New Rules in Sukanya Samriddhi Account Scheme
One of the most popular small saving schemes in India is Sukanya Samriddhi Account Deposit Scheme. It is one of the most successful schemes launched in India in January, 2015. While this scheme has been launched last year, there are certain concerns and issues raised by several investors in India about its guidelines. Govt. of India has reviewed some of them and amended rules of Sukanya Samriddhi Account Scheme in 2016. What are the new rules of Sukanya Samriddhi Account Yojana Scheme in 2016?
About Sukanya Samriddhi Account (SSA) Scheme
Sukanya Samriddhi Account Yojana Scheme is a popular investment scheme for the girl child. From the launch of this scheme, 76 lakhs Sukanya Samriddhi Yojana Accounts have been opened across the country and Rs.2,838 Crore amount has been collected under these accounts.
Commercial banks and post offices in Public and Private sector have been authorized by the government to open Sukanya Samriddhi Accounts. This account can be opened in the name of girl child only. SSA is launched by Indian Prime Minister Narendra Modi to ensure a bright future for girl child in India. SSA is to facilitate them carefree marriage expenses and proper education. This scheme has been very successful and is well accepted by the people for the financial security and independence, it provides to the girl child as well as their parents and guardians.
Under ‘Beti Bachao Beti Padhao’ campaign SSAY offers a small deposit investment for the girl children. This scheme is highly affordable and offers one of the highest rates of interest.
10 New Rules in Sukanya Samriddhi Account Scheme
- According to new rule it has been made clear that Sukanya Account can be opened even in the name of an adopted daughter. Earlier the rule was that one can open for their child or guardian can open for a minor child.
- Only an Indian Resident Girl Child can be the Beneficiary under the SSA rules. If an account holder becomes an NRI after opening an account, the account is deemed to be closed. No interest would be paid for such account after the change in status (which would be updated by post office / banks on intimation of change of status).
- As per the old rules, the rate of interest will be declared on a yearly basis. Now the government can amend the interest rate from time to time. For Apr-16 to Jun-16 the interest rate is declared as 8.6% per annum.
- As per old rule, deposits can be made till 14 years of girl age, as per new rule, it is up to 15 years.
- As per old rule, one has to be made Rs 1,000 per annum minimum to be eligible to get interesting. As per new rule, if you do not make a minimum deposit, you would not get SSA interest rates, but only 4% of account interest.
- The maximum amount that can be deposited in SSA is Rs.1.5 Lakh per fiscal year. If one invests more than this amount by mistake, they are eligible to take out this money any time.
- As of now, deposits can be made in the form of cash/cheque and DD only, but as of new rules have clarified that online payment mode is also acceptable provided that the post office or bank has access to core banking solution facility.
- In the case of lost passbook a duplicate passbook can be issued on the payment of Rs.50.
- The account can be transferred free of cost from a bank to post office and vice versa. The parent and guardian holder has to furnish proof of shifting of residence. By just paying fees of Rs.100 account can be transferred in case relocation is not done.
- As per the old rules, post maturity that is after 21 years from the date of account opening even if the account holder does not close the account eligibility for interest is there till the closure of the account, but as per the new rules if an account completes twenty one year’s no interest amount is payable.
Some points to be considered – Sukanya Samriddhi Yojana Scheme
- Only one account under this scheme is permissible for every girl child.
- Birth certificate should be compulsorily deposited for opening this account.
- Till the girl attains the age of 10 years SSA can be opened under her name.
- This account can be opened in any post office or authorized bank.
- The account opening amount for the account is Rs.1000 and afterwards a multiple of Rs.100 can be deposited to the account with the minimum of Rs.1000 per year.
- Rs.150,000 per year is the maximum limit for deposit.
- One has to deposit it for 14 years in this scheme.
- The maturity duration of this account is 21 years from the date of opening this account.
- This account is completely transferable in to any part of India from a post office or bank to others.
Documents required to open Sukanya Samriddi Account Scheme
SSA comes from the Ministry of Finance and this notification was published on December 2nd 2014. As Sukanya Samriddhi Account Yojana is dedicated to a girl child, a parent or guardian of the girl child could be the depositor of the account. It is very simple to open SSA and not much documentation is required. Here is a list of document a parent or guardian needs to take along when they are applying for an account under this scheme.
1) Birth certificate of the girl child
2) Address of the parent or guardian
3) Identity proof for the same.
It is very important to know that any amount that would be deposited in Sukanya Samriddhi Account would be exempted from tax under 80C of IT Act, 1961, till the maximum of Rs.1.5 lakh. The advantage under this scheme is that maturity amount is given directly to the girl child and after the age of 10 the girl child can operate her account if she wishes to.
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New Rules in Sukanya Samriddhi Account Scheme