Can You Take A Loan Against Sukanya Samriddhi Yojana?

By Lehar Maan | April 16, 2018

The concept of availing loans against deposits is not new. But is this benefit available on the Sukanya Samriddhi Yojana scheme? Read on to find out.

Can You Take A Loan Against Sukanya Samriddhi Yojana?

The Sukanya Samriddhi Account Yojana (SSY), also known as girl child prosperity scheme, is a flagship government scheme launched by Prime Minister Narendra Modi in 2015. The scheme was designed to ensure a bright future for the girl child in India as it helps parents or guardians of a girl child to meet her education and marriage expenses in a carefree manner.

The scheme has been accepted with open arms for the financial security and independence it provides.

Additional Reading: Sukanya Samriddhi Vs Mutual Funds: A Show and Tell for Your Dimpled Darling

Loan Rules Regarding Sukanya Samriddhi Yojana

The concept of availing loans against deposits is not new. There are a plethora of deposit schemes that offer the dual benefits of saving and the provision of taking a loan against it.

Unfortunately, the current set of rules governing the SSY does not permit the investor to take a loan against the policy. However, there is a possibility of this feature being added soon. But don’t let this upset you. There are other interesting features of SSY that are as lucrative as taking a loan against a deposit scheme. Keep reading to find out.

As an investor in the SSY, you have the option of making partial withdrawals after the girl child, for whom the account is opened, turns 18. You can withdraw up to 50% of the accumulated amount which can then be used to pay higher education fees for the girl child or for other purposes. This is one of the many attractive features because of which people are rushing to open this account.

Another helpful feature of the SSY is that there is no limit on the number of investments that could be made during a given financial year. You can open an SSY account at a Post Office or you can visit any of the 28 banks which are authorized by the scheme.

Additional Reading: Sukanya Samridhhi versus MFs: A No-holds-barred Face-off

Key Features Of Sukanya Samriddhi Yojana

  • The Sukanya Samriddhi Yojana can be opened for any girl under the age of 10 years.
  • You are allowed to open only one account for a single girl child.
  • The account can be opened at any Post Office or authorised bank.
  • The minimum amount needed for the opening of the account is Rs. 1,000. Thereafter a multiple of Rs. 100 can be deposited to the account. You must maintain a minimum deposit of Rs. 1,000 p.a.
  • The maximum deposit limit for this account is Rs. 1.5 Lakhs p.a.
  • The scheme runs for a tenure of 14 years.
  • The maturity duration of the account is 21 years from the date of when the account was opened.
  • Sukanya Samriddhi Account is transferable to anywhere in India from a Post Office to another or from a bank to another bank.

The government revised some of the regulations and investment guidelines for the scheme after the 2016 Budget. Make sure you give them a read.

  • Originally, the rate of interest was 9.2%. However, this interest is not fixed for the entire tenure and may keep changing.
  • As per the new regulations, SSY is available only for resident Indian girl children. The girl child must be residing in India at the time of account opening and should continue to be an Indian resident until maturity or closure of the account.
  • As per the new guidelines, you cannot make any premature closures unless the investment has completed a mandatory 5-year period.

Click the link to read in detail the changes made to the scheme.

If you have a girl child and worry about her future then we suggest that you open a Sukanya Samriddhi Yojana account in her name. But if you have some pressing need that can be best met with a Personal Loan, then we can help with for sure.

We not only have a tempting list of Personal Loans to choose from but some of them also give you benefit of the paperless-application process. So don’t delay. Click the link to explore our amazing Personal Loan list.

All information including news articles and blogs published on this website are strictly for general information purpose only. BankBazaar does not provide any warranty about the authenticity and accuracy of such information. BankBazaar will not be held responsible for any loss and/or damage that arises or is incurred by use of such information. Rates and offers as may be applicable at the time of applying for a product may vary from that mentioned above. Please visit for the latest rates/offers.
Category: Investments Saving for children
Lehar Maan

About Lehar Maan

When not writing articles for the BankBazaar blog Lehar spends her time buried inside books by Dostoyevsky, Oscar Wilde and Salman Rushdie. Her life goals are to turn all long weekends into fulfilling holidays and convert her prolonged sleep hours into more productive time. She also likes all things watercolour, cupcakes and Star Wars.

2 thoughts on “Can You Take A Loan Against Sukanya Samriddhi Yojana?

  1. AvatarFrancisca

    Is there any information on what one must do if you started the scheme for your child but then left the country. Should you continue or close it?

    1. AvatarTeam BankBazaar

      Hi Francisca, You can still continue it. Cheers, Team BankBazaar


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