Retired individuals who opt for the ICICI Bank Senior Citizen Saving Scheme can invest a minimum of Rs.1,000 and a maximum of Rs.15 lakh using cheque, demand draft, or pay order to generate guaranteed returns for taking care of their financial needs.
Everyone has to retire one day and a source of income is one of the major concerns most people have. In order to ensure that the citizens of India keep earning a fixed income even after retiring, the Government of India have launched various financial schemes for them, one of them being the SCSS (senior citizen saving scheme). This scheme offers an attractive rate of interest which is fully tax deductible along with other benefits. Depositors can also open multiple accounts as long as they do not cross the maximum limit. This scheme provides a smart investment opportunity to retired people, ensuring that they live out their retirement without facing any type of monetary troubles.
ICICI Bank SCSS Advantages
- Direct Credit – With this scheme, you will avail the facility of directly crediting the interest to your bank account with ICICI. If the depositor does not want this facility, then four cheques (Post Dated) will be sent to him or her every year
- Statement – Depositors will avail a detailed account statement which will contain all information about the transactions and deposited balance
- Phone Banking – The bank provides phone banking facility to its customers, which they can use when they have any queries related to this scheme
ICICI Bank SCSS Features
- Investment – The minimum investment is Rs.1000 and the maximum is Rs.15 Lakhs and it has to be made in multiples of thousand
- Method of Investment – You can deposit funds via cheque or demand draft (DD) or pay order in favour of ‘ICICI BANK Senior Citizen Saving Scheme’
- Rate of Interest – The ICICI bank senior citizen saving scheme interest rate on the deposit is 9.3% per annum which is taxable
- Tenure – You can deposit funds in this scheme for a period of 5 years
- Premature Account Closure – A depositor may be allowed to close his or her ICICI Senior Citizen Saving Scheme account and withdraw the deposit any time after 1 year from the opening date of the account. If the depositor closes the account after 1 year and before 2 years, a deduction of 1.5 percent of the balance deposit will be made and if he or she closes it on or after 2 years, a deduction of 1 percent of the balance deposit will be made.
- Account Extension – A depositor is allowed to extend his or her ICICI Bank Senior Citizen Saving Scheme account for a period of 3 years after maturity. The request for this extension has to be submitted by the depositor within a year after maturity.
- Joint Account - A person can open a joint account with his or her spouse
ICICI Bank SCSS Eligibility Criteria
- Any individual who is 60 years and above is eligible
- Any individual who is 55 years and above but below 60 years of age, and has already retired is eligible
- Any individual who is a retired Defence Services personnel is eligible for this scheme. The above mentioned age limits do not apply to him or her. Here, employees of the Civilian Defence Service are not included
- NRIs and Hindu Undivided Families (HUF) are not eligible for this scheme
Documents Required ICICI Bank Senior Citizen Saving Account
An individual has to provide the age proof through a self-attested copy of one among the following documents for ICICI Bank Senior Citizen Saving Scheme –
- PAN Card
- Senior Citizen Card
- Voter ID
- Birth Certificate issued by Panchayat or MC or District office of the registrar of births and deaths
- Ration Card
- Driving License
- Birth date certificate from the school
A retired depositor who is 55 years old but below 60 years of age can open an SCSS account within 1 month of receiving the retirement benefits along with proof that these benefits have been disbursed. This has to be accompanied with a certificate from the employer.