Sukanya Samriddhi Account

“Girl Child Prosperity Account”

Objective

Sukanya Samriddhi Account is a Government of India backed saving scheme targeted at the parents of girl children. The scheme encourages parents to build a fund for the future education and marriage expenses for their female child. The scheme was launched by Prime Minister Narendra Modi on 22 January 2015 as a part of the Beti Bachao, Beti Padhao campaign. The scheme currently provides an interest rate of 8.1% (for October 2017 to December 2017) and tax benefits.

The girl can operate her account after she reaches the age of 10. The account allows 50% withdrawal at the age of 18 for higher education purposes. The account reaches maturity after time period of 21 years from date of opening it. Deposits are made for first 14 years, after this period the account will earn only applicable rate of interest. If the account is not closed, then it will not earn interest at the prevailing rate. If the girl is over 18 and married, normal closure is allowed.

 

How can you avail

> The account can be opened at any India Post office or branch of authorized commercial banks.
> The account can be opened anytime between the birth of a girl child and the time she attains 10 years age by the guardian.
> Min.1000 of initial deposit with multiple of one hundred rupees thereafter with annual ceiling of Rs.150000 in a financial year.

 

Eligibility

> A natural/ legal guardian on behalf of a girl child.
> One year grace period has been provided to allow this account to get opened for a girl child who is born on or after December 2, 2003.
>  Only one account is allowed per child. Parents can open a maximum of two accounts for each of their children (exception allowed for twins and triplets).
> Only one account is allowed per child. Parents can open a maximum of two accounts for each of their children (exception allowed for twins and triplets).

 

Documents Required

> You need birth certificate of the girl child, along with the identity proof and residence proof of the guardian, to open an account under this scheme

 

Benefits

> Handsome Interest rates.

> As applicable under section 80C of the IT Act, 1961. In the latest Finance Bill, the scheme has been extended Triple exempt benefits i.e. there will be no tax on the amount invested, amount earned as interest and amount withdrawn.
> The account can be transferred to anywhere in India.

 

Source links

>> https://www.sbi.co.in/portal/web/govt-banking/sukanya- samriddhi-yojana
>> http://www.onemint.com/2015/03/09/sukanya-samriddhi- yojana-calculating- maturity-value- after-21-years/
>> https://en.wikipedia.org/wiki/Sukanya_Samriddhi_Account