Senior Citizen Saving Scheme all details for the year 2020 is available here. Check Senior Citizen Saving Scheme 2020 Revised Interest Rate and Download SCSS Application Form to open Bank Account. Senior Citizen Saving Scheme can be opened in any Public / Private sector bank and Post Office. The SCSS account holder may deposit a minimum Rs 1000 and Maximum Rs 15 Lakh. The Maturity time of Senior Citizen Saving account is 5 years. You may extend it 3 years more if you want. SCSS Beneficiary is eligible for tax deduction under section 80C of the Income Tax Act, 1961.
SCSS 2020 All Details
The senior citizens are the core of one’s country and to develop their interest and protect their needs, many schemes have been launched by the government itself. Many retirement schemes plus pension schemes have been made mandatory for the senior citizens, so that their interest and wants and needs are not sacrifice as they reach their old age. One such scheme is the senior citizen saving scheme for the year 2020
Senior Citizen Saving Scheme 2020
The senior citizen saving scheme of 2020 was proposed for the citizens who are reaching their old age and have no or little source of income. Under the senior citizen saving scheme interest will be provided on the deposits which will be made by the depositors. The scheme is aimed for 5 years although it can be extended for 3 more years if the applicant wants to. The scheme is providing a great rate of interest and can be kept as the most beneficial scheme of the year.
Overview of Senior Citizen Saving Scheme
|Name of Scheme||Senior Citizen Saving Scheme|
|Launched by||Central Government|
|Start Date to Apply||Available Now|
|Type of Scheme||Saving Scheme|
|Beneficiary||Senior Citizen Of India|
|Mode of Apply||Online/Offline Both|
|Objective||To Provide Money Saving Benefits|
|Interest Rates||8.7% Per Annum|
Aim Through Senior Citizen Saving Scheme
The general and main motive behind the senior citizen saving scheme of 2020 was to provide a safe and secure environment for the citizens who have reached their old age. The scheme will give out a certain amount of tenure for the people and thus, will help them to lead a happy life. The scheme will financially secure a place for senior citizens, thus making India’s human resources very vital.
INTEREST ON DEPOSIT IN SCSS 2020
A fair amount of interest has been provided under the Senior Citizen Saving Scheme 2020 ie 8.60% per annum. The interest will be payable at the end of each calendar quarter e.g. 31st March / 30th June / 30th September / 31st December starting from the day of deposit. Note – Compounding of interest not permissible.
|Up to 2012||9%|
ELIGIBILITY UNDER SCSS 2020
To be eligible under the senior citizen Saving Scheme for their 2020 the individual must go through the following criteria :-
- He/she must have attained the age of 60 years and above on the date of opening of an account.
- Beneficary must have attained the age of 55 years or more but less than 60 years and who has retired on superannuation or otherwise on the date of opening an account.
- He/she must have retired at any time before the commencement of these rules and attained the age of 55 years or more on the date of opening of an account.
- The retired personnel of Defence Services (excluding civilian Defence employees) irrespective of the above age limits subject to fulfilment of other specified conditions.
- NRI is not eligible for the above-mentioned scheme.
- Members of Hindu Undivided Family HUF are also not eligible for the above-mentioned scheme.
How to Apply For Senior Citizen Saving Scheme 2020
To apply for the senior citizen saving scheme for the year 2020, you need to download the senior citizen saving scheme application form through the official website and fill out the application form with asked details. The details may consist of your PAN number, Name, Bank Account details, Personal details and etc. Then you just have to submit the form to your nearest post office or Bank
Note- The following application form will only be filled offline through the banks or post offices in which SCSS is made mandatory.
Name Of Banks Applicable Under SCSS 2020
Certain number of banks is applicable under the senior citizen saving scheme of the year 2020. The list of banks which are applicable under the schemes is given below:-
- Allahabad Bank
- Andhra bank
- State Bank of India
- The Bank of Maharashtra
- Bank of Baroda
- Bank of India
- Corporation Bank
- Canara Bank
- Central Bank of India
- Dena Bank
- Syndicate Bank
- UCO Bank
- Union Bank of India
- Vijaya Bank
- IDBI Bank
- Indian Bank
- Indian Overseas Bank
- Punjab National Bank
- United Bank of India
Mode Of Deposit For Senior Citizen Saving Scheme
To deposit the money under the senior citizen saving schemes the applicants must follow the given rules:-
- The money will be deposited in cash if the amount of the deposits is less than rupees 1 lakh.
- The money will be deposited by cheque or demand draft drawn in favour of the depositor and endorsed in the favour of deposit office, if the money for a deposit is more than 1 lakh.
Renewal Under Senior Citizen Saving Scheme 2020
If the depositor wants to extend his or her account under SCSS 2020, then he or she can just do it for three more years. But for an extended period of further three years, he has to wait until the maturity period of five years. To make the extension under his account, an application in Form B should be made within a period of one year after the date of maturity period.
Tenure Calculation Under SCSS
To calculate your tenure under the senior citizen saving scheme, you just need to follow these simple steps:-
- First, you have to acknowledge the interest rate provided under SCSS
- Nowadays interest of 8.6% pa has been providing by the authority
- Now you have to acknowledge your deposited amount, for example, if your deposited amount is 15 lakh which is the maximum amount you can deposit.
- Then acknowledge your maturity period
- By default, the maturity period is 5 years
- Thus, your tenure will be 15,00,000*1.086)^5 = Rs 22.65 lakh
Nomination Under SCSS
The nominees can one or more than one person.
- The nominee has to be presented by the applicant at the time of opening of the account or at any time after the opening of the account.
- Nominee shall be appointed before the closure of the depositor’s account under SCSS
- The nominee can be appointed by an application on Form C accompanied by the passbook to the Branch.
Note – Nomination made by the depositor can be cancelled or verified.
Closing Of Account Under Senior Citizen Saving Scheme
There are three ways in which the account of the applicant under SCSS can be shut down.
First Closing of account on maturity
Although normally the deposit made at the time of opening of account shall be paid by the concerned deposit office after the expiry of five years from the date of opening of the account.
Second Closing of the account by default
If the account has been untouched by the depositor ie, neither the account is closed nor the account is extended then the account is by default closed by the concerned authority and the adequate payment will be made from time to time till the end.
Third Closing of the account by the death of the depositor
If the death of the applicant happens before the maturity of the account then the account shall be closed and deposit refunded on an application in Form F.
The deposit will be refunded along with interest to the nominee or legal heirs (as per the rules)
Premature closure of the account
The depositor has the right to close his or her account as per his or her wants but certain rules are laid down in case of premature closure of the account:-
- In case the account is closed after the expiry of one year but before the expiry of two years from the date of opening of the account, an amount equal to one and a half per cent of the deposit shall be deducted and the balance paid to the depositor.
- In case the account is closed on or after the expiry of two years from the date of opening of the account, an amount equal to one per cent of the deposit shall be deducted and balance paid to the depositor.