Small Savings Account Holders Alert: Your PPF-SSY and other schemes may be closed from October 1, know why?
Small Savings Schemes: Investors of Public Provident Fund (PPF), Sukanya Samriddhi Yojana (SSY), Post Office Deposit and other small savings schemes will have to submit their Aadhaar number at the post office or bank branch by the end of this month. If you do not do this till this month, your small savings investment will be frozen i.e. it will be stopped.
PAN and Aadhaar number have become mandatory for investing in PPF (Public Provident Fund), SSY (Sukanya Samriddhi Yojana), Senior Citizen Saving Scheme (SCSS) and other small savings schemes. In this context, a notification was issued by the Finance Ministry on 31 March 2023.
Account will be frozen from October 1
According to the notification of the Finance Ministry, if small savings customers had not submitted their Aadhaar number while opening PPF, SSY, NSC, SCSS or any other small savings account, then now they will have to provide this information by 30 September 2023. If you do not link your Aadhaar number to your small savings account within the stipulated time limit, your account will be frozen from October 1, 2023.
What are Small Savings Schemes?
Small Savings Scheme is an investment option that allows people to save and deposit money. These schemes are government schemes so there is no risk in them. Your investments in many of these schemes are also eligible for tax benefits. Under many schemes, you also get benefits up to Rs 1.5 lakh under Section 80C of the IT Act.
When does the interest rate change?
Their interest rates are reviewed every quarter by the government. At the same time, interest rates on small savings schemes were increased by 30 bps for the quarter July to September 2023. This change was specifically for 1 year and 2 year fixed deposits and 5 year recurring deposits.
Uniform Interest Rate (Small Savings Schemes Interest Rate) for July-September 2023
SCSS – 8.2 percent
Sukanya Samriddhi Yojana – 8.0 percent
NSC- 7.7 percent
Kisan Vikas Patra – 7.5 percent
5 year deposit – 7.5 percent
PO-Monthly Income Plan – 7.4 percent
PPF- 7.1 percent
2 year deposit – 7.0 percent
3 year deposit – 7.0 percent
1 year deposit – 6.9 percent
5 year RD – 6.5 percent
