Are you a woman looking for a safe and profitable way to invest your money? Do you want to empower yourself financially and secure your future? If yes, then you might be interested in the Mahila Samman Scheme, a new savings scheme for women in India.
India’s finance Minister Nirmala Sitharaman in her Budget Speech 2023-24 announced about The Mahila Samman Scheme. It is a one-time scheme that will be available for two years, from April 2023 to March 2025. The scheme aims to commemorate the Azadi ka Amrit Mahotsav, the 75th anniversary of India’s independence.
Indian Central government backed this small savings scheme. It offers a fixed interest rate of 7.5% per annum, compounded quarterly. The scheme also provides tax benefits to the investors.
Women and girls in India are the exclusive beneficiaries of the Mahila Samman Scheme. A woman can open an account for herself or as a guardian of a minor girl. The minimum deposit amount is Rs. 1,000 and the maximum is Rs. 2 lakh. The deposit matures after two years from the date of opening the account.
The Mahila Samman Scheme is designed to encourage women to participate in investments and savings. It also aims to promote financial inclusion and literacy among women. The scheme can help women achieve their financial goals and aspirations.
How to Apply for the Mahila Samman Scheme?
At any post office or authorized bank in India, this scheme can be opened. To apply for the scheme, you need to fill Form-I and submit it along with your identity proof, address proof, and PAN card (if applicable). You can also apply online through the official website of India Post or National Savings Institute.
To operate the scheme, five public sector banks and four private sector banks have been authorized. They are:
- Bank of Baroda
- Canara Bank
- Bank of India
- Punjab National Bank
- Union Bank of India
- ICICI Bank
- Axis Bank
- HDFC Bank
- IDBI Bank
Visit their official websites or branches to learn more about the scheme’s eligibility requirements, benefits, and application procedure. You can also evaluate the interest rates, fees, and services of various banks to determine the optimal option.
The deposit can be made via cash, cheque, demand draught or electronic transfer. As evidence of your investment, you’ll receive a passbook or certificate. Additionally, you can view your account balance and interest via SMS or online.
Features and Benefits of the Mahila Samman Scheme
The Mahila Samman Scheme has several features and benefits that make it an attractive option for women investors. Some of them are:
- High Interest Rate: The scheme offers a high interest rate of 7.5% per annum, which is higher than most other savings schemes in India. The interest is compounded quarterly and credited to the account.
- Tax Benefits: The interest of the scheme is exempt from tax deducted at source (TDS). However, the interest income is taxable as per your income tax slab rate. You can also claim deduction under Section 80C of the Income Tax Act for the amount invested in the scheme.
- Low Risk: The scheme is backed by the government and has no credit risk. You are assured of getting your principal and interest back on maturity.
- Flexibility: The scheme allows you to withdraw up to 40% of your account balance after one year from the date of opening the account. You can also close your account prematurely after one year by paying a nominal penalty.
- Transferability: You can transfer your account from one post office or bank to another without any charges. You can also nominate one or more persons to receive your account balance in case of your death.