SBI Senior Citizen Savings Scheme

SBI Senior Citizen Savings Scheme

A Senior Citizen Savings Scheme (SCSS) by SBI is a savings scheme by Indian government with a fixed maturity tenure

Features and Benefits of SBI Senior Citizen Scheme SCSS

A person can deposit min of Rs. 1,000 and not more than Rs. 15 lakhs.

Features and Benefits of SBI Senior Citizen Scheme SCSS

Lock-in period of this scheme is five years and an account holder can further extend it for three years. 

Features and Benefits of SBI Senior Citizen Scheme SCSS

Deposit can be in Joint account latter withdrawal by first holder

Features and Benefits of SBI Senior Citizen Scheme SCSS

The depositor can nominate more than one people.

Interest Rate of SBI Senior Citizen Savings Scheme

The applicable interest rates for the current quarter are notified on 01st July 2020 and at present, it is 7.4%. 

Eligibility Criteria to Invest in SBI SCSS:

Minimum 60 Years 

For Retired Defence person Minimum 50 Years

Persons of Indian Origin, Hindu Undivided Family Members, and NRIs (Non-Resident Indians) are not eligible

Documents Needed

Form A

Proof of address such as telephone bill, Aadhar card, etc

ID proof such as PAN card, passport

Passport size photo.

Taxability

The account holders can avail of the tax benefits u/s 80C of the IT Act, 1961. As per this act, they can enjoy the tax benefits of over the amount earned of up to Rs. 1.5 Lakhs.

Taxability

The interest that one earns from this account is completely taxable. If the interest earned through this scheme in one financial year is more than Rs. 50, 000, then it will attract Tax Deduction at Source (TDS).