Senior Citizens Savings Scheme

Senior Citizens Savings Scheme
Senior Citizen Savings Scheme (SCSS) Account is the safest investment option for the Senior Citizens.

The Senior Citizen’s account may be opened by an individual:

  1. Who has attained age of 60 years or above on the date of opening of the account.
  2. Who has attained the age 55 years or more but less than 60 years and has retired under a Voluntary Retirement Scheme or a Special Voluntary Retirement Scheme on the date of opening of the account within three months from the date of retirement.
  3. No age limit for the retired personnel of Defense services provided they fulfill other specified conditions.

Senior Citizen Savings account may be opened in individual capacity or jointly with spouse.

Non-resident Indians (NRIs) and Hindu Undivided Family (HUF) are not eligible to open Senior Citizen Savings Scheme.

The individual can open only one account in the multiple of Rs.1000, subject to a maximum limit of Rs.15 lacs.

No withdrawal shall be permitted before the expiry of a period of five years from the date of opening of the account. The depositor may extend the account for a further period of 3 years.

Premature closure of account is permitted in Senior Citizen Savings Scheme

  1. After one year but before 2 years on deduction of 1½ % of the deposit.
  2. After 2 years but before date of maturity on deduction of 1% of the deposit.

In case of death of the depositor before maturity, the account shall be closed and deposit refunded without any deduction along with interest.

Senior Citizen Saving Schemes Interest Rates

Interest @ 8.5% per annum (w.e.f. 01 Oct 16) from the date of deposit on quarterly basis. Interest can be automatically credited to savings account provided both the accounts stand in the same post office. Interest rounded off to the nearest multiple of rupee one.

Post Maturity Interest at the rate applicable to the deposits under Post Office Savings Accounts from time to time is admissible for the period beyond maturity.

Nomination facility is available in the Senior Citizens Savings Scheme.

The investment under this scheme qualify for the benefit of Section 80C of the Income  Tax Act. [as per prevailing rules].
TDS is deducted at source on interest if the interest amount is more than Rs.10,000/- p.a.

Tips:

Monthly Income Scheme (MIS) and Senior Citizen Saving Scheme (SCSS) are the best for Senior Citizens who desire monthly/quarterly interest. Invest in MIS / SCSS and transfer interest into RD account through SB account through written request and earn higher interest rate.

26 comments for “Senior Citizens Savings Scheme

  1. Santosh tukaram kakade
    May 31, 2017 at 9:31 am

    Sir I Mr kakade Santosh tukaram retired from army on 01april 2017. I want to open MIS account (as senior citizen) rupees 15 lcs. But post office staff at artillery centre Nasik road refuse to open account stating that the above period is within one month. On checking on internet this period is three months from retirement.please suggest me

  2. N.Radhakrishna Murthy
    February 22, 2017 at 9:40 am

    1)whether FD under SCSS in Post offices on my wife name who is 60yrs can be shown for Income Tax benefits under 80C for my IT Returns. I am 64 Yrs old and still earning as Consultant in a Co.,

    2) I heard that 8.7% interest w.e.f.1-4-2017 for FDs under SCSS in Post Offices. Kindly clarify. Regards.

  3. Prabhat Banerjee
    February 18, 2017 at 7:27 am

    i too like to know more about the SENIOR CITIZEN’S SAVING SCHEME, i am now 61years. please suggest me the best suitable plan for me and my family which is suitable for my 3 member family.

    • Games ch. Kundu
      March 27, 2017 at 5:30 pm

      I retired 24.2.2017 now I want s. C. S. S at post office. Family members is four please explain

  4. Deepa
    February 5, 2017 at 6:50 pm

    The Govt. is taking some good moves for the benefit of the older generation. In a recent update, the Prime Minister of India said that, senior citizens will receive a fixed interest rate of 8% for a period of 10 years, on deposits of up to Rs. 7.5 lakhs.

    SCSS is surely a great scheme for the senior citizens of India. Thank you for sharing your detailed insights on SCSS.

  5. January 18, 2017 at 8:00 am

    Sadashiv
    January 18,2017

    How much maximum money can a husband and a wife jointly invest in a Senior Citizen Saving Scheme ?

  6. mihir.kotecha
    December 15, 2016 at 10:00 am

    My father is 66years old, he wants to invest 10lacs and wants interest per month, what will be the expected interest per month for 10lacs, thank you!!

