Kickstart your investment
journey with just ₹500
0% commission • Earn upto 1.5% extra returns
The Sukanya Samriddhi Yojana (SSY) is a small savings scheme backed by the Government of India exclusively for the girl child. As per this scheme, a parent or legal guardian can open an account in the name of a girl child until she attains the age of ten years. The scheme is aimed at encouraging the parents or guardians to build a fund for the future education and marriage expenses of their female child. It is part of the “Beti Bachao – Beti Padhao” initiative of the Government of India, also known as BBB.
It is commendable that the government is taking steps to change the mindset of people towards the girl child. The SSY account can be opened in post offices and some specifically designated banks. An SSY account also offers income tax benefits by way of deductions under Section 80C for up to Rs 1.5 lakh along with a higher interest rate compared to other small savings schemes.
An SSY account can be opened by the natural or legal guardian in the name of a girl child from the birth of the girl child till she attains the age of 10 years. The account can be opened by a depositor only in the name of the girl child. A natural or legal guardian of a girl child is allowed to open two accounts for up to two girls. One can open a third account in the name of a girl child in a scenario of birth of twin girls, as a second birth, or if the first birth itself results into three girl children.
SBI allows the opening of an SSY account in an easy and hassle-free way. Individuals who do not have an account with SBI can open an SSY account by submitting the following documents:
Documents required to open an SSY account in SBI
(i) Birth certificate of the girl child
(ii) Photo ID of parents or legal guardian
(iii)Address proof of parents or legal guardian
(iv) Photograph of the child and parent
Step by Step Process
(i) Fill up the form
(ii) Submit the documents along with photos
(iii) Deposit cash (Minimum of Rs 1,000)
(iv) After opening the account, one can make deposits by cash, cheque or demand draft.
|Maximum number of accounts||Up to two girl children or three in case of twin girls|
|The minimum and the maximum amount of deposit||Min amount is Rs 1,000 for initial deposit with an annual ceiling of Rs 1,50,000 in a financial year|
|Tenure of the deposit||21 years from the date of opening of the account|
|Interest Rate||8.4% w.e.f 1st Oct 2019|
|Tax deduction||Under 80C of the IT Act, 1961|