Sukanya Samriddhi Yojana: Benefits, eligibility criteria and application process; all you need to know

Sukanya Samriddhi Yojana: Benefits

The Sukanya Samriddhi Yojana (SSY) makes saving for your daughter’s future an attractive and secure option. The government sets competitive interest rates on deposits, ensuring your money grows steadily. In addition, the contributions qualify for tax deductions, lowering your tax burden; also, all interest earned and the final maturity amount are completely tax-free.

SSY offers long-term security as well. The account matures after 21 years from opening or when your daughter turns 21 (whichever comes later), guaranteeing the funds are available for her education, marriage, or other milestones. The minimum initial deposit of just Rs.250 makes SSY accessible to most families, with the option to contribute more in multiples of Rs.50, up to a maximum of Rs.1.5 lakh annually.

Sukanya Samriddhi Yojana: Eligibility criteria

There are a few eligibility requirements to keep in mind for the Sukanya Samriddhi Yojana (SSY). The program is designed specifically for girl children who are Indian residents. To open an account, the girl must be younger than 10 years old. One can open a maximum of two SSY accounts per family, one for each girl child. However, there’s an exception for multiple births. If twins or triplets are born, the family can open up to three accounts.

Sukanya Samriddhi Yojana: Documents required

• Application Form (Form-1): Obtain this form from the bank or post office and fill it out carefully with your daughter’s details and your own information as the guardian.
• Birth Certificate: A copy of your daughter’s birth certificate is required to prove her age and eligibility.
• Identity and Address Proof (KYC): You must provide documents proving your identity and address, such as an Aadhaar card, PAN card, Voter ID, or passport.
• Additional Documents: The bank or post office might require further documents for verification. It’s best to check with your chosen branch beforehand to avoid any delays.

Sukanya Samriddhi Yojana: Application process

When it comes to opening a Sukanya Samriddhi Yojana (SSY) account for your daughter, you have two convenient options: banks or post offices. Most public and private sector banks across India participate in the SSY program, so you can likely find a branch nearby. Alternatively, India Post offers SSY accounts at all their branches nationwide, providing another accessible option.

Opening the Account:

• Visit the Branch: Head to the chosen bank branch or post office.
• Get the Form: Collect the SSY account opening form (Form-1) and complete it.
• Submit Documents: Attach all the required documents mentioned above and the completed application form.
• Initial Deposit: Initially, you can deposit as low as Rs.250 as your first deposit. You can pay in cash, by cheque, or by demand draft.
• Account Opening: The bank or post office will process your application and verify your documents. Once everything is in order, your SSY account will be opened for your daughter.