Bank of Baroda Unveils New Small Savings Scheme With 7.50% Return

One of India's top public sector banks, Bank of Baroda (Bank), announced the official launch of the Mahila Samman Savings Certificate (MSSC) Scheme, a new government initiative for women that was introduced by Union Finance Minister Smt. Nirmala Sitharaman in the Union Budget 2023-24. . A 2-year deposit scheme MSSC gives a 7.5% annual interest rate and the interest is credited to the Mahila Samman Savings Certificate account on a quarterly basis. The Mahila Samman Savings Certificate, a small savings scheme for women and girls, is valid till March 31, 2025.

At Bank of Baroda, Mahila Samman Savings Certificate Schemes can be opened by both bank customers and non-bank customers. Any woman who meets the eligibility criteria can create an account, either on her own behalf or on behalf of a girl who is a minor.
The account can be opened with a minimum deposit of Rs 1,000 made in multiples of Rs 100 and a single account user may deposit up to Rs 2 lakh collectively under this plan. After 3 months of opening the account, one women individual can apply for the opening of another account.

Speaking on the occasion, Shri Ajay K. Khurana, Executive Director, Bank of Baroda said, "The Mahila Samman Savings Certificate (MSSC) Scheme is specially designed for women - to encourage women to invest and ensure their financial independence. At Bank of Baroda, we are pleased to launch the MSSC scheme, which will be available at all our branches across the country. MSSC will facilitate the empowerment of women from all walks of life and Bank of Baroda will leverage its significant presence across the country to support this initiative by the Government."

After one year has passed since the account was opened, the account holder or the Legal Guardian (in the event of a minor) may request a partial withdrawal of up to 40% of the account balance.

Opening Mahila Samman Savings Certificates were officially launched by Bank of India (BoI), another public sector bank, approximately a week ago. The newest small savings programme, Mahila Samman Saving Certificate (MSSC) 2023 accounts, can currently be opened in 12 public sector banks and 4 private sector institutions. One can apply for a Mahila Samman Savings Certificate, 2023, at all public sector institutions as well as ICICI Bank, Axis Bank, HDFC Bank Ltd, and IDBI Bank, per a recent notification from the Finance Ministry.

Any earnings earned through the Mahila Samman Savings Certificate will be subject to taxation according to the Income Tax guidelines.