|Senior Citizen Savings Scheme (SCSS) Highlights|
|Interest Rate||7.4% per annum (Q1 FY 2021-22)|
|Tenure||5 years (with an option to extend it for 3 more years)|
Is SCSS interest rate fixed?
The interest rate declared during the time of investment remains fixed throughout the maturity tenure and is not affected by alterations in a later quarter. For instance, Mr. Sunil deposited Rs. 2 Lakh in SCSS on 11th January 2018.
Is interest on SCSS fixed for 5 years?
The scheme offers a high interest rate on the deposit. Get an income tax deduction of up to Rs. 1.5 lakh under Section 80C of the Indian Tax Act, 1961. The 5-year tenure of the account can be extended for another 3 years.
Does senior citizen saving scheme interest rate change?
Investments made towards a Senior Citizen Savings Scheme account are compounded which is paid annually. These payouts are credited to the account holder’s savings account automatically. The current rate of interest offered under the Senior Citizen Savings Scheme is 8.7%.
Is interest on SCSS compounded?
The government reviews the SCSS rates quarterly. However, once a subscriber has enrolled, the rates will remain unchanged for the tenure. For the fourth quarter of FY20-21, the rate has been set at 7.4 per cent, compounded annually. The payout of interest is quarterly.
Is NSC or SCSS better?
National Savings Certificate (NSC): NSC is offering an interest of 6.8%. By investing in NSC, you will be able to double your money in 10.58 years. Senior citizens savings scheme (SCSS): SCSS is offering an interest rate of 7.4%. You will be able to double your money in 9.72 years.
Can I get monthly interest on SCSS?
Quarterly Interest Payouts: Under SCSS, the interest amount is paid to the accountholders quarterly which ensured period payouts adding to your investment. Interest will be credited on the first day of April, July, October, and January every financial year.
Which bank is best for SCSS?
List of Banks which Offer SCSS Accounts
- United Bank of India.
- Corporation Bank.
- Canara Bank.
- Dena Bank.
- Syndicate Bank.
- Central Bank of India.
- UCO Bank.
- Union Bank of India.
Which bank gives highest interest rate for senior citizens?
Top 10 Public Sector Banks Providing Higher Returns On FDs For Senior Citizens
|Sr No.||Banks||Interest Rate|
|1||Bank of Baroda||6.25%|
|2||State Bank of India||6.20%|
|3||Union Bank of India||6.10%|
Can a person invest in both SCSS and PMVVY?
Both PMVVY and SCSS are applicable only to senior citizens with a minimum age limit of 60 years and over. … So this is your guide to who can invest in SCSS and who can invest in PMVVY. Only, SCSS can also be acquired from those who have received VRS.
What is the best investment for senior citizens?
Investment Options for Regular Monthly Income
- Fixed deposits (FD) and recurring deposits (RD) are one of the most common types of investments for retired individuals. …
- SCSS is an excellent investment option for senior citizens looking for long-term saving schemes which offer security with additional benefits.
How is SCSS interest calculated?
The current interest rate offered on SCSS scheme is 7.40% p.a. Also, the investment tenure for the scheme in 5 years. … Maturity Amount: Determines the maturity value based on the investment amount, investment tenure and rate of interest.