Sukanya Samiriddhi Yojana Account (SSYA)

Indian Prime Minister, Shri. Narendra Modi launched this policy to promote girl child and their education. This is one of the most popular schemes introduced by the government recently. Policy will boost the moral and offer support to every family belongs to girl child. Sukanya Samriddhi Yojana/Scheme will bring financial stability and awareness about the government polices and people are accepting this policy to make their life much stable.

To resolve the issues related to gender inequality and bring women and girls child into main stream of modern India, because this is one of the most critical and serious concern that our country is facing. Sukanya Samriddhi Yojana/Scheme is step towards the solution of this problem. This policy is going to offer financial support for parents to their girl education and their marriage expenses too. This is the massive step taken by the government to make girl child much stronger and establish. One of the most interesting features that makes this policy much precious is amount of this policy can be withdraw by respective account holder, no one else can with draw amount, even grandparent or parent cannot withdraw amount without permission of authorize girl. Government introduced this policy in 2015 and authorizes various public and private sector bank along with post office regarding this policy.

Benefits and Features Offered by the Sukanya Samriddhi Yojana

Bank and Indian Post Department are major promoters of this policy. All public sectors banks are putting their best efforts to spread awareness about this policy and attract maximum numbers of customers. This is one of the highest interest rate offering policy and main reason of debate among all financial experts since its launching. This is quite impressive step taken by the government to promote girl child. Most valuable features of this policy are outlined below:

1. Section 80C of Income Tax Act 1961, offers exemption from all the investment and deposits made under this scheme.
2. Current interest rate offered by this policy is 8.6% per anum. This is the highest interest rate offering policy and revised by finance ministry every year. Last year interest rate was 9.2%.
3. To open the Sukanya Samriddhi Account, birth certificate is the main document.
4. Any girl child who is 10 or less year old is eligible to apply for this scheme.
5. Partial withdrawals on account of marriage or higher studies are allowed, once the girl child attains the age of 18 years.
6. As per rules policy mature tenure is 21 years from the date of account opening.
7. To enjoy maximum benefits, your 14 years of premium payment is necessary.
8. If needed account can be transfer from post office to any authorize bank or from any authorize bank to post office branch.
9. Sukanya Samriddhi Account can be open at any authorize bank branch or post office.
10. Single account can be open for one child girl and in case of more than one account penalty will be impose on responsible person.
11. Until she reaches the age of 18, the account can be opened by the parent or guardian of the girl child and can be operated.
12. Maximum amount that can be deposit under this scheme is 1, 50,000.
13. This account can be closed once girl attain the age of 21 years. If account is not closed by the girl then she will continuously earn interest.
14. Once the girl reaches the age of 18 years, Up to 50% of the deposit amount can be prematurely withdrawn.

Process to Open Sukanya Samriddhi Account

Indian post department is offering its services in across the country. This is the most specific place to open account for this policy because this is government agency that is offering its services in rural and urban areas too. If someone belongs to rural areas then this is the most authentic place to proceed for this policy.

Apart from post office, there are several government authorize bank that offers the facility to open account for this policy. To open account candidate need to fill application form along with all required documents. After form submission respective post office or bank will verify details provided by you, then you will receive confirmation regarding account opening. After that you can start deposit into your account. This finance ministry policy is dedicated to women that will work to improve their financial condition along with taking care of their education.

Eligibility Criteria to Open Sukanya Samriddhi Account

To open account for Sukanya Samriddhi scheme, there are certain eligibility criteria scheduled by the government. Most valuable condition is current age of the girl who is going to be enrolled under this policy. Other formalities will be quite similar to other account opening process.

On behalf of girl child, her parent may operate account until girl become eligible to operate the account efficiently. Some specific condition is specified below related to this scheme:
1. If girl age is less than 10 years then she is eligible to open account under this policy.
2. Any girl child who took birth between 2nd Feb 2003 and 1st Dec 2015 will also be eligible to enroll for this scheme.

Document to Open Sukanya Samriddhi Account

To open Sukanya Samriddhi Account, certain documents need to submit by the respective applicant at any respective bank or post office branch. Individual need to submit fully filled application form along with necessary documents. Specific document need to submit while submitting application form is mentioned below:
1. Account opening form for Sukanya Samriddhi Account.
2. Birth certificate of girl child.
3. Identity proof document of person who is going to manage the account of beneficiary.
4. Address proof documents.

