Bank of Baroda Senior Citizen Savings Scheme (SCSS) Calculator

Plan Your Secure, Regular Income After Retirement.

Calculate Your Quarterly Interest Payout

Please Note: The SCSS interest rate is set by the government and can change for new accounts. The rate you get is locked for the entire 5-year period. Always confirm the latest rate on the official Bank of Baroda website.

All About the Bank of Baroda Senior Citizen Savings Scheme (SCSS)

The Senior Citizen Savings Scheme (SCSS) is a government-backed savings plan specifically designed to provide a secure investment and a steady income for senior citizens. You can conveniently open an SCSS account at any branch of Bank of Baroda. The scheme's primary aim is to ensure financial stability and peace of mind for retired individuals through guaranteed, regular returns.

Key Highlights: Why is BOB SCSS an Excellent Choice for Seniors?

  • Highest Safety: Being a government scheme, your principal amount is fully protected.
  • Regular Income Stream: You get interest payments every three months, which is perfect for managing regular expenses.
  • High Interest Rate: The rate of interest (currently 8.2%) is one of the highest available for any government-backed, safe investment.
  • Tax Deduction: Your investment provides a tax benefit under Section 80C of the Income Tax Act.
  • Trusted Bank: Manage your investment with the convenience and reliability of Bank of Baroda, one of India's leading public sector banks.

Who Can Open an SCSS Account with Bank of Baroda? (Eligibility)

  • Any individual who is 60 years of age or older.
  • Individuals between 55 and 60 years who have retired through a Voluntary Retirement Scheme (VRS) or superannuation. They must open the account within one month of receiving their retirement funds.
  • Retired Defence Personnel are also eligible, subject to certain conditions.
  • A joint account can be opened, but only with a spouse. The primary account holder must meet the age eligibility criteria.

Investment Rules: How Much Can You Deposit?

  • Minimum Deposit: The account can be opened with a minimum of ₹1,000.
  • Maximum Deposit: The total investment limit is ₹30,00,000 (thirty lakh).
  • Single Deposit: The investment must be made in a single lump sum at the time of opening the account.
  • Multiple Accounts: An individual can open several SCSS accounts, but the combined investment in all accounts (across Bank of Baroda, other banks, and Post Offices) must not exceed the ₹30 lakh limit.

How You Receive Your Interest (Quarterly Payouts)

A key feature of the SCSS is the regular interest payout. The interest is not compounded but is paid out directly to the investor's savings account every quarter. The interest payout dates are fixed for every account holder:

  • March 31st
  • June 30th
  • September 30th
  • December 31st

You can link your Bank of Baroda savings account for seamless, automatic credit of your quarterly interest.

Maturity and Extension of the Account

The SCSS account has a tenure of 5 years. When it matures, you have the following options:

  • Close the Account: Withdraw the entire principal amount deposited.
  • Extend the Account: You can choose to extend the account for an additional block of 3 years. The extension request must be submitted within one year from the date of maturity. The interest rate for the extended period will be the rate applicable for new accounts on the date of your original maturity.

Important Tax Rules for SCSS

Understanding the tax implications is crucial for financial planning.

  • Tax Benefit on Investment: Your investment of up to ₹1.5 lakh qualifies for a tax deduction under Section 80C of the Income Tax Act.
  • Interest is Taxable: The quarterly interest you earn is considered income and is taxable as per your applicable income tax slab.
  • TDS is Applicable: Tax Deducted at Source (TDS) is applicable on the interest earned. If the total interest from your SCSS account is more than ₹50,000 in a financial year, Bank of Baroda will deduct TDS.
  • How to Avoid TDS: If your total yearly income is below the taxable threshold, you can prevent TDS deduction by submitting Form 15H to your Bank of Baroda branch at the start of each financial year.