If you are a parent and thinking about a bright future for your daughter, then you must know about this small savings scheme called ‘Sukanya Samriddhi Yojana’ (SSY). This Government of India scheme was launched to ensure the welfare of a girl child. The investments made towards this scheme are for a specific purpose i.e. for the education and marriage of the girl child and cannot be used for any other purposes. The scheme also offers an attractive interest rates on your investments.

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The natural or legal guardian of the girl child can open this account.

Salient Features of Sukanya Samriddhi Yojana are:

1) Investments in this scheme can be made for up to two girl children or three in case of twin girls as second birth or the first birth itself results in three girl children.

2) An account can be opened for as little as Rs 250 of initial deposit with multiple of Rs 150, thereafter, with annual ceiling of Rs 150,000 in a financial year.

3)The tenure of the deposit is 21 years from the date of opening of the account. Maximum period up to which deposits can be made is 15 years from the date of opening of the account.

4)It has one of the highest returns as far as the Small Savings Schemes are concerned. The rates may be revised on a quarterly basis. The existing rates are 7.6 per cent per annum.

5)As applicable under section 80C of the IT Act, 1961, in the latest Finance Bill, the scheme has been extended Triple exempt benefits i.e. there will be no tax on the amount invested, amount earned as interest and amount withdrawn.

6)In case of irregular payment the account can become dormant. One can revive it by paying a penalty of Rs 50 per year along with the minimum specified amount per year.
The payment can be made through cash, cheque or internet banking. You can instruct the bank branch or set through internet banking for automatic credit to the SSY account.