What Is Mahila Samman Saving Certificate, Here’s What You Need To Know – News18

In a significant move to empower women and encourage their financial independence, the Indian government has expanded the accessibility of the Mahila Samman Saving Certificate (MSSC) 2023 accounts. The recent Union Budget introduced a noteworthy initiative, enabling individuals to open MSSC accounts not only through post offices but also in select public sector banks and private sector banks. This strategic decision aims to promote financial inclusion and convenience for women across the country.

According to the Finance Ministry, one can apply for a Mahila Samman Savings Certificate, 2023, at all public sector banks as well as ICICI Bank, Axis Bank, HDFC Bank Ltd, and IDBI Bank. “The Central Government hereby specifies that all public sector banks and ICICI Bank, Axis Bank, HDFC Bank Ltd and IDBI Bank shall be authorised to operate the Scheme namely, Mahila Samman Savings Certificate, 2023 with effect from the date of publication of this notification in the Official Gazette,” said the official notification.

The notification also specifies that the functioning of the plan is subject to certain criteria, such as banks having specialized software for the operation and accounting of National Savings Schemes, with specific capabilities for each scheme. Banks have also been requested to manage and offer the scheme online as well as at all of their branches.

All remittances must be credited to the Government Account at the Reserve Bank of India, Central Accounts Section, Nagpur, within one day for Core Banking Solution branches and three days for non-Core Banking Solution branches.

The notification also states, “In case of a delay in remittances beyond the period mentioned, the bank shall pay a penalty equal to the rate of interest payable to the depositor plus 0.5 percent in case of delays up to 30 days, and 1 percent in case of delays beyond 30 days.”

Furthermore, it is mandated that the bank must disclose certain transactions to the Reserve Bank of India using suitable codes, and the Ministry of Finance may impose a penalty if the bank fails to comply. Additionally, banks are required to declare in advance a list of branches that will not participate in any of the National Savings Schemes.

According to the notification, each bank is expected to send periodic reports or any other required information to the Central Government regarding deposits, subscriptions, and withdrawals under the Mahila Samman Savings Certificate scheme.

Scheme Details:

The scheme offers a two-year tenure with an attractive and stable interest rate of 7.5%. Investors can make flexible investments and are allowed partial withdrawals of up to Rs 2 lakh.

Interest Rates:

The government is offering an annual interest rate of 7.5%, which will be compounded and credited to the account quarterly.

Eligibility:

Women can apply for an account under the MSSC plan either for themselves or on behalf of a young girl as a guardian.

Required Documents:

Investors can open an account in the scheme by visiting their nearest post office or specified bank and providing a copy of their PAN card, Aadhaar card, and a cheque for the deposit amount.

Investment Limits:

The minimum investment amount is Rs 1,000, and the maximum amount per fiscal year is Rs 2 lakh. Early withdrawals are allowed after one year with minor penalties.

Investment Gap:

Individuals can open an unlimited number of accounts, subject to a maximum deposit restriction of Rs 2 lakh and a three-month interval between opening one account and another.

Maturity Date:

The deposit matures two years from the date of deposit.

Partial Withdrawal:

After one year from the account opening, all account holders can make a one-time partial withdrawal of up to 40% of the eligible amount. If the account belongs to a minor girl, the guardian can request a withdrawal by submitting a special form to the accounts office.