The government has declared the rate of interest on deposits made under the Senior Citizens Welfare Fund for the year April 2019 to March 2020. As per the gazette notification of the Ministry of Finance (Department of Economic Affairs, the Senior Citizens Welfare Fund deposits will with effect from 1st April 2019 to 31st March 2020, bear interest at 6.85 per cent. The new interest rate will be in force with effect from 1st April 2019. For the period, 1st April, 2018 to 31st March 2019, the rate of interest was 7.90 per cent.
The Senior Citizens’ Welfare Fund Rules, 2016 were framed and notified in 2016 and all institutions were asked to transfer any unclaimed amount to the Welfare Fund within one year of the notification.
The Senior Citizens’ Welfare Fund (SCWF) has been established under the Finance Act, 2015, to be utilized for such schemes for the promotion of the welfare of senior citizens, in line with the National Policy on Older Persons.
The unclaimed money lying under Small Savings Schemes, Employees Provident Fund, Public Provident Fund schemes, Life and non-life insurance schemes or policies maintained by insurance companies and accounts of Coal Mines Provident Fund is transferred into Senior Citizens’ Welfare Fund.
Any unclaimed deposit such as Small savings and other savings schemes of the Central Government including the Post Office Savings Accounts, Post Office Recurring Deposit Accounts, Post Office Time Deposit Accounts, Post Office Monthly Income Accounts, Senior Citizens’ Savings Scheme Accounts, Kisan Vikas Patras etc goes into the SCWF. In December 2019, the available amount with the Ministry of Social Justice and Empowerment under Senior Citizens Welfare Fund was about Rs 410.23 crore.