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The Mahila Samman Savings Certificate no longer accepts new deposits, because it was a one time scheme open for only two years and its window ended on 31 March after the second year. Post offices and banks stopped opening new accounts from the next day, and no extension has been notified.
If you already hold one, nothing is lost. Your account runs for its full two years from the opening date, earns the fixed 7.5% a year it was opened with, and is paid out at maturity. This page explains what existing holders can still do, and which schemes are open now.
At a glance
Status
Closed to new deposits; existing accounts run to maturityWho could join
Any woman, or a guardian for a girlInterest
7.5% a year, fixed, compounded every quarterTerm
2 years from the opening dateLimit
1,000 rupees minimum, 2 lakh maximum per personPart withdrawal
Up to 40% once, after 1 yearTax
No deduction; interest taxable
Mahila samman savings certificate status now
The Union government announced this certificate as a one time small savings scheme for women and girls. The Department of Economic Affairs notified it and it opened at post offices at the start of April, two years before it shut. Shortly before the end, the Department of Posts issued an order confirming that no new deposits would be taken after 31 March.
Every account that was opened in time stays valid. It will mature exactly two years after its own opening date. Some accounts opened near the end of the window are still running.
How the scheme worked for those who joined
- Any woman could open it in her own name. A father, mother or legal guardian could open it for a girl of any age.
- The deposit was a single lump sum from 1,000 rupees, in multiples of 100, up to 2 lakh per person across all such accounts.
- A woman could open more than one account within the 2 lakh limit, with a gap of at least three months between them.
- Interest was 7.5% a year, added every quarter and paid with the principal at maturity.
The 2 lakh cap applied to each person separately. A mother and her daughter could each hold up to 2 lakh, according to an India Post savings bank order.
What you receive at maturity
India Post published these maturity figures for the two year term.
| Deposit | Maturity amount |
|---|---|
| 1,000 rupees | 1,160 rupees |
| 10,000 rupees | 11,602 rupees |
| 50,000 rupees | 58,011 rupees |
| 1 lakh | 1,16,022 rupees |
| 2 lakh | 2,32,044 rupees |
To claim, take the passbook, your Aadhaar and PAN copies and a closure form (Form 2) to the office where the account is held. Choose where the money should go: your savings account with India Post, or a bank account in your name. If you leave it after maturity, the money waits but earns only the savings rate, so claim it on time.
Taking out 40% before maturity
After one year from opening, the holder may withdraw up to 40% of the eligible balance, once. The rest keeps earning until maturity. For a girl's account, the guardian signs the form for her.
Closing the account early
| Reason | When allowed | Interest paid |
|---|---|---|
| Death of the holder | Any time | Full 7.5% up to closure |
| Life threatening illness of the holder, or death of a girl's guardian, with papers | Any time | Full 7.5% up to closure |
| Any other reason | After 6 months from opening | 2 percentage points lower, so 5.5% |
The illness or hardship case needs medical papers and is decided by the post office. In the ordinary case, a 2 lakh account closed after 12 months would earn interest at 5.5% instead of 7.5%. Talk to the counter before you sign, since closing early may cost more than a 40% withdrawal.
Tax on Mahila Samman interest
The deposit gave no tax deduction. In your return the interest is shown under other sources of income. TDS is cut only if the interest crosses the limit set by the Income Tax Department. Since most accounts were small, many holders see no TDS. Holders whose income is under the taxable limit can hand in a declaration (15G, or 15H once you are 60) where the account is held.
Schemes still open to women and girls
With MSSC closed, families now compare other post office schemes. For a girl under 10, the Sukanya Samriddhi Yojana pays 8.2% and has a tax deduction. A 2 year post office time deposit pays 7% for the same term. The National Savings Certificate pays 7.7% for 5 years. Our schemes for women page lists state cash transfer yojanas too. The right pick turns on the girl's age and the date the money will be needed.
Frequently asked questions
Can I open a Mahila Samman saving scheme account now?
No. The scheme stopped taking new deposits after 31 March at the end of its two year window. No extension has been notified.
What happens to my existing MSSC scheme account?
It runs for the full two years from its opening date at 7.5% a year. You can claim the maturity amount at the same post office or bank.
Was the mahila samman savings scheme offered by banks?
Yes. Besides post offices, public sector banks and some authorised banks opened these accounts. Claim maturity where the account is held.
How much does 2 lakh become in Mahila Samman?
India Post lists 2,32,044 rupees at maturity for a 2 lakh deposit after two years.
Can I take out money before two years?
Yes. Up to 40% once after one year, or full closure after six months with 2 percentage points less interest. Death or serious illness allows closure at the full rate.
Is Mahila Samman interest tax free?
No. The deposit carried no deduction and the interest is taxed as income.
Official sources
- Department of Economic Affairs: Mahila Samman Savings Certificate notificationdea.gov.in
- PIB: Introduction of Mahila Samman Savings Certificatewww.pib.gov.in
- India Post: savings schemesapp.indiapost.gov.in
Rules, amounts and portals can change. Check the official source before you apply or deposit.