Application form of Sukanya Samriddhi Account

Account opening form is available on authorize bank or post office branch or applicant may obtain the form from official website of respective bank. These forms are easily available, its customer responsibility to obtain the form and fill the valid information then submit them along with required document. Either you can hard copy of the form or you can fill online and download form website to complete the process quickly.

Sukanya Samriddhi Account Opening in Post Office

As we know that both post office and banks offer the facility of Sukanya Samriddhi Account Opening. Beneficiary will receive equal benefits via account whether they open account in bank or post office.

If someone wants to open account in post office, then he need to visit nearest branch of post office along with all necessary documents. Then ask for form and fill the form and submit along with all valid documents. There will be no change in application form available in bank or post office.

As per rule people who is opting for account opening under this policy then account opening amount is INR 1000 after that premium can be chosen as per budget and comfort of individual. Post office will provide passbook that will contain information about all the deposit and withdrawal made by respective person. Individual must fill form with valid details and signature to avoid any further conflicts.

Sukanya Samriddhi Scheme Offering Authorize Banks

As per guideline and policy of finance ministry, list of authorized bank for this policy is specified below:
a. Axis Bank
b. State Bank of India and Its Associate Banks
c. Dena Bank
d. Bank of India
e. Bank of Baroda
f. Allahabad Bank
g. Andhra Bank
h. Canera Bank
i. IDBI Bank
j. Central Bank of India
k. Union bank of India
l. UCO Bank
m. Punjab and Sindh Bank
n. Punjab National Bank
o. United Bank of India
p. Indian Bank
q. Indian Overseas Bank
r. Syndicate Bank
s. ICICI Bank
t. Vijaya Bank

Guidelines and Rules Related to Sukanya Samriddhi Account

If someone wants to register under this policy then he must be aware about the policy and rules decided by the finance ministry and government of India. To open account in bank or post office individual needs to follow guideline and rules decided by the government. Before opening account customers must be aware with following specified terms and conditions.

1. Withdrawal Rules Related to Sukanya Samriddhi Scheme As per rules of this policy, 50% amount can be withdraw once the girl attain the age of 18 years and complete amount withdrawal is possible only after girl age is 21 years. Partial withdrawal of amount will be allowed only in case of critical medical emergency and if needed for higher education.

2. Sukanya Samriddhi Account Premature Closure Premature closure of this account is possible in case of sudden death of beneficiary girl. Then as per policy amount will be given to parent or guardian of the girl. To receive the amount parent need to submit valid death certificate. Second possible condition is financial difficulty by beneficiary. In case of any parent or guardian is unable to continue policy and unable to premiums then this policy can be closed. To do so, government approval is mandatory for this process.

3. Limit to Withdrawal of Amount from Account If girl has attain the age of 18 and account has been active for last 14 years then 50% of amount can be deposit form account. Once girl will attain the age of 21 then entire amount can be deposit from the account.

4. Account Closure for Sukanya Samriddhi Scheme When girl will attain the age of 21 years, account can be terminated. As per policy premature closure of account is allowed in certain circumstances. One thing that must be remembered regarding this policy is only beneficiary girl holds the right to deposit amount from account.

Sukanya Samriddhi Scheme Tax Related Benefits

This policy is equally beneficial for parents of girl along with girl. Policy offers income tax related benefits to them. All the investment made by the parent will offer flexibility in IT payment under IT Act section 80C. This policy is beneficial in improving the financial condition of girl child along with help people to save their taxes by investing their amount in this policy. If someone is investing up to 1, 50,000 per year then they will receive incentive in income tax payment.

Sukanya Samriddhi Scheme Running Account Transfer

Due to various reasons, relocation is integral part of modern days life. As of now, online premium payment facility for this policy is not available and individual need to visit at post office branch or bank branch to pay the premium. This is the main reason behind transfer facility approved by the government to make processing much easier for all account holders.

To enable transfer successfully, firstly you need to fill transfer form available in post office or bank branch. No extra charges will be applied for all these process and this facility is availed by the finance ministry in association with government of India. Benefits will remain the same and account can be transfer from one location to other location or from one bank to other bank quite easily

To complete the transfer process individual need to follow steps outlined below:
a. First of all visit nearest bank or post office branch where your account is currently operating and ask for account transfer form. Presence of girl child is not mandatory.
b. Submit your passbook offered by bank during account opening.
c. Give them information that you are going to transfer your account from this bank to other bank or branch.
d. Respective bank executive will precede the request and send confirmation to bank requested by the applicant.
e. Now visit the bank where you want to transfer your account and submit the all required document to activate your account.
f. Account holder will receive new passbook that will hold the previous transaction record as well.
g. Now you can start your transaction with this new bank.

