Premature Closure Rules for Sukanya Samriddhi Account

 

Premature Closure Rules for Sukanya Samriddhi Account Yojana

Sukanya Samriddhi Account Yojana has become quite popular and much talked about scheme after months of its announcements with more and more parents and guardians looking for information related to the scheme.  Sukanya Samriddhi Account can be opened under Sukanya Samriddhi Yojana of government of India offers a lucrative rate of interest for small saving, which is even higher than the popular PPF scheme.

One of the most common areas of concerns for those looking to invest in Sukanya Samriddhi Yojana is about its premature closure.  The below mentioned are two specific conditions under which SSA could be prematurely closed:

Premature Closure Rules for Sukanya Samriddhi Account

In case of untimely death of the account holder

If the girl child (account holder) unfortunately dies during the period of the term, the parent or legal guardian can claim for the accumulated amount along with the interest accrued on the account.  The balance would be immediately handed over to the nominee of the account.

The parent or the legal guardian, in this case would have to furnish relevant document by competent authorities verifying the death of the account holder.

Parent or Guardian is unable to continue the account

The second condition in which the SSA can be closed prematurely is when the central government authorities feels and confirms that it is not possible for the depositor to carry forward the account or the contributions made towards the account are causing undue hardships to the depositor.

The account can only be closed prematurely by permission from competent authorities and that too under extreme compassionate grounds like life threatening diseases or medical exigencies.

There could be no third condition in which the account could be closed prematurely.  On practical grounds, it is however to be understood that the money which has been deposited to the account belongs to the account holder or nominee in case of her death and there could be no stopping in claiming that money.

The Sukanya Samriddhi Yojana scheme, however, puts few conditions on prematurely closure of the account so that parents and legal guardians somehow continue the account forward to make sure that the future of the girl child is safe and that her higher education or marriage does not fall as a financial burden on the parents.

As per the scheme, the account would mature after 21 years from the date of opening of the account and a partial amount of not more than 50% can be withdrawn after the girl attains an age of 18 years either for the purpose of higher education or marriage.

Other Important Articles to Read

  1. Sample Form in Sukanya Samriddhi Yojana
  2. Age Limit in Sukanya Samriddhi Yojana
  3. Sukanya Form

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