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Economy and Finance

Economy and Finance

Mahila Samman Bachat Patra Yojana

19 Jan 2024 Zinkpot 197
  1. The Mahila Samman Bachat Patra Yojana, also known as the Mahila Samman Savings Certificate, is a savings scheme launched by the Central Government of India on February 1, 2023, to foster women's financial empowerment.
  2. The scheme offers several provisions, including:
    • Interest Rate: The scheme provides an interest rate of 7.5% for two years.
    • Maximum Deposit: The maximum deposit allowed under the scheme is Rs. 2 lakh.
    • Deposit Period: The deposit period is limited to a maximum of 2 years. Additionally, the MSBP allows for partial withdrawals after 7 years.
    • Deposit Amount: The minimum deposit amount for the Mahila Samman Bachat Patra is Rs. 2,000.
    • Beneficiaries: The scheme is available to women and girls across India. There is no upper age limit, making the scheme accessible to women of all ages.
    • Tax Benefits: The scheme does not offer tax benefits.
    • Premature Closure: The account can be closed at any time, but the interest rate will be calculated based on the actual number of days the money was invested.
    • Nomination: Nomination facility is available for a maximum of 4 nominees per account.
    • Account Opening: Women and girls can open an account by submitting the required documents at any post office or government-owned bank branch.
  3. This scheme offers several benefits, aiming to empower women financially. Some of the key benefits of the scheme include:
    • Financial Security: The scheme aims to create financial security for women, thereby enhancing their financial stability.
    • Attractive Interest Rate: It offers an interest rate of 7.5% per annum on the deposited amount, which is higher than many fixed deposit interest rates of banks.
    • Easy Access to Funds: The scheme allows for partial withdrawal before the tenure, providing quick access to funds for unforeseen expenses.
    • No Tax Benefit: While there is no tax benefit for investments made in the Mahila Samman Saving Certificate, most saving schemes offer deductions of up to ₹1.5 lakh under Section 80C of the Income Tax Act.
    • Flexible Investment: Women can invest up to Rs. 2 lakh for a tenure of two years, making it a flexible savings option.
  4. The Mahila Samman Bachat Patra Yojana is a one-time small savings scheme available for two years until March 2025. The scheme aims to empower women financially and encourage them to save and invest.

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