It is really good to keep all records to avoid regular visit of respective bank or post office branch. Initially people preferred post office than bank to open account under this policy because this is central government body, but in modern days bank are getting success to attract customers towards their services. When it comes to quick transaction facility bank are far better than traditional system of post office.

Sukanya Samriddhi Scheme Advantage

Sukanya Samriddhi Scheme, launched by the honorable prime minister Mr. Narendra Modi, offers various interest offers and befits for account holders. Special advantages are specified below:
1. Sukanya Samriddhi scheme offers highest interest rate out of all the other financial products in the market.
2. Under this policy apart from girl, her parents will get exemption in income tax payment under section 80C of IT Act.
3. Only girl child will receive all the benefits after maturity of the account.
4. Even after completion of 14 years of tenure beneficiary will receive benefits until she turn 21.
5. Girl child is free to handle account personally, if is sensible and mature enough to understand the processing related to bank transactions.
6. There are no criteria to deposit amount in a finance year. Minimum amount deposit criteria are INR 1000 and maximum deposit criteria is INR 1, 50,000 lakhs.
7. To apply for this policy no agent or third party interferes is required. Individual can easily handle all the processing.
8. This policy is 100% tax free policy and has received EEE tax status in budget of 2015.
9. Payment flexibility, premium payment compatibility and less restriction make this scheme one of the most efficient scheme offered by the government.

Sukanya Samriddhi Scheme Disadvantage

As we know that Sukanya Samriddhi Scheme offers several advantages but it has some limitations that may affect some account holders. Like other policies there are some good and odd with this scheme. List of specific drawback is outlined below:

1. Main concern with this policy is longest maturity tenure and its hard to continue for this long.
2. As per policy condition, this policy is applicable for two girls who belongs to same family and will not be applicable for third child.
3. Another disadvantage with this policy is that online premium payment facility is not available with policy and become complicated for parents and guardians.
4. Inconsistency with interest rate is another issue with this policy that monitored by finance ministry per year.
5. There is no provision to offer any benefit for loan holder.

Sukanya Samriddhi Scheme Related Terms

It is important to know about the terms related to this policy because this is one of the recent scheme launched by the government. Main terms related with this policy are listed below
1. Depositor: Someone who operates and open account on behalf of beneficiary girl.
2. Guardian: Either mother or father of respective girl or in absence of parents of girl but they must be legally authorize for this responsibility until girl attain the age of 18 years.
3. One for One: Under this policy only single account can be open to enjoy the benefits and facility of this policy.
4. For Third Girl: As per policy per couple may apply for two girl child, if due to any reason first and second child is twin then this facility can be used for third girl also but parent need to submit birth certificate for twins birth.

Online Calculator for Sukanya Samriddhi Scheme

To make calculation easy of premiums for parents or guardians of girl online calculator facility provided by the some reliable platforms like applykaroo. Although government is not offering this type of facility. In this calculator all the information and rates manually enter by the service provider. This calculator will offer authentic information regarding total sum, interest rate, monthly installment of premium and other facility for you but one thing that is odd with these calculators is that interest rate change over the time and in calculator it will be necessary to change in calculator too.

Procedure to Open Sukanya Samriddhi Account Online

As it is known that account for sukanya samriddhi can be open only by visiting any post office or authorize bank because online account opening facility is not offered by the finance ministry. It can be said that this is major issue with this policy that makes transaction complicated for all users who use online platform for transactions.

