Sukanya Samrudhi Yojana – Opening an Account and Benefits

If you have a girl, then Sukanya Samrudhi Yojana scheme can be a wonderful opportunity for future education and your daughter’s marriage. 

Sukanya Samrudhhi Yojana
Sukanya Samrudhhi Yojana

You will have to read everything about this plan because you will save not only a big money for your daughter’s education, but also save big money in taxes.

We have given every small information about Sukanya Samrudhi Yojana which you would like to know as an investor.

So let’s look at the scheme in details.

What is the Sukanya Samrudhi Yojana?

Sukanya Samrudhi Yojana or SSY is a plan launched by Prime Minister Narendra Modi on January 21, 2015.

The Sukanya Samrudhi Yojana will take care of all the expenses of a girl for marriage to higher education.

Although the former governments have initiated many initiatives in the name of girl, the Sukanya Samrudhi Yojana is of its kind and we have not seen any such example in a plan.

Why is SSY so great? You need to read the following paragraphs for the answer.

How did this initiative come into existence? And why is it important?

You can learn about power by the current government, Beti Pado campaign, in power.

The Sukanya Samrudhi Yojana is nothing but the expansion of this campaign.

This plan is very important as it emphasizes the education of a girl. Actually, not just education, but this plan will take care of other expenses like marriage.

SSY is not only good for girls and women but also for social mobility. If you teach a woman then you teach the whole family

If we empower the girl’s child then it will empower the whole family, then a family will empower the whole society and the empowered society will build a strong nation.

Overview of Sukanya Samrudhi Yojana

This article is mentioning every detail about Sukanya Samrudhi Yojana.

So before you read further, we want to give you a brief overview of the plan.

Here are some things we will tell you

  1. Opening Sukanya Samrudhi Yojana Account
  2. Eligibility Criteria
  3. How much do you deposit, premium, deadline and maturity?
  4. How do you transfer the account, account penalties and termination?
  5. The most important debate is interest rate and tax rebate
  6. List of all banks where you can open an account?
  7. Documents required to open accounts
  8. SSY vs. Other plan vs. fixed deposit

So this is an observation about those things that you need to know about Sukanya Samrudhi Yojana.

We also end the article by giving you the pros and cons of the plan.

So let’s start.

How to open Sukanya Samrudhi Yojana Account?

You can open an account with a private or public sector bank. Here we tell you how to open SSY account with SBI.

SBI is India’s largest public sector bank. In any city you live in, you can easily find your branch.

Step 1: Visit your nearest SBI Bank and ask them to open the SSY account. You will also need to ask them about the deposit slip because you are going to make an initial deposit in the account using it.

Step 2: You have to fill in all the details in the documents. Although basic details are the same, each bank has its own format so be careful so.

Step 3: After filling the details, you must attach documents (outlined in the next paragraph)

Step 4: Complete the deposit slip and carry it along with all other necessary documents with 1000 rupees and submit it to the bank.

Step 5: After depositing the form, obtain the deposit slip and the account opening given by the bank.

Step 6: It will take 3 to 4 days to create the account, show the receipt again from the bank and submit the passbook issued under SSY.

Step 7: If you lose your passbook please note the account number.

So your SSY account is being created now.

Documents required to open Sukanya Samrudhi Yojana

You must have a list of documents before opening an account for SSY.

  1. Application form – First of all, you have to submit an application under SSY. You can get the form

Get it online, download it, take a printout, fill out the application and submit it to the bank.

  1. Birth Certificate of Girl Child – This is the most important document for you. What if you do not have a birth certificate? We give you options later in this paragraph.
  2. Depositor ID – The ID proof of the parent or depositor is very important. You can show passport, voter ID, driving license etc.
  3. Address proof – In the end, you need address proof which is not a big deal.

Optional for girls’ birth certificate

The government wants to encourage people to join SSY, so if you can not produce the birth certificate of the girl’s child, they get a discount. Birth certificate is required to prove the date of birth of a girl.

Instead of the birth certificate of girls, you can produce the following documents.

  1. Child’s Passport
  2. Girl Child’s Pan Card
  3. Girl Child Based Card
  4. Certificate issued by Headmaster of Girl School
  5. Certificate issued by hospital where she was born

List of banks with Sukanya Samrudhhi Yojana

Here is a list of some of the major banks that you can go and can open your SSY account.

  • State Bank of India (SBI)
  • State Bank of Bikaner and Jaipur (SBBJ)
  • State Bank of Hyderabad (SBH)
  • State Bank of Mysore (SBM)
  • Allahabad Bank
  • Andhra Bank
  • Axis Bank
  • Bank of Baroda (BOB)
  • Bank of India (BOI)
  • Bank of Maharashtra (BOM)
  • Canara Bank
  • Central Bank of India (CBI)
  • Corporation Bank
  • Dena Bank
  • ICICI Bank
  • IDBI Bank
  • Indian Bank
  • Indian Overseas Bank (IOB)
  • Oriental Bank of Commerce (OBC)
  • Punjab National Bank (PNB)
  • Syndicate Bank
  • UCO Bank
  • Union Bank of India
  • United Bank of India
  • Vijaya Bank

Eligibility Criteria: Who can apply all?

