What is Sukanya Samriddhi Yojana?
Sukanya Samriddhi Yojana (SSY) is a government-backed savings scheme launched under the Beti Bachao Beti Padhao campaign. It is designed for the girl child and can be opened by parents or legal guardians for girls below 10 years of age. The scheme offers one of the highest interest rates among government savings schemes and provides tax benefits under Section 80C. The account matures when the girl turns 21.
What is the current SSY interest rate in 2026?
The current Sukanya Samriddhi Yojana interest rate for 2026 is 8.2% per annum, compounded annually. The interest rate is reviewed and set by the Government of India every quarter. SSY consistently offers one of the highest interest rates among small savings schemes, making it an attractive investment for the girl child's future.
What is the maximum deposit limit in SSY?
The maximum deposit limit in Sukanya Samriddhi Yojana is Rs 1,50,000 per financial year. The minimum annual deposit required is Rs 250. Deposits can be made in lump sum or in multiple installments during the financial year. Deposits are mandatory for the first 15 years from the date of account opening; after that, the account continues to earn interest until maturity.
Can I withdraw from SSY before maturity?
Partial withdrawal from SSY is allowed once the girl child turns 18 years of age or passes 10th standard, whichever is later. The maximum withdrawal allowed is 50% of the balance at the end of the preceding financial year. This provision is meant to support higher education expenses. Premature closure is allowed in cases of marriage after the girl turns 18, life-threatening illness, or death of the account holder.
Is SSY better than PPF for a girl child?
SSY offers a higher interest rate (8.2%) compared to PPF (7.1%) and both enjoy EEE (Exempt-Exempt-Exempt) tax status. However, SSY has a lock-in until the girl turns 21, while PPF matures in 15 years. SSY is specifically designed for the girl child with a maximum deposit of Rs 1.5 lakh per year (same as PPF). For a girl child, SSY is generally considered better due to the higher interest rate and similar tax benefits.