Government Business

Last Updated on: 04/01/2024

Small-Savings-Schemes

I. PPF (Public Provident Fund)

Eligibility

Can be Opened by Individual (Not for NRE / HUF)

Minimum and Maximum Deposit

a) Minimum Deposit Rs. 500/- &

b) Maximum Deposit Rs. 1,50,000/- in a Financial Year

Interest Rate

7.10% w.e.f 01.01.2024 to 31.03.2024

Tenure of Account

15 Years (after maturity, can be extended for any number for a block of 5 years with or without further deposits)

Loan Facility

From 3rd financial Year up to 6th Financial Year.

Partial Withdrawal Facility

Withdrawal is Permissible Every Year from 7th Financial Year.

Tax Benefits

a) Deposit Qualifies for Deduction under Section 80-C of I.T. Act

b) Interest Earned is Free from Income Tax under Section -10 of I.T. Act

Premature Closure

Allowed on three grounds such as medical, higher education and change in residency status.

Other Features

Account can be retained indefinitely without further deposit after maturity with the prevailing rate of interest.


II. SCSS (Senior Citizens Savings Scheme)

Eligibility

Can be opened by individual who has attained the age of 60 years or above on the date of opening of an account or an individual who has attained the age of 55 years or more but less than 60 years and has retired under Superannuation, VRS or Special VRS, can open an account.

Retired personnel of Defence Services (excluding Civilian Defence employees) may open an account on attaining the age of fifty years subject to the fulfilment of other specified conditions.

Minimum and Maximum Deposit

Minimum Deposit Rs. 1000/- & in the Multiples of 1000 thereof Maximum Deposit of Rs. 30 lacs.

Interest Rate

8.20% w.e.f 01.01.2024 to 31.03.2024

Tenure of Account

5 Years

After Maturity, Account Can be Extended for Another 3 Years

Tax Benefits

Deposit Qualifies for Deduction under Section 80-C of I.T. Act

Premature Closure

Premature closure is permissible subject to certain conditions


III. SSY (Sukanya Samridhi Yojana)

Eligibility

Account can be opened in the name of a girl child till she attains the age of 10 years. Only one account can be opened in the name of a girl child.

Minimum and Maximum Deposit

a) Minimum Deposit Rs. 250/- &

b) Maximum Deposit Rs. 1,50,000/- in a FY.

Interest Rate

8.20% w.e.f 01.01.2024 to 31.03.2024

Tenure of Account

21 Years

Partial Withdrawal Facility

Withdrawal shall be allowed for the purpose of higher education of the Account holder to meet education expenses.

Tax benefits

a) Deposit qualifies for deduction under Section 80-C of I.T. Act

b) Interest earned is free from Income Tax under Section -10 of I.T. Act.

Premature Closure

The account can be prematurely closed in case of marriage of girl child after her attaining the age of 18 years.

Conditions to be Followed for Opening

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:

Provided further that the above proviso 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.