Mahila Samman Savings Scheme: Now Account Holders Can Early Withdrawal 40% Of Savings

The Department of Posts has introduced a new withdrawal feature under the Mahila Samman Savings Scheme (MSSC). As per an official directive issued on March 7, 2025, account holders can now withdraw up to 40% of their total deposit before the scheme’s maturity. This functionality is now active through the India Post Finacle system.

Withdrawal Procedure

To withdraw funds, account holders are required to visit the post office where their MSSC account is maintained. A withdrawal request form must be filled out and submitted along with valid identification proof. The Finacle system will process the request and calculate interest up to the last quarterly interest due date. Once processed, the withdrawn amount will be transferred to the account holder’s linked bank account.

Scheme Details

The Mahila Samman Savings Scheme was launched on April 1, 2023, and is open for investments until March 31, 2025. It is available to women aged 18 years and above. Guardians can open accounts on behalf of minor girls. The scheme offers a fixed interest rate of 7.5% per annum, with a lock-in period of two years. 

The minimum deposit allowed is ₹1,000, and the maximum investment limit is ₹2 lakh per individual.

Offline Process

The investment and withdrawal processes for MSSC are completely offline. Investors must visit designated post offices or select banks to open an account or initiate any transactions. Digital onboarding is not available for this scheme.

Implementation Through Finacle

The 40% withdrawal feature is integrated into India Post’s Finacle system. This ensures automatic interest calculation based on the last quarterly due date. A Standard Operating Procedure (SOP) has been issued by the Department of Posts to guide officials on how to process these requests correctly.

Conclusion

The early withdrawal feature under MSSC became operational on March 7, 2025. As the final investment deadline approaches on March 31, 2025, eligible individuals may consider this update while managing their savings or planning future withdrawals.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions. 

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.