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Sukanya Samriddhi account: Govt slashes minimum annual deposit requirement to Rs 250 from Rs 1,000 earlier

Govt slashes minimum annual deposit requirement for Sukanya Samriddhi account to Rs 250 from Rs 1,000 earlier: The government has gash the minimum annual deposit requirement which is for accounts under the Sukanya Samriddhi Yojana to Rs 250 from Rs 1,000 earlier, this move is considered as the special move that will enable more number of people to take advantage of the girl child savings scheme.

The government has amended the Sukanya Samriddhi Account Rules, 2016, which said that the minimum initial deposit to open the account is Rs 250. The minimum deposit that has to be made in the account annually after that this can be also been lowered to the Rs 250 from Rs 1,000.

Arun Jaitley, the Union minister in his 2018-19 Budget speech had already told that the Sukanya Samriddhi Account Scheme, launched in January 2015, is touted as the “great success”.

Till November 2017, more than 1.26 crore accounts have been opened in the whole nation in the name of girl children, which actually, securing an amount, of Rs 19,183 crore, Jaitley had said.

The interest rate on Sukanya Samriddhi account is rectified and correct every quarter, just like other small savings schemes and PPF.

the rate has been fixed at 8.1 percent, For the July-September quarter.

a parent or legal guardian can open an account in the name of the girl child, Under the scheme until she attains the age of 10 years. As per the government notification on the scheme, the account can be opened in any post office branch, which also designated public sector banks.

The deposits made to the account, and also the proceeds and maturity amount, which can be fully exempted from tax under section 80C of the Income Tax Act.

The minimum deposit that required to be made every year is now Rs 250, while the maximum is Rs 1.50 lakh. There is no limit on the number of deposits, moreover, in a month or a financial year.

the account will be valid for 21 years from the date of opening, As per the scheme, post, which it will mature and the money will be paid to the girl child in whose name the account has been opened.

from the date of opening of the account, the Deposits can be made up to 14 years. the account will only earn interest as per applicable rates, After this period.