit a participating bank or Post Office branch, fill the form, and submit with initial deposit.
- Online Application: Utilize IPPB app for online application and setup standing instructions for payments.
- Account Activation: Upon approval, the SSY account is activated, and a passbook is provided for tracking transactions.
Interest Rates:
As of the current quarter of 2024, the SSY interest rate is 8.2% per annum, fixed by the government and reviewed quarterly.
Withdrawal and Closure Rules:
- Complete withdrawal permitted upon maturity or girl child’s marriage after turning 18.
- Premature withdrawal allowed for higher education after girl child turns 18 and completes 10th standard.
- Premature closure permitted under certain conditions.
Key Pointers:
- Account matures after 21 years or upon girl child’s marriage after turning 18.
- Premature withdrawal of up to 50% allowed after girl child turns 18, even if not getting married.
- Minimum investment Rs. 1,000 per annum, with a maximum of Rs. 1.5 lakh.
In essence, Sukanya Samriddhi Yojana ensures a brighter future for girl children in India by providing a secure environment for financial growth and stability, empowering families to invest in their daughters’ dreams and aspirations.
Disclaimer: The views expressed here are of the author and do not reflect those of Dhanvantree. Mutual funds are subject to market risks, please read the scheme documents carefully before investing.