We see eligibility criteria for SSY in the great description.

Basically you have to complete 3 eligibility criteria.

No. 1- Child sex- Only one girl under SSY can open a child account. You can not open an account for boys.

No. 2 – Child’s age – The girl’s child must be 0 to 10 years old. So if the girl’s child is above 10 years of age then you can not open the account. There is no short age limit. You can open an account for your newborn baby

No. 3- Nationality of child – girl should be national of India NSI or OCI is not applicable for SSY if the girl’s girl changes her nationality then the guardian will have to inform the bank or the post office so that the account will be closed and the guard will be given to the guardian of the balanced girl.

To open an account, you only need to complete 3 conditions.

Account limit

  1. Only one account is allowed for the child of a girl by the guardian.
  2. A guardian is allowed to open only two accounts for two guild children.
  3. A parent is allowed to open only 3 accounts during the second birth, where the girls are twins.

Deposit, deadline and maturity

How much premium do you have to pay for this scheme?


All deposits are done in multiples of 100 rupees.

You have to deposit a minimum of 1000 rupees and a maximum of Rs 1,50,000 each year. You can deposit in lump sum or in installments, there is no limit to the amount deposited in a month or financial year.

Deadline and maturity

What about the deadline?

You can deposit up to 14 years of opening the account. As far as maturity is concerned, it will reach 21 years later.

After the maturity of the SSY account, this account will stop interest from earning interest or not.

The account will be closed on the maturity or marriage of the girl, whichever is earlier.

Terms of withdrawal

When it comes to SSY, how and when you can withdraw money.

You can withdraw the maximum amount of 50% from the deposit for the girl’s higher education.

Once the girl turns 18, or when she passes the matriculation (10th grade), you can withdraw this amount. You can take it back

Whatever amount should be before

The important thing to note here is that the time of withdrawal depends on the age of the girl, not the age of that account, the date it opened.

In other words SSY does not allow any premature withdrawal.

Transfer of account, fines and termination status

Account Transfer: You are free to move your SSY account across the country, whatever you like. However you only need to submit the address proof.

Penalty: If you fail to deposit a minimum amount of Rs 1000 per year, your account will be closed. You can only revive it till you pay a fine of Rs. 50 / – per year and in addition to the minimum amount required for the deposit amount for that particular year.

Account termination: From the date of opening or when the girl is married, the account will be terminated after 21 years. Unless you reach 21 years after opening, you can continue the account even after his marriage.

Even after the maturity is not closed, you will not get any interest.

Interest rate for Sukanya Samrudhhi Yojana and tax rebate

Now we talk about SSY’s interest rates.

Interest rates are flexible and it can change every year. It is decided every year by the Indian government.

The interest rate for the current financial year is 8.6%. A table of interest rates for this and previous years is given here.

Fiscal year interest rate

2013-14 14%

2014 – 15 9.2%

2015 – 16 9.2%

2016 – 17 8.6%

We can not predict future interest rates because they have been subject to change in economic development.

The best part of SSY is tax rebate.

Till the deposits you have deposited under Section 80C, you qualify up to 1.5 lakhs for tax deduction. It will also include other deductions under 80C.

Another major advantage of SSY is the maturity amount and earned interest is not subject to tax, so they are completely tax free.

Sukanya prosperity plan vs. other plans

Now we have to make honest comparison of SSY with other similar plans for interest rates.

This is the table

Plan interest rate

SSY 8.6%

Public Provident Fund (PPF) 8.1%

Recurring Deposit (Post Office) 7.4%

Term Deposit 6% to 9%

LIC policy 5% to 8%

Benefits and discrepancies of Sukanya Samrudhhi Yojana

Let’s see some of the major advantages of SSY

  • The first scheme has been started by the government, so this is a safe scheme and it is here to stay.
  • Interest rates are much higher at 8.6% compared to PPF, LIC or fixed deposits.
  • You get all 3 things tax benefit for the deposit amount, maturity amount and interest rates. They are all tax-free
  • Ultimately, this scheme is for specific purpose like girls’ education and marriage. That’s why parents can invest, which is centered only on this.
  • There are some disadvantages of SSY
  • The first interest rates have not been decided. So this is higher as 8.6% for the current year but it may be lacking in the future based on the economy.
  • Time period when you can withdraw money or lock in period, 21 years is too long. It’s just 15 years for PPF.

So these SSYs were some of the professionals and the opposition.

Finally, I would like to conclude by saying that the Sukanya Samriddhi scheme is better than other insurance plans and policies of the market.

We tried to include all the necessary information about this plan. So go for it.

Harvilas Meena

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