FD vs. Mahila Samman Savings Certificate: Changes in Interest Rates with IDBI and BOI – Find Out Where to Invest Profitably Now

Recently, several major banks including IDBI, Bank of India (BOI), and Federal Bank have raised their interest rates on Fixed Deposits (FDs). In such a scenario, if you are considering investing in FDs in these banks or any other bank, you should also explore the option of ‘Mahila Samman Savings Certificate’ (MSSC).

This scheme is specifically designed for women, offering an annual interest rate of 7.5%. It allows deposits starting from as low as ₹1000 and can go up to ₹2 lakh or more. The tenure for this certificate is typically 2 years. In such circumstances, we are highlighting some important aspects associated with this scheme. By knowing these, you can determine where your money will yield the most beneficial returns.

Interest can be earned even after 2 years

In special circumstances such as the demise or critical illness of the account holder, the account can be closed 2 years prior. Additionally, if there is an urgent need for funds, the account can be closed after just 6 months.

However, if you opt for this, you will receive a reduced interest rate of 5.5% instead of the standard 7.5%. This interest will be calculated on the principal amount. Moreover, you can earn 40% of the principal amount after 1 year from the account.

You Can Invest in the Name of a Girl

Under this scheme, women can open accounts for themselves. Furthermore, parents (guardians) can also invest in the name of their daughter (minor) in the ‘Mahila Samman Savings Certificate’. 

This means that even minors, especially girls, can have investments made in their names.

How and Where Can You Open an Account?

You can open an MSSC account at any post office or authorized banks. To open an account, you will need to submit KYC documents along with the required form.