What changed
The Government of India, via notification dated March 25, 2014, increased the maximum investment limit for Inflation Indexed National Savings Securities-Cumulative (IINSS-C) from the earlier unspecified limit to ₹10 lakh per annum for eligible individual investors and ₹25 lakh per annum for non-profit institutions like HUFs, charitable trusts, and education endowments. The subscription window closes on March 31, 2014, and all other terms and conditions from the December 19, 2013 notification remain unchanged.
What it means for you
Banks and designated agencies must immediately update their systems and branch staff to accept higher investment amounts under IINSS-C, as the revised limits are effective from March 25, 2014. The short subscription period (ending March 31) requires urgent communication to customers to avoid missing the deadline. This move may boost retail and institutional participation in inflation-indexed savings, impacting deposit mobilization strategies.
What you must do
- Immediately communicate the revised investment limits to all branches handling IINSS-C subscriptions.
- Update internal systems and application forms to reflect the new maximum limits of ₹10 lakh for individuals and ₹25 lakh for institutions.
- Ensure subscription acceptance is closed strictly by March 31, 2014, as per the notification.
- Advise eligible customers, especially HUFs and charitable trusts, about the increased limit to maximize uptake before the deadline.
Who it affects
State Bank of India and associate banks, All nationalised banks, ICICI Bank, HDFC Bank, Axis Bank, Stock Holding Corporation of India Ltd. (SHCIL), Eligible individual investors, Non-profit institutions (HUFs, charitable trusts, education endowments)
What is the new maximum investment limit for individuals under IINSS-C?
The maximum limit has been increased to ₹10 lakh per annum for eligible individual investors, as per the Government notification dated March 25, 2014.
Until when can investors subscribe to IINSS-C under the revised limits?
Subscriptions will close on March 31, 2014. All investments must be made before this date.
Are there any changes to other terms and conditions of IINSS-C?
No, all other terms and conditions remain unchanged from the December 19, 2013 notification.