- Government of India vide GSR 914 (E) dated December 12, 2019 has announced that Deposits in the Sukanya Samriddhi Account Scheme 2019 (SSY 2019) shall earn interest at the rate of 8.4% per annum.
- The interest shall be calculated on the lowest balance in the account between the close of the fifth day and the end of the month.
- The SSY account may be opened by a parent, guardian in the name of a girl child, who has not attained the age of 10 years on the date of opening of the account.
- There can be only one SSY account in the name of an account holder under this scheme.
- For opening the SSY account, birth certificate of the girl child along with required documents of the guardian will be necessary.
- The account can be opened for maximum of two girl children in one family. However, in the case of twins and triplets, more than two accounts may be opened in a family if such children are born in the first or in the second order of birth, or in both.
Sunkanya Samriddhi Scheme (SSY) 2019 rules
- Opening of account:
- The account may be opened by one of the guardians in the name of a girl child, who has not attained the age of ten years as on the date of opening of the account. Every account holder shall have a single account under this scheme. The application for opening an account shall be accompanied by birth certificate of the girl child in whose name the account is to be opened, along with required documents of the guardian.
- An account under this scheme may be opened for a maximum of two girl children in one family provided that more than two accounts may be opened in a family if such children are born in the first or in the second order of birth or in both, on submission of an affidavit by the guardian supported with birth certificates of the twins/triplets regarding the birth of such multiple girl children in the first two orders of birth in a family.
This provision shall not apply to girl child of the second order of birth, if the first order of birth in the family results in two or more surviving girl children.
- Deposits:
- The account may be opened with a minimum initial deposit of Rs 250 and in multiples of Rs 50 thereafter and subsequent deposits shall be in multiples of Rs 50 subject to the condition that a minimum of Rs 250 shall be made as deposit in a financial year in one account.
- The total amount deposited in an account shall not exceed Rs 1.50 lakh in a financial year. Provided that the deposit in excess of Rs 1.50 lakh in any financial year, if accepted due to any accounting error, shall not be eligible for any interest and be returned immediately to the depositor.
- Deposits may be made in the account till the completion of a period of fifteen years from the date of opening of the account. An account in which minimum amount as specified has not been deposited shall be considered as an account under default.
- An account under default may be regularised any time till completion of a period of fifteen years from the date of opening of account on payment of a penalty of fifty rupees for each year of default along with the minimum annual deposit in respect of the defaulted years.
- In case of an account under default, if not regularised within the time specified, then the whole deposit, including the deposits made prior to the date of default, shall be eligible for interest at the rate applicable to the scheme till closure of the account.
- Interest on deposit:
- Deposits in the account shall earn interest at the rate of 8.4 per cent per annum.
- The interest shall be calculated for the calendar month on the lowest balance in the account between the close of the fifth day and the end of the month.
- The interest shall be credited to the account at the end of each financial year.
- Interest shall be credited at the end of the financial year irrespective of the change of the account office due to transfer of the account during the financial year.
- At the current rate of interest, if Rs 1.5 lakh per year is deposited in the account till the completion of 15 years from the date of opening, the total value of the money in the account will be around Rs 45,44,820 (approx Rs 45 lakh) in 15 years.
- However, as the account matures after completion of 21 years from the date of opening the account, money in the account will continue to earn interest and grow to approximately Rs 73 lakh.
- This means that account holder may get Rs 73 lakh on maturity.
- Operation of account:
- The account shall be operated by the guardian till the account holder attains the age of 18 years.
- The account shall be operated by the account holder herself after attaining the age of 18 years by submitting necessary documents.
- Premature closure of account:
- In the event of the death of the account holder, the account shall be closed immediately on production of death certificate issued by the competent authority and the balance at the credit of the account and interest due thereon till the date of death shall be paid to the guardian.
- Interest for the period between the date of death of the account holder and date of closure of the account shall be paid at the rate applicable on Post Office Savings Account for the balance held in the account.
- Where the accounts office is satisfied that in case of extreme compassionate grounds such as medical support in life-threatening diseases of the account holder or death of the guardian that the operation or continuation of the account is causing undue hardship to the account holder, it may, after complete documentation establishing the grounds for such closure, by order and for reasons to be recorded in writing, allow premature closure of the account.
- Outstanding balance in the account with interest due as applicable to the scheme shall be paid to the account holder or guardian, as the case may be.
- Provided that no premature closure of an account shall be made before completion of five years from the date of opening of the account.
- Withdrawal:
- Withdrawal of up to a maximum of 50 per cent of the amount in the account at the end of the financial year preceding the year of application for withdrawal, shall be allowed for the purpose of education of the account holder provided that such withdrawal shall be allowed after the account holder attains the age of 18 years or has passed tenth standard, whichever is earlier.
- The application for withdrawal shall be accompanied by documentary proof in the form of a confirmed offer of admission of the account holder in an educational institution or a fee-slip from such institution indicating such financial requirement.
- The withdrawal may be made in one lump sum or in instalments, not exceeding one per year, for a maximum of five years, subject to the ceiling specified.
- The amount of withdrawal shall be restricted to the actual requirement on account of fee and other charges required at the time of admission as shown in the offer of admission or the relevant fee-slip issued by the educational institution.
- Closure on maturity:
- The account shall mature on completion of a period of 21 years from the date of its opening.
- The closure of the account may also be permitted before completion of 21 years if the account holder on an application makes a request for such closure for the reason of intended marriage of the account holder on furnishing of a declaration duly signed on non-judicial stamp paper attested by the notary supported with proof of age confirming that the applicant will not be less than 18 years of age on the date of marriage.
- No such closure shall be allowed before one month from the date of the intended marriage or after three months from the date of marriage. The balance outstanding along with interest as applicable shall be payable to the account holder.
KEY HIGHLIGHTS
- The account may be opened by one of the guardians in the name of a girl child, who has not attained the age of ten years
- For opening the SSY account, birth certificate of the girl child along with required documents of the guardian will be necessary
- The account may be opened with a minimum initial deposit of Rs 250 and in multiples of Rs 50 thereafter.
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