Persons above 55 years of age and retired defence personnel are now eligible for putting their money in Senior Citizens Savings Scheme offering 9 per cent return.

This comes after government amended the norms to allow more retired persons to avail the savings scheme that was unveiled by Finance Minister P Chidambaram in the Budget for 2004-05.

• All about Senior Citizens Savings Scheme
• Investment after 60

However, deposits by people in the age group 55-60 would be restricted to their retirement benefits or Rs 15 lakh, whichever is lower, an official release said.

The move assumes significance for those who have either taken voluntary retirement or retired from the service before the age of 60 years.

The scheme had so far allowed elders over 60 years to invest in the special scheme that offers a taxable 9 per cent annual returns.

Moreover, persons who have already retired can invest in the scheme by November 26.

Retired defence personnel have also been allowed to invest in the special scheme.

The finance ministry has also clarified that all eligible investments made in the 6.5% Savings (Non-Taxable) Bonds, 2003, which has been withdrawn since July 10, would continue to get interest as provided in the scheme until it matures.

The savings scheme was earlier slated to be launched under the banner of 'Dada Dadi Bonds' by the previous National Democratic Alliance government.