InvestorQ : What is the senior citizen savings scheme and how beneficial is it?
Sam Eswaran made post

What is the senior citizen savings scheme and how beneficial is it?

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swati Bakhda answered.
10 months ago
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This is one of the most popular products among the people above 60 years of age as it offers regular income, highest safety and also helps in saving tax.

Generally, post-retirement, people look for investment avenues to park their money in retirement corpus. However, they are hesitant to invest their hard-earned money into investments that are highly unpredictable and volatile in nature such as equity, as they carry the risk of capital loss and do not offer any income until maturity, this is where SCSS comes handy.
Retirees look for investments that are less risky. SCSS offers capital protection while making quarterly payments as a regular source of income.

Eligibility:
Any individual above the age of 60 years, and (except NRIs and HUFs)
Early retirees between 55 and 60 years who either opted for Voluntary Retirement Scheme (VRS) or superannuation can also invest in the scheme, provided the investment is done within a month of receiving retirement benefits.

Retired Defence personnel:

How to invest?
By opening an individual or a joint account with a post office.
By opening an individual or a joint account with a scheduled commercial bank such as SBI, Canara Bank, etc.

Quantum of investment:
Amount received on retirement, OR
Rs. 15 lakhs, whichever is lower
One can open an account by cash up to Rs. 100,000 and by a cheque for the amount above Rs. 1 lakhs.

List of documents required:
Duly filled application form, available at the post office or bank.
Know Your Customer (KYC) form

Address proof
Permanent Account Number (PAN)
Photographs of the applicant/s
Age proof
Proof of date of disbursal of the retirement benefits.

In the case of retirees, a certificate from the employer, stating the retirement was on superannuation or otherwise, retirement benefits, employment held (designation) and the period of employment.
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