Salient Features of Sukanya Samriddhi Yojana-

Who can open this account? Parents or a legal guardian of a girl child who is 10 years of age or
younger than that, can open this account in the name of the child. For initial operations of the
scheme, one year grace period has been provided to make it 11 years of age. With this one year grace
period in age, which is valid up to December 1, 2015, you can get this account opened for a girl child
who is born between December 2, 2003 and December 1, 2004.
9.1% Tax-Free Rate of Interest This scheme has been flagged off with a 9.1% rate of interest,
higher than that of PPF which stands at 8.7%. But, this rate is not fixed at 9.1% for the whole tenure
and is subject to a revision every financial year like all other small savings schemes, including PPF.
Prior to the budget announcement, 9.1% annual return seemed unattractive, but not anymore, as it
has been made tax exempt now. Interest amount gets added to your balance amount in the account
and compounded either monthly or annually, as per your choice. Monthly interest compounding will
be done only on your balance amount on completed thousands.

Duration of the Scheme The scheme will mature on completion of 21 years from the date of
opening of the account. If the account is not closed on maturity after 21 years, the balance amount
will continue to earn interest as specified for the scheme every year. In case the marriage of your
daughter takes place before the maturity date i.e. completion of 21 years, the operation of this
account will not be permitted beyond the date of her marriage and no interest will be payable beyond
the date of marriage.
Deposit for 14 years only Though the scheme has a duration of 21 years, you are required to
make contributions only for the first 14 years, after which you need not deposit any further amount
and your account will keep earning the interest rate applicable for the remaining 7 years.
Premature Closure The account can also be closed prematurely as your daughter completes 18
years of age provided she gets married before the withdrawal. As the maximum permissible age of
the girl child is set as 10 years, the scheme effectively carries a minimum duration of 8 years i.e. 18
years of exit age 10 years of entry age.
Partial Withdrawal It is also allowed to withdraw 50% of the balance standing at the end of the
preceding financial year, but only after your daughter attains the age of 18 years. So, effectively it has
a complete lock-in period of at least 8 years, before which you cannot take out any money for any
purposes.
Minimum/Maximum Investment You need to deposit a minimum of Rs. 1,000 in a financial
year to keep your account active. Failure to do so will make your account inactive and it could be
revived only after paying a penalty of Rs. 50 along with the minimum amount required to be
deposited for that year, which currently stands at Rs. 1,000.
Also, you can invest a maximum of up to Rs. 1,50,000 in a financial year. You can make your
contribution to this account in as many number of times as you like.

How many accounts can be opened? You can open only one account in the name of one girl
child and a maximum of two accounts in the name of two different children. However, you can open
three accounts if you are blessed with twin girls on the second occasion or if the first birth itself
results into three girl children.
Nomination Facility Nomination facility is not available in this scheme. In an unfortunate event
of the death of the girl child, the account will be closed immediately and the balance will be paid to
the guardian of the account holder.

Yearly Contribution Table

Monthly Contribution Table