Public Provident Fund Vs Sukanya Samriddhi Yojana

Right after launching of this policy, people started comparing policy with other respective policies. Even someone who is looking to invest amount also want to invest their amount, though there are some better options are available in the market but some policy offers better options than other ones. Some specific difference related to these policies is given below:

1. As far as interest rate is concern SSY offers higher interest rate than PPF, So SSY is better than PPF in this field.
2. All transactions related to PPF are subject to tax whereas all transactions are free from tax related issues.
3. SSY account offers one time 7 years extension in tenure at the same time PPF account tenure can be extended for 5 years.
4. People can deposit amount through cash or DD in SSY whereas in PPF account deposit can be done through internet banking, DD, cash.
5. In PPF account multiple transaction are allowed (in every seven year after account opening date) and complete amount can be deposit after maturity of account tenure. In SSY 50% of the amount can be deposit from the account once girl attain the age of 18.
6. PPF is available for every Indian citizen including NRI whereas SSY is applicable for only girl child.
7. Minimum transaction limit for SSY is INR 1000 and for PPD it is INR 500.
8. SSY offer nomination facility for two girl child and PPF offers nomination for multiple persons.
9. SSY account opening deposit amount is INR 1000 and in PPF account opening amount is INR 100.
10. With SSY account loan availing facility is not possible where as with PPF account it is possible must account must be three years old.

Sukanya Samriddhi Chart

In 2015 Prime Minster Narendra Modi led government proposed this policy to make financial condition of girl child and government allot budget per year to save amount regarding this policy. After launch of this policy girl child get value and came into spotlight. Sukanya Samriddhi policy makes task easier for legal guardian and parents of girl child who spend money for their higher education and marriage and other necessary expanses. Main motive of policy is to help parents to mange expanses of parents and at the same time officering decent interest rate. This is belongs to some basic factors:

1. Higher interest rate throughout 21 years.
2. No limitation in amount deposit until it reaches 1.5 lakhs yearly.
3. Fixed deposit facility is also available with this account.
4. Interest rate will be calculated per year.
5. In certain condition withdrawal is allowed and maturity tenure is 21 years.
6. Regular premium payment is mandatory for 14 years consistently. Return on investment will depend on investment made by the investor.

E-Payment for Sukanya Samriddhi

Although Indian government do not offer the facility of online premium payment facility under this policy, if anyone is interested to do so they have to link their post office account related to this policy from your internet banking and then you can pay your amount.

Form 1 Related to Sukanya Samriddhi policy

As it is known that this policy offers the facility of higher interest rate, exemption is amount withdrawal and these offers diverting parents mindset to deposit amount under this policy rather than saving amount in their saving account for their child bright future. To open account for SSY parent need to get form from authorizes bank or post office or they can download form from official portal of respective bank or post office. In application form parent need to fill following details:

1. Type of Account
2. Mode of initial Payment or deposit : DD or Cash
3. Name of Post Office.
4. Account Opening Date
5. Name of depositor along with valid address.
6. Sign of parent or legal guardian.
7. In case of minor
a. Date of Maturity. (When girl is going to complete age of 18 years)
b. Date of Birth.
c. Specification related to girl (legal guardian or parent)
It is parents responsibility to submit necessary documents like Address proof, identity proof and other necessary document. Availability of girl is not necessary while submitting account opening form.

Recurring Vs SSY Deposits

1. Recurring deposit can be made by any Indian origin or NRI whereas SSY deposit is allowed only if girl age is 10 years.
2. Single SSY account can be open whereas individuals can open more than one Recurring Deposits.
3. There is no limit regarding deposit in RD where as SSY allow to withdraw up to 1.5 lakh. 4. Account opening amount for SSY is INR 1000 at the same time for RD it is INR 100.
5. In RD with 1% penalty fee any time despot is allowed whereas In SSY despot is allowed only when girl will turn 18 years old.
6. Loan Facility is not available with SSY, with RD customer will get loan of 90% amount deposited in account.
7. SSY offer higher interest rate whereas RD offers low interest rate.
8. RD maturity tenure is between 6 month to 10 years and in SSY single maturity tenure of 21 years.
9. Penalty policy for RD is INR 1 or 2 for per INR 100 and it is monthly basis whereas in SSY it is 100 per years.
10. In RD monthly interest rate calculation policy is followed, in SSY interest rate is calculated on the basis of annual interest rate.

Life Insurance Corporation (LIC) Vs SSY

1. LIC offers Interest rate up to 7% at the same time SSY offers up to 9%.
2. LIC offers flexibility in maturity tenure of policy whereas in SSY 14 years fix tenure decided by the government.
3. As per plans there are several investment plans in LIC at the same time SSY offers 1.5 lakhs deposit limit annually.
4. EEE tax benefits not available with LIC policy and SSY offers facility of EEE.
5. LIC offers benefits for entire family members of policy holder whereas SSY offers benefits only for registered girl candidate.
6. Nomine facility is not available with SSY and LIC avails this facility and allow policy holder to add beneficiary.