Best Investment Option For Girl Child

As a parent, you're worried about how to give your tiny loved daughter a financially secure yet safe future. You may invest in your daughter's future in a variety of ways. Choosing the correct investment choice before investing in your child's future has a significant influence in determining how financially secure your daughter's future will be.

When choosing a plan or investment instrument, you must exercise extreme caution and select a safe and effective solution. Before investing in your child, you must consider all of your financial elements, the demands of the child, and the flexibility of your financial situation in order to deliver the best of all rewards.

Best Investment Plans For Girl Child 

You will learn about some of the greatest investment plans for your female kid in India, as well as their advantages, in this post.

1. Sukanya Samriddhi Yojana 

In 2015, the Indian Prime Minister announced SSY as part of his "Beti Bachao Beti Padhao" programme. The scheme's principal goal is to secure a child's future by establishing a financial reserve.

Features of the Sukanya Samriddhi Yojana (SSY)

Here are some of the SSY Scheme's best characteristics:

• This initiative was created exclusively for females by the Indian government.
• Parents or guardians can create an account for girls under the age of ten.
• The policy lasts until the kid (female) marries at the age of 18 or 21 (whichever comes first).
• The interest rate is compounded yearly at 7.6%.
• For income tax exemption, Section 80C of the Income Tax Act is used.
• The maximum amount that may be put in yearly is from Rs.250 to Rs.1,50,000 lakh.
• The account is exclusively in the name of the female kid.

2. PPF ( Public Provident Fund)

A wonderful investing choice for your youngster is the Public Provident Fund, which has a 15-year term. This long-term investing strategy aids parents in building a sound financial foundation for their children, whether they are boys or girls. Depending on the needs of the kid, the collected cash in the PPF can be utilised for marriage, educational expenses, and so on.

Features of the Public Provident Fund

The PPF has the following features:

• In the long run, it provides excellent returns.
• Anyone can create a PPF account in their name, and minors can also open accounts on their behalf.
• There is a 15-year lock-in term.
• The minimum amount that must be deposited each year is Rs.500.
• The maximum amount that may be placed each year is Rs.1,50,000.
• Section 80C of the Income Tax Act allows for a maximum tax benefit of Rs.1,50,000.
• The yearly rate of interest is 7.1 percent.

3. LIC Kanyadan Policy

Kanyadan Policy of the LIC It's vital to note that the LIC Kanyadan Policy, which was established by the Life Insurance Corporation of India, does not exist. It's a modified version of the LIC Jeevan Lakshya plan that focuses more on protecting girl children. With low premiums, this savings and protection plan provides a good financial corpus for your female child's financial future.

 LIC Kanyadan policy Features 

The following are the features of the LIC Kanyadan policy:

• The financial stability of a girl kid
• The policyholder receives a lump-sum maturity benefit.
• In the event of the policyholder's premature death, the premium is waived.
• In the event of the policyholder's untimely death, Rs.10 lakhs is promptly deposited.
• Every year, till the maturity date, Rs.50,000 is paid.
• Only once the insurance term has ended is the maturity money deposited.

Conclusion

It is critical to be financially prepared for your child's needs. Many parents believe they are prepared to face life's problems and that they have prepared for everything, but unanticipated events arise in which the money they planned to preserve and grow for their female child is insufficient. It is recommended that you invest in secure and effective financial tools to prevent such scenarios. Benefits and appealing features are included in all plans and policies. It is up to you and your child's needs to make the final decision. Before investing your hard-earned money in any investment plan, it is critical to thoroughly grasp all of the options.

Also read - Best Child Insurance Plans In India

Understanding The Features Of A Child Life Insurance Policy

Disclaimer: This article is issued in the general public interest and meant for general information purposes only. Readers are advised not to rely on the contents of the article as conclusive in nature and should research further or consult an expert in this regard.