  7. Shankar
    November 4, 2016 at 4:45 am

    My father was retire on 58 year from state government service hi is eligible for this scheme

  8. BIJOY DAS
    November 2, 2016 at 9:40 am

    These informations are very old… please update soon… misleading many old people

  9. careersailor
    October 1, 2016 at 2:21 pm

    i am retired from Railway in the month of August 2016. I want some investment in post office for monthly return. Kindly suggest me, in which scheme should I invest.

  10. Jatinder
    September 29, 2016 at 6:54 am

    I am 60 years old I want to invest in MIS scheme kindly provide current interest rates & scheme details

  11. APPASAHEB JAGDALE
    September 23, 2016 at 8:18 am

    Appasaheb Jagdale I am 60 years old i kept Rs.Ten lac in the scss scheme but iam getting intrest@ 8.66%. website shows 9.20% please clarify the actual present rate of interest.

  12. Ranjan Banerjee
    September 7, 2016 at 10:35 am

    Is 9.2% interest rate still available for a new account opening?
    New Panvel P.O. Informed me present max rate is only 8.6%.
    Can someone pl confirm!?

    • BIJOY DAS
      November 2, 2016 at 9:43 am

      Yes sir …now scss giving 8.5% interest only

  13. Dilip Desai
    September 5, 2016 at 10:59 am

    Savitha

    I am 60 years old I want to invest in MIS scheme kindly provide current interest rates & scheme details

  14. joydev das
    September 2, 2016 at 1:39 am

    i like to know more about the SENIOR CITIZEN’S SAVING SCHEME, i am now 65 years. please suggest me the best suitable plan for me and my family which is constituted of myself, my son

  15. joydev das
    September 2, 2016 at 1:37 am

    i am balai charan das please let me know the current rate of interest given by post office for senior citizens 65 years old . your best suggestion
    of best plan

  16. Mr.PARMANAND N JETHANI
    September 1, 2016 at 6:46 am

    Sir/Madam
    I am 73 years old & i want to open the account in MIS SCHEME FOR SR.CITIZEN.I am unable to sign due to old age & suffering from early
    Parkinsonism .so please kidly allow me left hand thumb impression
    instead of signature I also inform you that I have changed my signature by thumb impression.
    Your earlier reply is awaited.Thanking you
    Warm Regards,
    Parmanand N Jethani

  17. savitha
    June 23, 2016 at 11:26 am

    I AM SAVITHA PLEASE LET ME KNOW THE CURRENT RATE OF INTEREST GIVEN BY POST OFFICE FOR MIS SCHEME FOR SR.CITIZEN . WHETHER THE INTEREST BE TRANSFERRED TO SAVINGS BANK A/C.BY THE POST OFFICE .

    • vasundhara
      August 28, 2016 at 1:36 pm

      how many senior citizen accounts can be opened in a post office in one month by a single depositor.
      if i have opened senior citizen account on 5th of a month for rs. 100000/- , then whether can i open another senior citizen account in same month .
      please reply sir,

  18. rangan
    March 19, 2016 at 2:19 pm

    Suppose If I open SSSScheme during the current financial year which is at presemt
    9.3%, please advise whether I am eligible for same rate of interest for the deposit made after the current financial year

  19. AJAY KUMAR CHAKRABORTY
    February 8, 2016 at 3:22 am

    A. CHAKRABORTY – 63
    I AM A SR. CITIGEN. PLEASE LET ME KNOW THE CURRENT RATE OF INTEREST GIVEN BY POST OFFICE FOR MIS SCHEME FOR SR.CITIZEN . WHETHER THE INTEREST BE TRANSFERRED TO SAVINGS BANK A/C.BY THE POST OFFICE .

  20. K.S.Goyal
    September 14, 2015 at 5:00 am

    Iam 65 years old & has already invested Rs.15 lac inSCSS ,my wife is 60 years old Can she open a a/c in scss by her name? If yes what shall be the limit?

    • SUSHMA ARORA
      June 26, 2016 at 8:02 am

      YES ANOTHER 15 LACS

  21. Rajendra Shah
    March 22, 2015 at 1:10 pm

    I am having Singapore citizen .But from last five years I am staying in India.I have got OCI card . Am I eligible for investment in senior citizen saving scheme. I am retired at 58. Age 59years and 8 months.
    Pl guide.

    Thanks

    Rajendra

  22. RV SATYANARAYANA
    November 15, 2012 at 10:36 pm

    i like to know more about the SENIOR CITIZEN’S SAVING SCHEME, i am now 66years. please suggest me the best suitable plan for me and my family which is constituted of myself, my son and my daughter-in-law

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