Saving And Investment Scheme Guide For Indian Poor And Middle Class:Senior Citizen Savings Scheme

What Scheme Mean?
The senior Citizen savings scheme(SCSS),Launched in 2004 is a deposit scheme introduced by the government of India to provide guaranteed returns to senior citizens through a safe investment .This scheme ensures a regular income stream for senior citizen after retirement.

Eligibility
As to be Resident of India.

Entry Age
60 years
55 years for those who have retired on superannuation or under a voluntary retirement scheme.
The retirement personnel of defense Services shale be eligible to Invest in Scheme irrespective of age.
  
Investment
Minimum:Rs1000
Maximum:Rs15 Lakh
Deposits have to be in Multiples of Rs1000

Interest
9% per annum compounded quarterly.

Account Holding Type
Individual,joint

Tenure
5 years can be extended by 3 years.

Tax Benefits
Amount Invested is eligible for tax deduction.Interest earned fully taxable if less than Rs 5000per annum.

How to Join The Scheme/Account/Deposit/Policy?

• You must have a saving bank account.
• Account opening form as to be filled.
• Two passport size photo.
• Address and Identity proof.
• Carry Original Document for verification.

Objective And Risk
The main Objective Of the SCSS is to provide an assured 9% return paid every quarter to senior citizen which help them create a guaranteed regular income flow.
 
Tips
Its wise if Interest for deposit more than ScSS then you can Invest in Deposit.