State Bank of India is one of the banks that offers the facility to open a Sukanya Samriddhi account. It is a special small savings account which was launched by the government. It is offers financial help for education or marriage of a girl.
Sukanya Samriddhi Account is a special small savings account that has been recently launched by the Government of India. The objective of this account is to provide a better future for girl children and thus empower the female ratio of the population. As per its name, this account is meant exclusively for girls and allows a financial support aimed towards achieving higher education or fulfilling marriage needs.
In addition to nominal banking solutions such as savings accounts, corporate accounts, personal and specialised loans, State Bank of India also offers credit cards, hire purchase and leasing, merchant banking and electronic remittance services, to match the requirements of the banking market. It is also one of the 28 banks that have been given the authorisation from the RBI to operate the Sukanya Samriddhi Account launched by the Government of India in 2014.
Features of SBI Sukanya Samriddhi Account
The following can be mentioned as the salient features of this specialised small savings scheme -
- Account Opening - Account can be opened by biological parents or legal guardians on behalf of the girl child through an initial deposit of Rs.1,000. One account per girl child is allowed and a maximum of three accounts can be allowed in a family, subject to the condition that the family has had twin girls. Accounts can be opened at post offices and authorised bank branches and are transferable across India.
- Deposits - Account requires a low deposit of Rs.1,000 per year and a maximum deposit of Rs.1.5 lakh in a year is allowed. Deposits can be made through cash and/or cheques in multiples of Rs.100 subject to the aforementioned limits. Deposits can be made for a period of 15 years.
- Account Operator and Depositor – Until the girl child reaches the age of 10, the account can be operated by a legal guardian or parent on her behalf. The operator of the account will also be the depositor for this period. Once the girl child achieves the age of 10 years, she can choose to operate the account herself. The guardian or parent can still remain the depositor till the end of the deposit period of 15 years.
- Account Tenure – The account or deposit has a tenure of 21 years at the end of which the deposit achieves maturity and is released from the lock-in period. The amount in the account can be paid out or can be kept as is, allowing further accrual of interest till the date the account is actually closed
- Partial Withdrawal – After the girl child has reached the age of 18 years, 50% of withdrawal funds from SBI Sukanya samriddhi Account can be done for the purpose of higher education/marriage
- Account Revival – As mentioned earlier, a minimum deposit of Rs.1,000 is required per year for 14 years in order to ensure the continuity of the account. In case this requirement is not met during any particular year, the account will be discontinued. It can be revived by paying a fee of Rs.50 and the minimum deposit amount
Benefits of Sukanya Samriddhi Account with SBI
This specialised account was launched for the secure future of the girl child and it offers many benefits to the parents/guardians as well as the girl child. These benefits are the most compelling reasons for people to consider opening a Sukanya Samriddhi Account with State Bank of India.
- High Interest Rate – As of 2019-20, interest at 8.5% per annum will be compounded and credited into the account every year.
- Additional Interest – If, post the maturity period of 21 years, the amount in the account is not withdrawn, it will keep earning compound interest at the rates mentioned in the scheme
- Low Deposit Amounts – Made for every family, the nominal deposits of INR 1000 per year allow a depositor to keep adding to the account without much of a struggle
- Transferability – In case the depositor and/or account holder changes his/her location, the account can be transferred to any authorised bank or a post office there and further actions pertaining to the account can be done locally
- Tax Exemption – As a depositor, the funds deposited into this account do not incur tax as per Section 80C, while as an account holder, the maturity proceeds are also tax free. It offers a win-win situation for the guardian and the girl child
Documents required to open SBI Sukanya Samriddhi Account
In order to open an account, the following required documents for Sukanya Samriddhi Account are specified:
- Birth Certificate of girl child
- Government-approved proof of address for parent/guardian of girl child
- Government-approved proof of identity for parent/guardian of girl child
FAQs on SBI SSY Account
- How can I open an SBI Sukanya Samriddhi Yojana (SSY) account?
- I don’t have an account with SBI. Can I still open an SSY account?
- What will be the penalty I will incur in case of irregular payment or revival of the account?
- Who can open an SBI SSY account?
- Can loan facility be availed under SSY?
The process to open an SSY account is very simple. You can visit the nearest branch of State Bank of India (SBI), where you will be assisted by a bank representative. All you have to do is fill the SSY application and submit the required documents and deposit the minimum cash of Rs.1,000. Once the documents have been verified, the SSY account under the name of the girl child can be opened.
Yes, you can open an SSY account even if you don’t have a standing account with SBI provided you are a legal guardian to a girl child and the other eligibility criteria is being met. All you have to do is to submit the necessary documents and once they are verified and found to be correct, the SSY account will be made active.
A yearly penalty of Rs.50 will be levied along with the minimum specified amount in case of irregular payment or if you wish to revive the SSY account.
The account can only be opened under a name of a girl child. The person opening the account in the name of the girl child should either be a legal guardian or the parent of the girl child. The person should be the depositor of the amount and hence, can operate the account.
No, there is no loan facility provided under Sukanya Samriddhi Yojana.
Sukanya Samriddhi Top Pages
- Sukanya Samriddhi Yojana
- Sukanya Samriddhi Yojana Calculator
- SSY Documents Required
- Sukanya Samriddhi Yojana NRI
- Sukanya Samriddhi Interest Rate
- Sukanya Samriddhi Account in Post Office
- Sukanya Samriddhi Account Eligibility
- Sukanya Samriddhi Withdrawal
- Beti Bachao Beti Padhao
- Bank of India Sukanya Samriddhi Yojana
- Union Bank of India Sukanya Samriddhi Account
Sukanya Samriddhi Other Pages
- SSY Canara Bank
- Corporation Bank Sukanya Samriddhi Account
- Dena Bank Sukanya Samriddhi Account
- IDBI Bank Sukanya Samriddhi Account
- Indian Overseas Bank Sukanya Samriddhi Account
- Sukanya Samriddhi Account Benefits
- Sukanya Samriddhi Account in Axis bank
- Sukanya Samriddhi Account Tax Benefits
- Syndicate Bank Sukanya Samriddhi Account
- Sukanya Samriddhi Account Transfer
- Sukanya Samriddhi Rules