How can nominees claim the SCSS amount after the subscriber's death?

Will there be any penalty if the SCSS subscriber dies before the maturity period? Also, how can the nominee(s) claim the money? - Anonymous

If an SCSS (Senior Citizen Savings Scheme) subscriber passes away, their account will be closed without penalty. The deposited amount and the interest earned will be disbursed to the account holder's nominee(s) or legal heir(s) after submitting the required proofs.

To receive the funds, you need to submit an application under Form 'F' requesting the closure of the SCSS account. You can get this form either from the bank or the post office where the account was opened (refer to the screenshot below).

Along with Form F, you will also be required to submit the following documents:

• The death certificate of the subscriber
  
• Passbook of the account holder

In case the account holder did not state any nominee(s), additional documents need to be provided, as mentioned below:

• Succession letter
  
• Letter of indemnity
  
• Affidavit

Last but not least, do note that the interest will be accrued at the SCSS rate until the account holder's death. After that, the interest earned will be at the prevailing post office savings account rate (currently 4 per cent) until the account is closed.

Also read: Does SCSS get renewed automatically?

This article was originally published on September 23, 2024.