The “Mahila Samman Savings Certificate” scheme, launched by the Department of Economic Affairs, Ministry of Finance, aims to provide financial security to girls and women in India. It was officially permitted for implementation by Public Sector Banks and eligible Private Sector Banks via an e-gazette notification on June 27, 2023. This move facilitates broader access to the scheme, now available for subscription in Post Offices and eligible Scheduled Banks alongside the Department of Post, where it has been operational since April 1, 2023, with validity until March 31, 2025.
Key Features:
- Attractive and Secure Investment: Offers appealing investment options for girls and women.
- Account Opening and Tenure: Accounts can be opened until March 31, 2025, for a duration of two years.
- Interest Rate: Deposits accrue interest at a rate of 7.5% per annum, compounded quarterly.
- Deposit Limits: Minimum deposit of ₹1,000/- with multiples of ₹100/-, up to a maximum of ₹2,00,000/-.
- Maturity: Investments mature after two years from the account opening date.
- Flexibility: Allows partial withdrawals during the tenure, with a maximum withdrawal limit of up to 40% of the eligible balance in the scheme account.
Benefits of Mahila Samman Savings Certificate:
- The scheme provides attractive and secure investment options for all girls and women.
- It offers a fixed interest rate of 7.5%, compounded quarterly.
- Flexible investment and partial withdrawal options are available, with a maximum deposit ceiling of ₹2,00,000/-.
- The tenure of the scheme is two years.
- Interest is compounded quarterly and credited to the account.
- Note: If an account or deposit does not comply with the provisions of this scheme, the interest payable will be at the rate applicable to the Post Office Savings Account.
Eligibility for Mahila Samman Savings Certificate:
- Applicants must hold Indian citizenship.
- The scheme exclusively caters to women and girl children.
- Any individual woman is eligible to apply under the scheme.
- Guardian can also open minor accounts.
- There is no upper age limit; women of all ages can benefit from this scheme.
Documents Required
- Passport size photograph
- Proof of age, i.e. Birth Certificate
- Aadhaar Card
- PAN Card
- Pay-in-Slip along with deposit amount or cheque
- The following documents are accepted as valid documents for the purpose of identification and address proof:
a. Passport
b. Driving license
c. Voter’s ID card
d. Job card issued by NREGA signed by the State Government officer
e. Letter issued by the National Population Register containing details of name and address
Deposits:
- An individual can open multiple accounts, subject to the maximum deposit limit, with a three-month gap between each account.
- Minimum deposit is ₹1000/-, with subsequent deposits in multiples of one hundred rupees.
- Maximum deposit limit is ₹2,00,000/- per account holder.
Payment on maturity:
- Deposits mature after two years from the deposit date, and the eligible balance is paid to the account holder on maturity.
- Maturity value is calculated by rounding off any fraction of a rupee to the nearest rupee, treating fifty paisa or more as one rupee, and ignoring amounts less than fifty paisa.
Withdrawal from account:
- Account holder can withdraw up to 40% of the eligible balance after one year from the account opening date but before maturity.
- For accounts opened on behalf of minor girls, guardians can apply for withdrawal on their behalf by submitting the required certificate.
- Withdrawal amounts are rounded off to the nearest rupee, treating fifty paisa or more as one rupee, and ignoring amounts less than fifty paisa.
Application Process for Mahila Samman Savings Certificate:
Step 01: Visit the nearest Post Office Branch or designated bank.
Step 02: Obtain the application form either from the branch or download it from the official website.
Step 03: Complete the application form and attach all required documents.
Step 04: Fill out the declaration and nomination details.
Step 05: Submit the application form along with the initial investment/deposit.
Step 06: Receive the certificate as proof of investment in the ‘Mahila Samman Savings Certificate’ scheme.
Note: Applications for opening an account under this scheme must be submitted by a woman for herself or by the guardian on behalf of a minor girl on or before March 31, 2025.
Also read,
Premature Closure of Account:
1. The account shall not be closed before maturity except in the following cases:
- On the death of the account holder.
- In cases of extreme compassionate grounds such as life-threatening diseases of the account holder or death of the guardian, where the post office or bank is satisfied that the continuation of the account causes undue hardship to the account holder. Premature closure requires complete documentation and reasons recorded in writing.
2. If an account is prematurely closed, interest on the principal amount shall be payable at the applicable rate.
3. Premature closure may be permitted after six months from the date of opening for reasons other than those mentioned in point 1. In such cases, the balance in the account will earn interest at a rate 2% lower than the specified rate in the scheme.
4. Maturity value calculation rounds off any fraction of a rupee to the nearest rupee. Fifty paisa or more is treated as one rupee, while amounts less than fifty paisa are ignored.
Conclusion
In conclusion, the “Mahila Samman Savings Certificate” scheme stands as a commendable initiative by the Department of Economic Affairs, Ministry of Finance, aimed at empowering women and providing them with secure investment opportunities. With its attractive interest rates, flexible options for investment and withdrawal, and a maximum deposit limit of ₹2,00,000/-, this scheme ensures financial inclusion and stability for women across all age groups. By offering a fixed interest rate of 7.5%, compounded quarterly, and a two-year tenure, the scheme promotes savings and financial growth among women in India. Its implementation through Post Offices and designated banks further enhances accessibility, fostering economic independence and prosperity for women nationwide.
Frequently Asked Questions
1. What is the ‘Mahila Samman Savings Certificate’ scheme?
It is a small savings scheme introduced by the Government of India for women with a maturity period of two years. A woman or guardian of a girl child can open this account and deposit a maximum amount of ₹2 lakhs.
2. What is the interest rate of the Mahila Samman Savings Certificate?
The interest rate is 7.5% p.a., credited quarterly and paid at the time of closure of the account.
3. Who can open an account under the scheme?
1. A woman for herself. 2. A guardian on behalf of a minor girl.
4. Where to open under the scheme?
Applicants can open an account through their nearest Post Office Branch or Bank.
5. Can the Mahila Samman Savings Certificate be closed prematurely?
Yes, investors can close the account before two years in certain situations, including after six months of opening without providing any reason. In such a case, an interest rate is less by two percent. Other situations for premature closure include the death of the account holder or extreme compassionate grounds.
