Several parents who opened the Sukanya Samriddhi Yojna (SSY) for their girl child remain unsure about its maturity timeline. According to reports from Zee News and Personal Finance News, many parents open the account when the girl child is 5 years old or above but remain doubtful about when the scheme will mature. The confusion stems from the belief that the maturity date extends to age 26, but the scheme actually matures exactly 21 years from the date of opening, regardless of the child's age at the time of account opening. As reported by Personal Finance News, the maturity of an SSY does not depend on the age of the girl child but on when the investment starts - if you opened the account when your daughter was 5, it will mature when she is 26 years old (5 + 21).
The Sukanya Samriddhi Account Scheme is opened by the guardian in the name of a girl child who has not attained the age of ten years as of the date of opening. As reported by Zee News and Personal Finance News, the account can be opened in post offices and authorized banks, and can be transferred anywhere in India from one post office or bank to another. Investment in the Sukanya Samriddhi Yojana scheme is exempted under Section 80C of the Income Tax Act, 1961.
The account requires a minimum deposit of ₹250 and maximum deposit of ₹1.5 lakh in a financial year, with deposits to be made till completion of 15 years from the date of opening. According to Personal Finance News, deposits earn a highly competitive, government-backed interest rate of 8.2 percent per annum, which is compounded annually. For example, if you invest ₹60,000 every year for 15 years, you will deposit a total of ₹9,00,000 with an estimated maturity amount of approximately ₹28.75 lakh after 21 years. As reported by Personal Finance News, the interest is compounded annually, meaning the bank pays interest on your deposit plus all the interest you accumulated in previous years.
The account matures on completion of 21 years from the date of opening, with closure permitted before 21 years for marriage of the account holder after attaining age 18 years. As reported by Zee News and Personal Finance News, withdrawal of up to a maximum of 50 percent of the amount is allowed for the purpose of education of the account holder. After the 15-year deposit period, the accumulated amount continues to earn interest at the prevailing rate for the remaining 6 years without additional deposits required. According to Personal Finance News, even though you stop depositing after 15 years, the accumulated amount continues to earn compounding interest for the final 6 years without additional deposits.
