SCSS Premature Closure: Rules For Senior Citizens
SCSS Premature Closure: Rules For Senior Citizens
May 04, 2023
Rajeev Kumar
Senior Citizen Savings Scheme (SCSS) account can be closed at any time. But there are certain penalties for premature closure. Read on to find
Senior Citizen Savings Scheme (SCSS) account can be closed at any time. But there are certain penalties for premature closure. Read on to find
If closing before 1 year: No interest will be paid. Any interest already paid will be recovered from principal.
If closing before 1 year: No interest will be paid. Any interest already paid will be recovered from principal.
If closing after 1 year but before 2 year from the date of opening: An amount equal to 1.5 % of principal will be deducted.
If closing after 1 year but before 2 year from the date of opening: An amount equal to 1.5 % of principal will be deducted.
If closing after 2 year but before 5 year from the date of opening: An amount equal to 1% of principal will be deducted.
If closing after 2 year but before 5 year from the date of opening: An amount equal to 1% of principal will be deducted.
SCSS account matures in 5 years. However, it can be extended for another 3 years.
SCSS account matures in 5 years. However, it can be extended for another 3 years.
Extended account can be closed after the expiry of one year from the date of extension of the account without any deduction.
Extended account can be closed after the expiry of one year from the date of extension of the account without any deduction.
The current SCSS account interest rate is 8.2% for the April-June 2023 quarter.
The current SCSS account interest rate is 8.2% for the April-June 2023 quarter.
Senior Citizens who opened accounts earlier at a lower interest rate can close the previous account and start a new one for higher interest.
Senior Citizens who opened accounts earlier at a lower interest rate can close the previous account and start a new one for higher interest.
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