Senior Citizens Savings Scheme SCSS

Senior Citizens Savings Scheme SCSS

  • SCSS is for senior citizens who are 60 years or above on the date of opening of the account. Also people with 55 years of age who have retired by VRS can open SCSS within one month of receiving the retirement benefits.
  • Minimum Investment: Rs. 1,000
    Maximum Investment: Rs. 15 Lakhs
  • The joint account can be opened only with your spouse. There is no age limit applicable for the joint account holder.
  • The interest is paid out quarterly. The interest is 8.3% w.e.f July 1, 2017
  • No partial withdrawal is permitted before 5 years. The account may be extended for a further period of 3 Years


  • The interest is paid quarterly to the saving account, hence can serve as regular income for retired
  • Redemption on maturity comes directly to your bank account or through post-dated cheques
  • The SCSS carries a sovereign guarantee for principal and interest payments. So it’s the safest investment


  • The interest from SCSS is taxable
  • Bank would deduct TDS if the total interest in a year is over Rs 10,000
  • NRIs and HUF are not eligible to open an account


  • You can open SCSS with Post offices, or nationalized bank
  • SCSS account can be closed after 1 Year (with penalty)
  • If your income is not taxable, you can provide form 15H or 15G so that banks don’t cut TDS
  • Any retired Defence Services personnel is eligible for SCSS irrespective of his age

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