Bank of India First Bank To Roll Out Mahila Samman Savings Certificate 2023

Mumbai: Bank of India, one of the largest Public Sector Banks in India, on Tuesday announced that it has officially launched the Mahila Samman Savings Certificate, 2023. 

The roll-out ceremony was inaugurated by the MD & CEO Rajneesh Karnatak through a VC (Video Conference). Karnatak highlighted that Bank of India is the first bank to operationalize this scheme at all its branches, making them authorized to open accounts under the Mahila Samman Savings Certificate, 2023, an officil statement from the bank said.

What Is Mahila Samman Savings Certificate Scheme

Finance Minister Nirmala Sitharaman had announced this flagship scheme during the Budget speech FY 2023-2024 on February 1, 2023. 

Under the scheme, individual girls or women can open a Mahila Samman Savings Certificate, or a guardian can open an account on behalf of a minor girl. The minimum investment required is Rs 1000 and any sum in multiples of Rs 100 can be deposited, up to a maximum limit of Rs 200,000. 

Individuals can open multiple accounts with a gap of three months between each account, subject to the overall investment cap of Rs 2,00,000.

Mahila Samman Savings Certificate Scheme Interest Rate

Deposits made under this scheme will earn an attractive interest rate of 7.5% per annum and that will be compounded quarterly and credited to the account. All earnings under the Mahila Samman Savings Certificate will be taxable as per existing income tax provisions. However, TDS (Tax Deducted at Source) will not be deducted under the scheme.

Mahila Samman Savings Certificate Scheme Maturity, Tenure And Other Details

The account will mature after two years from the date of opening, and accounts under this scheme can be opened until 31/03/2025. The scheme also provides a nomination facility. In the event of the account holder's death, the account can be closed prematurely. Premature closure can also be availed in cases of extreme compassionate grounds, such as life-threatening diseases of the account holder or the death of the guardian, where the operation or continuation of the account causes undue hardship to the account holder.