Prime Minister Narendra Modi instituted the Mahila Samman Savings Certificate Scheme (MSSC) in 2023 to foster financial independence among women. This savings opportunity boasts a competitive interest rate and offers flexible withdrawal options.
According to Union Minister of State for Finance Shri Pankaj Chaudhary, over 43 lakh accounts had been opened under this scheme as of October 10, 2024. If you’re thinking about taking advantage of it too, here’s everything you should know before doing so:
Key Features of Mahila Samman Savings Certificate (MSSC)
The MSSC was designed to encourage women to save while providing them with tangible financial advantages. Here are its core features:
- Minimum Deposit is Rs1,000 with maximum of Rs2,00,000.
- Duration of Loan Agreement is two years; Interest Rate of Annual Compounded Quarterly Compounded will apply
- Available: At post offices and select banks (Banco de Baroda, Canara Bank, PNB, Union Bank of India and Bank of India).
- Eligibility: Any woman, or the guardian of a minor girl can open an account.
- Last Date to Open an Account: March 31st 2025
How to Open an MSSC Account (PDF Format)
- Opening an MSSC account is straightforward. Simply follow these steps:
- Visit an Authorized Post Office or Bank: You should go directly to one of the authorized post offices or designated banks in your area.
- Fill Out an Application Form: Submitting your personal details accurately will assist with processing an accurate application form.
- Submit Required Documents: Ensure you provide required documents such as Aadhaar and PAN cards for submission.
- Deposit the Required Amount: At minimum, Rs1,000 needs to be deposited to activate an account.
- Receive Confirmation: Once the process is completed, you will be sent a passbook containing details about your deposit.
Withdrawal Guidelines
Partial Withdrawals
- After one year has lapsed, account holders can withdraw up to 40% of the deposited amount as partial withdrawals.
- Example: If you deposit Rs10,00,000. you may withdraw up to Rs40 000 after 12 months.
Full Withdrawal
- After two years have elapsed, all amounts and interest accrued can be fully withdrawn along with their associated tax rebates.
Early Withdrawals in Special Cases
- After six months: Approved but the interest rate will be reduced by 2%.
- Death of Account Holder: After their demise, their nominee/legal heir can claim any amounts that remain due.
- Compassionate Grounds: For situations involving medical emergencies or the passing away of an important caregiver.
