PM Sukanya Samriddhi Yojana 2024 : a step to Empowering Girls

Sukanya Samriddhi Yojana (SSY) is a flagship savings scheme launched by the Government of India under the “Beti Bachao, Beti Padhao” campaign. In this scheme parents of girl child can open SSY account in the name of child (girl) and contribute minimum amount of rupees 250 or maximum 1.5 lakh per annum. After the maturity of the SSY account parents can withdraw the final amount. it can be used for girl child education or marriage. Parents of girl child can also withdraw some amount in case of special conditions. It aims to promote the welfare of the girl child by facilitating long-term financial planning and securing their future. In this article you will learn what is the SSY scheme, its benefits, and application process, required documents etc.

Sukanya Samriddhi Yojana (सुकन्या समृद्धि खाता) was launched on 22nd January 2015, by the Government of India as part of its “Beti Bachao, Beti Padhao” campaign.

What is Sukanya Samriddhi Yojana (SSY)?

Sukanya Samriddhi Yojana is a small savings scheme initiated by the Government of India, designed exclusively for the girl child’s welfare. It encourages parents or guardians to build a corpus for their daughter’s education and marriage expenses by making regular contributions to the account until she reaches 21 years of age.

Key Highlights

Sukanya Samriddhi Account Scheme
Interest Rate Since Inception

Eligibility criteria

Eligibility criteria for Sukanya Samriddhi Yojana (SSY) are as follows:

• Age Limit: The scheme is open for parents or legal guardians of a girl child below the age of 10 years at the time of account opening.
• Number of Accounts: A maximum of two SSY accounts can be opened for two different girl children in a family. This means if a family has more than two girl children, they can only open SSY accounts for up to two of them.
• Account Holder: The account can only be opened in the name of the girl child for whom the scheme is being availed.

These eligibility criteria ensure that the scheme benefits those who are intended to receive its advantages, namely, the girl child and her family.

Key Features and Benefits:

• Easy Saving: SSY makes it simple for parents to save money for their daughter’s future. They can deposit some money regularly into this Bank/ Post office account.
• Good Interest Rates: The money Parents saved for their girl child in SSY grows with good interest rates, which means it can become a significant amount over time(when it gets mature).
• Tax Savings: Parents can save on taxes by investing in SSY. The money Parents put in this SYS account is eligible for tax deductions(Deposit qualifies for deduction under Sec.80-C of I.T. Act). Interest earned in the SYS account is free from Income Tax under Section -10 of I.T. Act.
• Flexible Use: The saved money can be used for important things like education or marriage. It gives flexibility to parents and helps in planning for these big expenses in future .
• Financial Security: SSY ensures financial security for girls. It helps in building a fund that can be helpful for their future needs.
• Encourages Education: By saving for education, SSY encourages parents to prioritize their daughter’s education. It can empower girls to pursue higher studies.
• Supports Gender Equality: SSY focuses on the welfare of the girl child (this scheme is specially for the girl child), promoting gender equality by investing in their future.
• Simple Process: Opening and managing an SSY account is easy. Parents can do it at a nearby bank or post office.
• The account can be prematurely closed in case of marriage of girl child after her attaining the age of 18 years.
• The account can be transferred anywhere in India from one Post office/Bank to another.
• The account shall mature on completion of a period of 21 years from the date of opening of account.

Who can open PM Sukanya Samriddhi Yojana account?

• By the guardian in the name of girl child below the age of 10 years.
• Only one account can be opened in India either in Post Office or in any bank in the name of a girl child.
• This account can be opened for maximum of two girls in a family. in case of twins/triplets girls birth more than two accounts can be opened.

Required Documents

To open a Sukanya Samriddhi Yojana (SSY) account, you will typically need the following documents:

1. Birth Certificate of the Girl Child: This document serves as proof of the girl child’s age and is required to verify her eligibility for the scheme. It must be issued by a competent authority such as the municipal corporation, hospital, or local government body.
2. Identity Proof of the Parent/Guardian: The parent or legal guardian opening the SSY account on behalf of the girl child needs to provide a valid identity proof. Accepted documents may include:
   • Aadhaar Card
   • PAN Card
   • Voter ID
   • Passport
   • Driving License
3. Address Proof of the Parent/Guardian: Along with the identity proof, you will also need to submit a document verifying the parent or guardian’s residential address. Accepted documents may include:
   • Aadhaar Card
   • Voter ID
   • Passport
   • Utility bills (electricity bill, telephone bill, etc.)
   • Bank statement with address
4. Passport-sized Photographs: Recent passport-sized photographs of both the girl child and the parent/guardian opening the account are typically required. These photographs will be affixed to the SSY account opening form and the passbook.

