Canara Bank has rolled out Mahila Samman Savings Certificate, 2023 scheme across India. 

It may be recalled that Finance Minister Nirmala Sitharaman launched Mahila Samman Savings Certificate during her budget statement for the financial year 2023-2024.

“Canara Bank is proud to introduce the Mahila Samman Savings Certificate (MSSC) Scheme across India. As your trusted banking partner, we are committed to supporting women's financial growth and empowerment. Contact your nearest Canara Bank branch to learn more,” the state-owned lender said in an official tweet,

The Mahila Samman Savings Certificate, 2023 offers a secured investment option for a woman for herself or by the guardian on behalf of a minor girl.

Tenure, investment limit

Individuals are allowed to open as many accounts as they want, as long as the total investment cap is not exceeded, with a three-month gap between each account.

It has a tenure of two years. The minimum investment required is Rs 1000, and deposits up to Rs 200,000 can be made in multiples of Rs 100.

Interest rate

The deposits made under this Scheme will fetch an interest rate of 7.5% interest rate per annum. Interest will be compounded on a quarterly basis and credited to the account. The interest will remain fixed for the entire period of two years.

Charges

The following agency charges shall be paid for the operation of this scheme:

Premature closure of the account

The account will not be closed before maturity except in the following cases, namely:

• On the death of the account holder.

•  In cases of extreme compassionate grounds such as medical support in life-threatening diseases of the account holder or death of the guardian, that the operation or continuation of the account is causing undue hardship to the account holder.

•  Premature closure of an account may be permitted, any time after the completion of six months from the date of opening of an Account.

There will be a 2% penalty or at their discretion in case of premature withdrawal after six months. The appropriate interest rate will then be 5.5%.

Partial withdrawal

Account holders can withdraw up to 40% of the eligible balance in partial withdrawals after one year from the date the account was opened.

How to open a Mahila Samman Savings account

Interested individuals can submit an account opening form, KYC document (Aadhaar and PAN card), KYC form for new account holders, pay-in-slip along with deposit amount/cheque at the nearest post office, or authorized bank.

The Department of Economic Affairs, Ministry of Finance, through an e-gazette notification issued on June 27, 2023, permitted all public sector banks and eligible private sector banks to implement and operationalise the Mahila Samman Savings Certificate, 2023.