Twitter
Advertisement

Indian Finance Ministry mandates Aadhaar and PAN card submission for small saving schemes

Aadhaar and PAN card now mandatory for small savings schemes in India.

Latest News
article-main
FacebookTwitterWhatsappLinkedin

The Indian Finance Ministry has recently issued a notification mandating the submission of Aadhaar card and PAN card for small saving schemes such as Public Provident Fund (PPF), National Savings Certificate (NSC), Senior Citizen Saving Scheme, Sukanya Samriddhi Yojana (SSY), Mahila Samriddhi Scheme and others. Failure to submit these documents will result in the closure of your account, restricting any investment, withdrawal or other transactions.

Previously, investment in these schemes did not require the submission of an Aadhaar card. However, as of March 31, 2023, it is now mandatory. If an individual does not possess an Aadhaar card, they may provide an Aadhaar enrollment slip or enroll number as an alternative. It is necessary to provide the Aadhaar card within six months of opening an account.

If an individual fails to submit their Aadhaar card within six months, their small savings scheme account will be frozen and will not be reopened until the Aadhaar number is provided. Furthermore, the submission of a PAN card or Form 60 is mandatory at the time of account opening. Failure to submit this document will result in the freezing of the investment account until the PAN card is made available within two months. Additionally, the post office or bank may require other documents as well.

The Indian government has made this mandatory submission of Aadhaar and PAN card to prevent fraudulent activities and to bring transparency in small savings schemes. By linking Aadhaar and PAN card to small savings schemes, the government aims to weed out any false identities and create a reliable database for investors. The government encourages individuals to comply with this notification as non-compliance may result in the closure or freezing of their small savings scheme account.

Read more: New insurance sector rules for 2023-24 financial year: Discover how common people will be affected by these changes

Find your daily dose of news & explainers in your WhatsApp. Stay updated, Stay informed-  Follow DNA on WhatsApp.
Advertisement

Live tv

Advertisement
Advertisement