Sukanya Samriddhi Yojana – Post Office

Frequently Asked Questions

• What are the benefits of Sukanya in the post office?

  The benefits of Sukanya Samriddhi Yojana in the post office are as follows:

  • High-interest rate of 8.00% p.a.

  • Tax Benefits u/ Section 80C of the IT Act, 1961

  • Tax-free interest returns and maturity amount

  • Long-term financial security for the girl child's future

  • Partial withdrawals for higher education and marriage expenses (after the girl child turns 18 years old)

• What is Sukanya Samriddhi Yojana Rs. 1000 per month?

  Sukanya Samriddhi Yojana Rs.1000 per month refers to a savings investment option under the Sukanya Samriddhi Yojana scheme where parents or guardians make monthly deposits of Rs. 1000 for their girl child's financial future. 

  This scheme allows regular contributions in smaller amounts to accumulate over time, ensuring steady savings growth. 

  The deposited amount earns interest as per the prevailing rates, and the scheme's benefits, such as tax deductions and long-term financial security, apply to these monthly deposits as well.

• What is the post office scheme for child girls?

  The post office scheme for a girl child is known as the Sukanya Samriddhi Yojana. It is a government-backed savings scheme specifically designed to promote the welfare and financial security of girl children in India. Under this scheme, parents or guardians can open an account in the post office in the name of the girl child and make regular deposits to build a corpus for her future education and marriage expenses.

• Can I deposit 10 lakhs in Sukanya Samriddhi Yojana?

  No, the maximum deposit allowed in Sukanya Samriddhi Yojana (SSY) is Rs. 1.5 lakh per financial year. As an investor, you cannot deposit 10 lakhs in a single financial year. The scheme has set this limit to ensure that it remains accessible to a broader section of the population and encourages regular savings over a longer period. However, you can continue to make deposits within the prescribed limit each year until the completion of the account's tenure.

• Which scheme is best for girl child?

  There are several schemes available in India that are considered beneficial for a girl child's financial well-being. A few popular ones are as follows:

  • Unit Linked Insurance Plan (ULIP)

  • Child Education Plans

  • Sukanya Samriddhi Yojana (SSY)

  • Public Provident Fund (PPF)

  • National Savings Certificate (NSC)

• Does SSY offer the facility of loan?

  No, you cannot avail a loan against your Sukanya Samriddhi Yojana (SSY) account. This is because the scheme is designed to be a long-term investment for the girl child's future.

• Is partial withdrawal possible in the post office Sukanya samriddhi yojana?

  Yes, partial withdrawal is possible in the Post Office Sukanya Samriddhi Yojana (SSY). You can withdraw up to 50% of the balance in the account for the following purposes:

  • Higher education of the girl child after she has attained the age of 18 years and passed Class 10.

  • Marriage of the girl child after she has attained the age of 18 years.

• What are some additional features of the SSY scheme? 

  • Account Operation: Until the girl turns 18, the account will be operated by parents or legal guardians.
  • Premature Closure: Sukanya Samriddhi Yojana Account can be closed before maturity in cases such as marriage expenses after the girl turns 18, death of the account holder, extreme medical condition, or inability to maintain the account with proper permission from authorities.
  • Default Account: If the minimum deposit amount is not paid in a year, the account will be termed a "Default Account" but will continue earning interest until maturity.
  • Applicability: This scheme applies to adopted children and stepchildren as well.
  • No Interest after Maturity: No interest will be earned after maturity.
  • Similar to Savings Account: The Sukanya Samriddhi Yojana Account allows withdrawals before maturity for specific purposes.

• What are the drawbacks of the SSY scheme?

  The scheme only has a few drawbacks. They are:

  • The lock-in period is high. You must stay invested in the scheme until the policy matures in its 21st year.
  • Interest rates are subject to change.

• Does SSY account at post offices give a loan facility?

  No. A loan facility against the SSY account is not available.

• When does Sukanya Samriddhi Yojana account matures?

  The policy matures in 21 years from the date of opening the SSY account. While the entire period is a lock-in, you can avail of its partial withdrawal facility under certain circumstances.

• How can one transfer the Sukanya Samriddhi Account under Sukanya Samriddhi Yojana Post Office? 

  Sukanya Samriddhi Yojna provides the benefit of easy transferability of Account from one part of the country to another. The request must be given to initiating the transfer; authorities can also ask for the transfer. The authorities do the transfer upon request. 

• What is the current interest rate? 

  The interest rate earned on Sukanya Samriddhi Yojana Post Office Account in F.Y 2020-2021 is 7.6%, while the rate was 8.4% for F.Y. 2019-2020. The rate keeps on changing, but as the amount is compounded, the Account earns higher returns. 

• How much can be earned on maturity if the amount of Rs 100000 is deposited yearly for ten years?

  Based on the current or average interest rate earned on the Sukanya Samriddhi Yojana Post Office Account, one will incur approximately Rs.15-16 lakhs if the account holder deposits one lakh rupees yearly for ten years subsequently. The amount can be higher if the rates increase. 

• Can the loan be taken against the Sukanya Samriddhi Yojna Post Office Account?

  No, the loan cannot be taken against the Sukanya Samriddhi Yojana Post Office Account amount. However, the account holder can avail withdrawal facility if all necessary conditions and criteria are fulfilled. 

• Is the Account transferable if the account holder shifts to another country?

  The Sukanya Samriddhi Yojna Post Office Account enjoys a freely transferable Account, but it is valid only for transfer within the country. So, transfer of Account cannot be done if the account holder permanently shifts to another country. The account holder is no longer a resident of India. 

• What is the penalty amount to be paid if the minimum deposit amount is not deposited in a year?

  If the account holder fails to deposit a minimum amount in a financial year, the Account is termed the default account. It can be reactivated by paying charges. The charges are Rs.50 only. 

• Is there tax on the Maturity amount of the Sukanya Samriddhi Yojna Post Office Account?

  No, as the government backs the Sukanya Samriddhi Yojana Post Office. It is exempted under the tax. No tax is applicable on the amount invested, interest earned, and maturity amount. Rebates under section 80C can also be claimed up to the maximum limit in a year according to Income Tax Act, 1961.

• How many accounts can be opened if one has twin girls and one more girl child is born in the family after one year?

   Maximum two accounts can be opened in a family. If two accounts are opened for the twins, another account for the girl child born after them cannot be opened. However, if she was born before the twins, then three accounts can be opened. 

• When can one withdraw money for education?

  The girl can withdraw money after she is eighteen years old for education on request or marriage. However, as she gets married, the Account is closed. If the partial amount is withdrawn for education purposes, the Account continues to operate and earns interest on the remaining sum till maturity.