Mahila Samman Savings Certificate (MSSC) is a special government savings scheme for women launched by the Government of India to promote financial security and independence. The Mahila Samman Savings Certificate (MSSC) is a one-time small savings scheme. It was announced in the Union Budget 2023-24. The scheme is effective for two years, from April 2023 to March 2025. It aims to foster financial inclusion among women and girls.
This scheme encourages women and girls to develop a habit of saving by offering a safe investment option with an attractive interest rate. Available through post offices and selected banks, the scheme is designed to support long-term financial planning for women across the country.
What is Mahila Samman Savings Certificate?
Mahila Samman Savings Certificate is a special initiative by the Government of India. It aims to empower women by encouraging savings and investment. This scheme provides a secure and attractive savings option. It helps women achieve financial independence and stability. The scheme is available through women saving scheme post offices and eligible banks.
Mahila Samman Eligibility
Any woman can open an account under this scheme. A guardian can open an account on behalf of a minor girl. There is no age limit for adult women applicants.
Mahila Samman Savings Certificate Investment
Investment in the scheme has specific limits. These limits ensure broad accessibility and focus on small savings.
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Minimum Deposit: ₹1,000.
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Maximum Deposit: ₹2,00,000 (Rupees Two Lakhs only) in a single account or multiple accounts.
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Deposit Frequency: Subsequent accounts can be opened after a three-month gap from the previous account.
Mahila Samman Savings Interest Rate
The scheme offers a fixed Mahila Samman savings interest rate of 7.5% per annum. The interest is compounded quarterly. This interest rate makes it a highly attractive government savings scheme for women.
Partial Withdrawal
Account holders can make partial withdrawals after one year. A maximum of 40% of the eligible balance can be withdrawn. This feature provides liquidity while encouraging long-term savings.
Mahila Samman Maturity
The deposit matures after two years from the account opening date. The maturity amount includes the principal and the accrued interest. The scheme provides a predictable return on investment.
Key Rules of Mahila Samman Savings Certificate
Understanding the operational rules is essential for beneficiaries of the Mahila Samman Savings Certificate. These rules govern account operations and closure.
Account Closure Rules
Premature closure is allowed under specific conditions. These conditions are in place to safeguard both the investor and the scheme's integrity.
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Death of Account Holder: Account can be closed. Interest will be paid at the scheme's rate.
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Hardship Cases: Permitted after six months for extreme compassionate grounds. These include life-threatening illnesses or death of a guardian. The interest paid will be 5.5%.
Tax Implications
Interest earned under the scheme is taxable as per existing income tax rules. Tax Deducted at Source (TDS) is not applicable. This makes it simpler for beneficiaries.
Account Transfer
The scheme does not allow account transfers from one person to another. However, a woman can operate accounts opened at different post offices or banks.
Duplicate Passbook
A duplicate passbook can be issued if the original is lost or damaged. A small fee applies for this service.