Sukanya Samridhi Account or Sukanya Samridhi Yojana is launched on 22nd January 2015 by Mr. Narendra Modi, Prime Minister of India. This yojana is a prosperity scheme for the girl child in India under the program “Beti Bachao Beti padhao”. For girl children in India, the SSY account guarantees a bright future for them.
The main advantage of the Sukanya Samriddhi Yojana for girl child is that this scheme takes care of the education of the girl child and when she grown adult, the scheme also takes care of her marriage expenses. This scheme is very popular among the common people. Parents and Guardians of girl child likes this scheme because, it would offer independence and financial security to the girl child.
The Sukanya Samriddhi Yojana comes under the small savings scheme. To join this scheme, the age of the girl child is ten years or less than ten years. The minimum deposit is Rs. One thousand and the maximum deposit limit is Rs. One lacs and fifty thousand. The rate of interest on this scheme is 8.1%.
For the girl child, this yojana is small deposit or investment under the campaign “Beti Bachao Beti Padhao”. One of the main advantage of this scheme is that it gives the highest rate of interest and is very affordable.
Rules of Sukanya Samriddhi Yojana 2017
Important Points Related to Sukanya Samriddhi Yojana
Age Limit for Sukanya Samriddhi Yojana Account
The parents or legal guardian of the girl child can open the Sukanya Samriddhi Yojana Account anytime, under this scheme, during the birth time of the child, till the girl child will reach the age of ten year. A girl who reaches the age of ten years, before one year after the announcement of this scheme, can also open this account in her name.
Documents Needed for Opening Sukanya Samriddhi Yojana Account
The following documents are required for opening the Sukanya Samriddhi Yojana Account.
You can open Sukanya Samriddhi Account in twenty-eight authorized banks by Reserve Bank of India and any post office in India. During the time of opening the account, in the post office or the bank, it is not essential for the girl child to be present there.
List of Authorized Banks for Sukanya Samriddhi Account
As discussed in this article, the legal guardians or parents of the girl child operates the Sukanya Samriddhi Yojana Account, till then the girl completes 10 years of age. After the ten years the girl child herself can operate the account if she wants.
Premature Closure or Withdrawal Rules for Sukanya Samriddhi Yojana Account.
The Sukanya Samriddhi Account can be prematurely closed in following two conditions.
Rules of Withdrawal for the Sukanya Samriddhi Yojana.
Before the age of eighteen years of girl child, there is no any withdrawal. But up to fifty percent of the amount can be withdrawal in the following two conditions:
Sukanya Samriddhi Account Benefits
The biggest benefit of Sukanya Samriddhi Account is that it has EEE tax exemption. The account deposits would be tax free. The amount of maturity and proceeds would be getting tax exemption under section 80 C. This is one of the main reason that Sukanya Samriddhi Yojana is also compared with public provident fund. But the tax exemption limit is only Rs. 1.5 lakhs. The interest earned on this account can also be exempted from the tax.
Disadvantages of Sukanya Samriddhi Account
- There is no facility of online transfer in post office.The lack of online transfer facility is one of the biggest drawbacks of this scheme. These days, every work is done via internet. This will also increase the load of work on the post offices.
- 21 years high lock in period.The lock-in duration of twenty-one years is not suited to all people. The matured amount can only be withdrawal for the higher education or the marriage of the girl child.
- Premature withdrawal is not permitted.Since premature withdrawal is not allowed, many people are not interested in this scheme.
- The rate of interest is not fixed.The interest rate is not fixed. It changes every year. Sometimes it is more, and sometimes it is less.