The Government has now finalized the procedure for implementation of the Special Interest Scheme for Senior Citizens announced in the Interim Budget 2015 with effect from 01.02.2015, states the Central Bank.
Accordingly, the Central Bank issued the necessary Operating Instructions on behalf of the Government to all banks yesterday (25).
Key features of the Scheme are as follows:
Senior Citizens eligible for the Scheme:
(a) Senior citizens above 60 years of age who held rupee fixed deposits, not exceeding Rupees one million in aggregate in all banks as of 31.01.2015.
(b) Senior citizens who reach 60 years of age after 31.01.2015 and hold rupee fixed deposits, not exceeding Rupees one million in aggregate in all banks.
(c) Senior citizens who opened fixed deposits of up to Rupees 2.5 million, prior to 16.01.2015 under the previous scheme.
Interest rate payable in the Scheme:
(a) 15% per annum for (a) and (b) above
(b) 12% per annum for (c) above
Accordingly, Operating Instructions dated 30.12.2014 on the special interest scheme for senior citizens over 60 years of age have been revoked.