Overview of Senior Citizens Savings Scheme (SCSS)
Senior Citizens Savings Scheme or SCSS is a type of investment option that is available in India. It can be categorized as a small savings scheme. It is extensively used because of the economically rewarding return it provides.Interest paid by Senior Citizens Savings Scheme (SCSS)
The Senior Citizens Savings Schemes pay the depositors a return of nine percent on the money that is invested by them. This interest is provided as per a yearly basis. The interest is normally paid to the account holder after every three months.Term Periods of Senior Citizens Savings Scheme (SCSS)
The maturity period of the Senior Citizens Savings Schemes is normally five years. However, the term period could be increased by another three years if the depositor wants so.Deposit Limits of Senior Citizens Savings Scheme (SCSS)
The amount of money that may be put in a Senior Citizens Savings Scheme has an upper limit and a lower limit. The upper limit in this case is rupees fifteen lakhs. The lower limit in this case is rupees thousand.Deposit Location of Senior Citizens Savings Scheme (SCSS)
The Senior Citizens Savings Schemes are supposed to be deposited in post offices. However, the depositors may also avail some branches of State Bank of India for the purpose of depositing. Some of the designated nationalized banks that are providing Public Provident Fund services can be availed for this purpose.Criteria for Opening a Senior Citizens Savings Scheme (SCSS)
Following are the various conditions that have to be satisfied in order to open a Senior Citizens Savings Scheme or SCSS:- The particular account holder has to be either 60 years old or more when the account is being created.
- The particular account holder can also open the account with their partners.
- The particular account holder may also be between the age group of 55 to 60 when the account is being opened. However, in that case he should have taken a Voluntary Retirement Scheme to retire from his job.
Salient Characteristics of Senior Citizens Savings Scheme (SCSS)
Following are some unique aspects of the Senior Citizens Savings Schemes:- Account holders are provided with benefits related to nomination.
- The account holders can use the services of the SAS agency.
- The account may be changed from one post office to another.
- The account holders need not pay more than 0.5% as commission to the SAS agents.
- The interest is automatically provided in POSA.
