Indian Overseas Bank Sukanya Samriddhi Account

Considered a pioneer in the Indian Banking domain, Indian Bank has huge reputation when it comes to providing commendable services to its users. If you are looking for options to secure your daughter's future, look towards Indian Bank's Sukanya Samriddhi.

The Indian Overseas Bank is a public sector bank based out of Chennai, Tamil Nadu. The bank has been operational since 1937 and is among the major nationalized banks in India. The bank offers the whole spectrum of banking services to customers through its 3000+ branches spread across the length and breadth of the country.

Indian Overseas Bank is among the 28 banks chosen to accept Sukanya Samriddhi Account opening by the RBI. This new scheme was introduced as recently as 2014 and is aimed at empowering the girl child toward educational or marriage needs. Anyone fulfilling the account opening criteria can apply for the same at any of the branches of Indian Overseas Bank.

SBI Sukanya Samriddhi Yojana Details

Current Interest Rate

8.2 % Per Annum

Minimum Deposit

INR 250 Per Annum

Maximum Deposit Amount

INR 1,50,000 Per Annum

Max Eligibility Age

10 Years

Maturity

After the age of 18

Features of IOB Sukanya Samriddhi Account

This account has several features including:

  1. Account opening: Indian Overseas Bank Sukanya Samriddhi Account can be opened by a parent or legal guardian of the girl child. The account can be opened with a minimum deposit amount of Rs.250. One account is applicable per girl child up to 2 girl child, with families having twins allowed to operate a maximum of 3 accounts.
  2. Age: Children up to the age of 10 years can have a Sukanya Samriddhi Account. 1 year grace period is being provided for girl child who is born between 2nd December 2003 and 1st December 2004.
  1. Deposit amount: Minimum Rs.250 has to be deposited to activate the account, and in multiples of Rs.100 thereafter. Up to Rs.1.5 lakhs can be deposited per year in a single Sukanya Samriddhi Account.
  2. Rs.250 has to be deposited at least every year for 14 years, failing which the account gets discontinued until a payment of Rs.50 penalty for every year the account has not been operational.
  3. You can use the Sukanya Samriddhi Yojana calculator for calculating how much monthly amount you want to put in your Sukanya Samriddhi Account.
  4. Account closing: The account matures after 21 years of operation, after which it may be continued to accrue further interests. The account will be discontinued when the girl child is married.
  5. Premature closure is allowed after 18 years of operation if the girl is married by then. Account may be closed in case of death of the depositor or serious medical illness.

Benefits of IOB Sukanya Samriddhi Account

There are a wide range of benefits available with IOB Sukanya Samriddhi Account:

  1. Interest rate: Interest rates will be revised every year. The interest rate for the year 2024-2025 is 8.2%.
  2. Partial withdrawal: Premature withdrawal is allowed when the girl child turns 18. This amount is limited to 50% of account balance as per previous year’s account statement.
  3. Account transfer: The account can be transferred to any other authorized bank or post office branches to ensure operability from anywhere across the country.
  4. Tax exemption: Depositors can claim up to Rs.1.5 lakhs exemption per year under Section 80C of the Income Tax Act, 1961. The interests accrued at maturity are also tax free.
  5. Accountability: The proceeds of this account will only be made to the pertinent girl ensuring that the amount cannot be misused by anyone else.
  6. Flexible deposit amount: Amounts as low as Rs.250 can be deposit every year to enjoy the full benefits of the account. This amount can be increased to Rs.1.5 lakhs p.a. in multiples of Rs.100.

Documents Required for IOB Sukanya Samriddhi Account

There are minimal document requirements while opening a Sukanya Samriddhi Account with IOB. These include:

  1. Birth certificate of the girl child
  2. Identity proof of parent or legal guardian
  3. Address proof of parent or legal guardian

All account holders will be given a passbook containing information such as account number, balance, name and address details to ensure greater transparency in dealings made in the account.

FAQs on Indian Overseas Bank Sukanya Samriddhi Account

  • What is the maximum amount that can be deposited in the scheme in a financial year?

    Rs.1.50 lakh is the maximum amount that can be deposited in the scheme in a financial year. 

  • What is the tenure of the SSY scheme offered by Indian Overseas Bank?

    The tenure of the SSY scheme offered by Indian Overseas Bank is 21 years.

  • Does Indian Overseas Bank provide premature closure facility under the SSY scheme?

    Yes, Indian Overseas Bank does provide premature closure facility under the SSY scheme. 

  • What is the minimum amount that can be deposited under the scheme?

    Rs.250 is the minimum amount that can be deposited under the scheme.

  • Are tax benefits provided for investments in the SSY scheme?

    Yes, tax benefits are provided for investments in the SSY scheme. 

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