With an 8.6% rate of interest, tax free maturity and interest and tax deductions available under Section 80C of the Income Tax Act, 1961, single families with girl children below the age of 10 years, are queueing up to open a Sukanya Samriddhi Account. If you have been thinking about opening this account too, then here's all that you need to know about it.

You can open a Sukanya Samriddhi Yojana Account in any authorised bank branch or a post office branch. You can also set it up online with the help of your net banking facility.

Documents you need to open Sukanya Samriddhi Yojana Account are:

• SSY Account opening form
• Beneficiary’s birth certificate
• Address proof of the guardian or parents of the beneficiary
• Id proof of the guardian or parents of the beneficiary.

How to open a Sukanya Samriddhi Yojana account?

• Fill out the SSY Account opening form
• Keep the documents ready along with photographs
• Pay the deposit amount (any amount between Rs. 250 and Rs. 1.5 lakh will do)
• You can give a standing instruction at the branch or you can set up automatic credit to SSY Account through NetBanking.

Who is eligible to open the account?

If you are a parent or a legal guardian of a girl child aged less than 10 years.

How many accounts can you open?

Each account for up to two girl children can be opened. Three, in case of twins being born the second time.

How much can you deposit?

You can deposit a minimum of Rs. 250 up to Rs. 1.5 lakh in a financial year.

What is the tenure of the deposit?

21 years from the date you open the account.

What is the rate of interest on SSY deposits?

The rate of interest offered on Accounts opened between October 1, 2018 and 31, December 2018 is 8.6%.

How to open a Sukanya Samriddhi Account online?

Presently, neither authorised bank branches nor post offices allow for opening an SSY Account online. But once the account is opened after submission of all the documents, you can set the standing instructions online.

Do note that if deposit is not made every year, the account will fall under ‘Account under default’. The account can be reactivated by paying a fine of Rs.50 per year that you defaulted on making a deposit. The reactivation can happen until 15 years from the account opening.

Looking to open a Sukanya Samriddhi Yojna Account for your loved one right now? Contact your closest HDFC Bank Branch now.

A Recurring Deposit is an investment that requires you to invest a small amount of money each month. The deposit earns interest, and you receive the principal and interest at the end of the term