Sukanya Samriddhi Vs PPF: The government has withdrawn the decision to reduce the interest rates of PPF and Sukanya Samriddhi schemes as an oversight.
Sukanya Samriddhi Vs PPF: The government has withdrawn the decision to reduce the interest rates of PPF and Sukanya Samriddhi schemes as an oversight. Both these schemes are so popular that the government decided to reduce its rates yesterday and also rollback it today.
PPF and Sukanya Samriddhi Yojana are quite popular. These are both long-term investment plans. If you also want to know about PPF and Sukanya Samriddhi Yojana, and want to understand which of these two will be beneficial for you, then we are going to tell you about these two schemes in very easy language.
Sukanya Samriddhi Yojana Account (crop)
This scheme has been started under ‘Beti Bachao, Beti Padhao’. It can be started by parents of girls below 10 years of age. It can be opened for two daughters of the family. The period of these accounts is after the age of 21 years or 18 years till the marriage of the daughter.
Sukanya Samriddhi Yojana interest rates
The scheme was launched in 2014, when its interest rate was 9.1%. After this, the interest rate was also increased to 9.2 percent, but then it continued to fall in its interest rates. At present, 7.6 percent interest was being received till the financial year 2020-21, which will continue even after April 1, 2021.
Time period Interest rate (percent)
Interest from 1 April 2021 7.6
April -2020 to March 2021 7.6
July to September 2019 8.4
April to June 2019 8.5
January to March 2019 8.5
October to December 2018 8.5
July to September 2018 8.1
April to June 2018 8.1
January to March 2018 8.1
October to December 2017 8.3
July to September 2017 8.3
April to June 2017 8.4
SSY Account Eligibility
If you also want to start investing in Sukanya Samriddhi Yojana for your daughter, then you should know its conditions.
1. Sukanya Samriddhi account can be opened by parents or legal guardians only in the name of the girl child
2. The girl’s age should be less than 10 years at the time of opening the account
3. Only one account can be opened for a daughter
4. Only two SSY accounts are allowed to be opened for a family
How to invest in Sukanya Samriddhi Yojana
You can invest in this scheme through a post office near you or branches of public and private banks involved in it. For this, you will have to submit KYC documents such as passport, Aadhaar card, etc. along with the initial deposit through the required form and check / draft. Apart from banks, you can also download the new account application form for SSY from the RBI website. You can download the form from the website of The India Post, website of government banks SBI, PNB, BOB etc. You will also get the form from private sector banks like ICICI Bank, Axis Bank and HDFC Bank.
How much can i invest
In a Sukanya Samriddhi account you can deposit 250 rupees in a financial year and invest up to a maximum of 1.5 lakhs. You have to deposit at least the prescribed minimum investment amount every year for 15 years after opening an account. After this, interest will continue to be available till the maturity of the account. The duration of Sukanya Samriddhi Yojana is 21 years or until the girl is married after she turns 18. The daughter can withdraw some money from Sukanya Samriddhi account after she turns 18 for the cost of her higher education, but this withdrawal cannot be more than 50%.
Benefits of investing in Sukanya Samriddhi Yojana
The parents of the daughter get income tax exemption on investing in this scheme. Under the Income Tax Section 80C, there is a benefit of tax exemption of up to 1.5 lakh rupees per annum.
Investment and interest rates in PPF
Public Provident Fund (PPF) is a tax free savings scheme, whose interest rates are fixed every quarter, just like SSY. As far as its comparison with Sukanya Samriddhi is concerned, there is a great difference in the features of both. When anyone can open an account in PPF, while SSY is a scheme run only for daughters.
Interest rates
Sukanya Samriddhi 7.6%
PPF 7.1%
Initial investment amount
Sukanya Samriddhi 1000 रुपये
PPF 100 rupees
Minimum investment
Sukanya Samriddhi 250 rupees
PPF 500 rupees
Tax benefit
Sukanya Samriddhi 1.5 lakh rupees
PPF 1.5 lakh rupees
Maturity
Sukanya Samriddhi 21 years
PPF 15 years
Can get a loan
Sukanya Samriddhi Not
PPF yes
