Syndicate Bank is considered one of the oldest banks of India and opening a Sukanya Samriddhi Account in Syndicate bank is simple and can be done in a hassle-free manner!
Please note that Sukanya Samriddhi Yojana Syndicate Bank has merged with Canara Bank effective 1 April 2020.
Started as a part of the government’s Beti Bachao, Beti Padhao’ campaign, Sukanya Samriddhi Yojana or SSY is a welfare scheme designed exclusively for the girl child in a family. Investing in this scheme allows parents or legal guardians to ensure financial security for a girl child aged ten years or below. Under the Sukanya Samriddhi Yojana, an account in the name of the girl can be opened across any of the private or public sector banks for a tenure of 21 years.
Key Features of Syndicate Bank SSY Account
Account: The account can be opened by the girl child’s parents or legal guardians before the girl child attains 10 years of age.
Tenure: The investment tenure of investment for SSY is 21 years or until the girl child gets married after she attains the age of 18. The account can be kept active for a maximum period of 21 years from the account opening date.
Age criteria – The account can be opened until the girl child turns 10 years old.
Deposit Criteria – A Syndicate Bank Sukanya Samriddhi Yojana account can be opened with a minimum deposit amount starting from as low as Rs. 250 per year and the maximum amount that can be deposited goes up to Rs.1.5 lakh in a year. The deposits can be made either through cash and/or cheque.
Eligibility Criteria: This scheme can be opened only by Indian residents. Female children having non-resident Indian status are not eligible to have an SSY account with Syndicate Bank. However, if in case the account holder acquires non-resident Indian status after opening the account, her parents/legal guardian must inform the respective branch about this change within 1 month period, based on which, the account will be closed.
Partial Withdrawal – Syndicate Bank SSY account allows withdrawal of 50% of the funds from the Syndicate Sukanya Samriddhi account once the girl child has turned 18 years old. This fund can be utilized for the purpose of higher education/marriage of the girl child.
Reactivation of the Account: A deposit of at least Rs. 250 is required per year for a minimum of 15 years to continue the account. If in case, the depositor is not able to make the deposit of the minimum amount in a year, the account gets deactivated. However, it can be revived by paying Rs.50 as a penalty fee for the lapsed year and the minimum annual deposit of Rs.250 per year for the years in default and also Rs.250 for the current year in which it is being activated.
Tax Exemption: The amount invested in SSY can be deducted from the taxable income up to Rs. 1.5 lakh per year under Section 80C of the Income Tax Act. Interest earned on SSY and the amount on maturity are also tax-free.
How to Open a Sukanya Samriddhi Yojana Account in Syndicate Bank?
Opening an SSY account with Syndicate bank can be done in a few simple steps. Individuals without an account in Syndicate Bank can also open an SSY account by submitting the following documents:
Documents required to open an SSY account in Syndicate
- Birth certificate of the Girl child
- Photo ID of parents or legal guardian who is opening the account on behalf of the girl child
- Photograph of the child and parent (applicant)
Stepwise Process to open an SSY account
- Get the account opening form from the branch and fill in all the required fields
- Submit all the required documents along with photos
- Deposit the amount (Min. Rs. 250)
- Once the account is active, one can make deposits by cash, cheque or demand draft
Benefits of Sukanya Samriddhi Account with Syndicate Bank
Having an SSY account with Syndicate bank can bring you multiple benefits; some of them are listed below:
- The SSY can provide a high-interest rate with tax exemption. As of 2020-21, the interest rate provided under the SSY Scheme is 7.6% per annum.
- The deposit amount (minimum is Rs 250) which is easily affordable by any family
- One of the major benefits of a Sukanya Samriddhi Account is the account can be easily transferred which means if in case, the account holder is planning to shift to some other city or locality, the account can be transferred to any other authorized bank or even a post office in the new location and further actions can be done locally.
Syndicate Sukanya Samriddhi Account – Frequently Asked Questions
Ques. Does SSY account provide loan facility?
Ans. No, loan facility is not provided under Sukanya Samriddhi Yojana.
Ques: Can I close the SSY account before the maturity?
Ans: Yes, Sukanya Samridhhi Yojana account in Syndicate Bank permits the premature closure of SSY under some special conditions. The reasons may be any serious disease or untimely demise of the primary account holder, etc.
Ques. How many SSY accounts can one open for a single beneficiary?
Ans. A beneficiary can open a single account either in the post office or in a bank.
Ques. What happens if I deposit extra money in the Syndicate SSY account than allowed?
Ans. Even if you deposit more than 1.5 lakhs in any financial year and it is accepted due to any accounting error, it won’t be eligible for any interest further. This extra amount (excluding 1.5 lakh) can be withdrawn anytime by the depositor.
Ques. How to make payments in the SSY account?
Ans. One can make payment to their Syndicate Bank Sukanya Samriddhi Account online through if there is an active internet banking account and also through cash or cheque.