It’s essential to ensure that all documents provided are valid, up-to-date, and comply with the requirements set forth by the issuing authority. Additionally, it’s advisable to carry both original documents and photocopies for submission during the account opening process. Different institutions may have slightly varying requirements or additional documentation, so it’s recommended to confirm with the specific post office or bank where you plan to open the SSY account.

How to open SYS Account ?

Step1: Check the eligibility Criteria first.

• The account can be opened for a girl child below the age of 10 years.
• Only two SSY accounts can be opened for a family, irrespective of the number of daughters (in case of twins/triplets girls birth more than two accounts can be opened.).

Step 2: Gather Required Documents To open an SSY account, you need to provide the following documents:

• Birth certificate of the girl child
• Identity proof and address proof of the parent/guardian opening the account
• Passport-sized photographs of the girl child and the parent/guardian

Step 3: Choose between Post Office and Bank : SSY accounts can be opened in authorized post offices and designated banks across India. You can select the institution based on your preference and convenience.

Step 4: Visit the Post Office or Bank Branch: Once you’ve decided where to open the account, visit the nearest post office or bank branch that offers SSY facilities.

Step 5: Fill Out the Application Form Collect the SSY account opening form from the respective institution and fill it accurately with all required details. Ensure that you double-check the information provided to avoid any discrepancies.

Step 6: Submit Required Documents Along with the filled application form, submit the necessary documents mentioned earlier, including the birth certificate, identity proof, address proof, and photographs.

Step 7: Deposit the Initial Amount To activate the SSY account, you need to make an initial deposit. The minimum deposit amount varies between post offices and banks but is generally low, making it accessible for most individuals.

Step 8: Receive Passbook and Account Details After completing the formalities and depositing the initial amount, the post office or bank will provide you with a passbook containing all the account details. Ensure that you keep this passbook safe, as it will serve as a record of all transactions related to the SSY account.

Step 9: Monitor and Manage the Account Once the SSY account is opened, you can start making regular deposits as per the scheme’s guidelines. It’s essential to keep track of the account balance, deposits, and interest accrued to ensure that you maximize the benefits offered by the scheme.

How/ When to close SSY Account

Closing a Sukanya Samriddhi Yojana (SSY) account is generally discouraged due to the long-term nature of the scheme, which is designed to provide financial security for the girl child’s education and marriage expenses. However, there might be certain situations where closure becomes necessary, such as in case of financial emergencies or other unforeseen circumstances. Here are the conditions and process for closing an SSY account:

Conditions for Closure:

1. Completion of 21 years: The SSY account matures after completion of 21 years from the date of opening. At this point, the account holder (the girl child) has the option to close the account and withdraw the entire amount.
2. Marriage of the Account Holder: If the account holder gets married before the maturity period, the account can be closed. However, the closure must be within one month before or after the date of marriage, and the account holder must be at least 18 years old.
3. Death of the Account Holder: In the unfortunate event of the account holder’s demise, the SSY account can be closed prematurely.

Process for Closure:

1. Visit the Post Office/Bank: The parent or legal guardian who opened the SSY account must visit the post office or bank branch where the account was opened.
2. Fill Closure Form: Obtain the Sukanya Samriddhi Yojana account closure form from the respective institution. Fill out the form with all the required details accurately.
3. Submit Required Documents: Along with the closure form, submit the following documents:
   • SSY passbook
   • Identity proof and address proof of the parent/guardian
   • Death certificate (in case of the account holder’s demise)
   • Marriage certificate (in case of marriage)
4. Receive Amount: Once the closure request is processed and approved, the account holder or the parent/guardian will receive the closing amount, including the principal amount and accrued interest.
5. Account Closure Acknowledgment: Ensure that you receive an acknowledgment of the account closure from the post office or bank for future reference.

It’s important to note that premature closure of an SSY account may attract certain penalties or fees, and the amount received may be subject to taxation. Therefore, it’s advisable to carefully consider all options and consult with financial advisors before proceeding with the closure of an SSY account.

Banks Which Provide SSY Account Facility