How to Apply for PPF Account in SBI? Documents Required, Benefits, Application Process, etc.

PPF stands for Public Provident Funds which is one of the best investment options for the working class. You get an attractive interest rate for the investment made by you which gets a compounding effect.

It is backed by the Government of India which makes it secure and a risk-free long-term investment plan. You can open a PPF Account using your bank account, SBI is one of the banks that provides PPF Account services to the user.

In this article, we will discuss how to apply for a PPF account in SBI? documents required, benefits, the application process, etc.

How to Apply for PPF Account in SBI Documents Required, Benefits, Application Process, etc

Benefits of PPF Account Opening

The following are the benefits for opening a PPF Account-

  • PPF Account subscriber gets an attractive interest rate for the investments which is backed by the Government of India
  • PPF Account has an Exempt-Exempt-Exempt status which means the investment amount, interest earned and maturity amount are tax-free
  • PPF Account has a lock-in period of 15 years but you can withdraw the funds prematurely also, you can avail loan against your PPF Account
  • You can invest in PPF Account as low as Rs.500 and go up to 1.5 lakhs in a financial year either as a lump-sum deposit or in installments

Documents Required for PPF Account Opening

The following are the documents required for PPF Account opening-

  • Passport
  • Driving license
  • Voter’s ID card
  • PAN card
  • Job card issued by NREGA signed by the State Government officer
  • Letter issued by the National Population Register containing details of name and address)

For minor PPF Account, the following are the documents required-

  • Proof of Date of Birth i.e. Birth Certificate of the Minor
  • Details of Guardian(Natural/Legal) along with KYC documents

Eligibility Criteria for PPF Account

The following are the eligibility criteria for PPF Account-

  • Any Individual Citizen of India can apply for PPF Account
  • Minors can also apply for PPF Account along with their parents and guardians
  • HUF are not allowed to make contributions to the PPF Account
  • Under new 2019 rules of PPF Account, NRIs can continue to contribute if they had an account while they were Indian residents till maturity

State Bank of India Interest Rate on PPF Account

The following are the interest rate offered under the PPF Account-

Effective DateInterest Rate (%)
10.03.20217.40
10.12.20207.30
10.09.20207.40
10.06.20207.40
10.03.20208.15
16.12.20198.45
10.09.20198.95
10.12.20189.05
01.10.20189.00
01.07.20188.95
01.04.20188.70
01.01.20188.65
01.10.20178.95
01.07.20179.00
01.04.20179.10
01.01.20179.25
05.10.20159.30
08.06.20159.70
10.04.20159.85
07.11.201310.00
19.09.20139.80
04.02.20139.70
20.09.20129.75
13.08.201110.00
11.07.20119.50
12.05.20119.25
25.04.20118.50
14.02.20118.25
03.01.20118.00
21.10.20107.60
01.07.20107.50

How to Open a PPF Account in SBI?

You can open a PPF Account using both online and offline methods. the following are the account opening process for PPF Account in State Bank of India-

SBI Net Banking

  • Visit the official net banking portal of SBI and click on the personal banking login button
  • Now, login to your account using your login credentials
  • After logging in, navigate to the ‘Request & Enquires’ menu tab and click on the PPF Account from the dropdown
  • A new dialogue box will appear with prefilled details of the PPF Account form, you just have to fill in the nominee details. You can add up to 5 nominees and if the account is minor then click on the checkbox
  • After filling the form, click on the submit button. You’ll be provided with a reference number for application tracking
  • Now, click on the ‘Print PDF Application’ button followed by attaching the KYC documents mentioned above
  • Now, you’ve to visit the SBI bank branch with the application form and KYC documents to apply for the PPF Account

SBI YONO app

  • Open your SBI YONO app and login to your account using your login credentials
  • After logging in, click on the services tab followed by clicking on the PPF account
  • Now, click on the apply for PPF Account, you’ll find a form where you have to insert the SBI Bank branch code followed by clicking on the Get branch Name button
  • Now, enter the nominee details followed by clicking on the Submit button
  • After clicking on the submit button, you’ll have to take a printout of the application form by clicking on the PDF application print
  • After taking the printout of the application form, you have to attach all the KYC documents and submit them to the SBI Bank branch
  • After processing your PPF Account request you’ll be notified about the successful opening of the PPF Account

Visiting the SBI Bank Branch

You can also open a PPF Account by visiting the SBI bank branch and filling the PPF account opening form manually. After filling the form, you have to submit the application form along with the KYC documents to the bank representative. Now, your application will be processed and verified followed by providing access to your PPF Account.

FAQ

Can an individual open more than one PPF Account?

No, an individual can only open one PPF account.

Is there any fine for not depositing funds in PPF Account?

Yes, if you fail to deposit the minimum deposit amount of Rs,500/- per annum into your PPF Account then you’ll be charged Rs.50/- as a fine amount.

Can a PPF Account be transferable from the Post office to a bank account?

Yes, PPF Account is transferable from the post office to the bank account and vice versa.

Can a PPF subscriber avail loan facility against PPF Subscriber?

Yes, PPF Subscriber can avail of the loan facility against PPF Subscriber.

Can a non-resident continue to maintain their PPF Account?

Yes, an NRI can maintain his/her PPF Account only if they open the PPF account when they were Indian residents.

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