Regularization and Closure of Sukanya Samriddhi Account (SSA) Based on Account Opening Compliance

Case 1: Account Opened in Compliance with SSA Rules

If verification confirms that the SSA was opened after the child’s birth and within the permissible age limit (up to 10 years, or up to 14 years with late fee), follow these steps to regularize the account:

Actions Required:

Customer Submission:

• Written Application: The guardian must submit a formal request for continuation of the SSA, citing the corrected date of birth (DOB) and confirming compliance with scheme rules.

Updated KYC Documents:

• Proof of corrected DOB (e.g., birth certificate, Aadhaar).
• Valid KYC of the guardian (e.g., PAN, Aadhaar, address proof).
• KYC of the minor (if applicable).

Bank/Post Office Actions:

• Verify the submitted documents against the original account records.
• Update the DOB in the account ledger/system.
• Annotate the account as "Regularized" with the date of correction.

Outcome:

• The account continues to operate with full benefits (interest, tax exemptions).
• No penalties apply if the initial error was inadvertent.

Case 2: Account Opened in Contravention of SSA Rules

If the corrected DOB reveals the account was opened before the child’s birth, it violates SSA guidelines. Proceed as follows:

Actions Required:

Immediate Closure:

• Termination Notice: Inform the guardian in writing that the account is void due to non-compliance (reference: SSA Scheme Rules, Section 4).
• Freeze Transactions: Block further deposits/withdrawals.

Settlement of Proceeds:

Refund Calculation:

• Principal amount deposited will be refunded.
• No interest will be paid (as per rules for irregular accounts).
• Deductions: Any government bonuses/benefits availed must be recovered.

Documentation:

Guardian should submit:

• Acknowledgment of account closure.
• Consent for refund processing (via cheque/ECS).

Bank/Post Office to:

• Maintain records of the irregularity and closure for audit.
• Report the case to nodal authorities (if mandated).

Key Notes:

• SSA Rule Compliance: Permissible age is 0–10 years (or up to 14 years with late fee).
• DOB Evidence: Only government-issued documents (birth certificate, Aadhaar) are valid for corrections.
• Transparency: Provide customers with a copy of the closure/regularization order for their records.

Authority Reference:

SSA Scheme Rules, 2014 (Section 4: Eligibility Criteria).

Ministry of Finance Notification on Irregular Account Handling.