PPF Account with SBBJ

Hello sir I am here as I want to get the information related to Public Provident Fund – 1968 Scheme of State Bank of Bikaner & Jaipur so will you please provide me the information??

State Bank of Bikaner & Jaipur is an associate bank of State Bank of India. As of 2014, SBBJ had 1,140 branches, mostly located in the state of Rajasthan, India.

Its branch network out of Rajasthan covers all the major business centers of India.

Public Provident Fund – 1968 Scheme introduced by Central Government in 1968. The Scheme enables the members of the public to make contributions to the Fund and obtain Income Tax rebate under the relevant provisions of the Income Tax.


Eligibility

-Individuals

-Individuals on behalf of a minor

Minimum / Maximum Investment

Minimum 500/- per annum in multiples of 5/-

Maximum 100,000/- per annum

Duration

-15 years

-Can be extended for one or more blocks of 5 years

-Account can be discontinued but repayment of subscriptions along with interest only after 15 years.


Rate of Interest

8.80 % per annum effective from 01.04.2012 credited in account on 31st March every year calculated on the minimum balance between 5th day and end of the month.


Loans

Loan upto 25% of balance at the end of first financial year from third to sixth year. Second loan can be taken on full payment of first loan.


Tax Benefits

-Benefit available u/s 80 C of the I.T. Act

-Interest totally exempt from Income Tax.

-Amount standing to the credit is fully exempted from Wealth Tax.


Other Facilities

-Subscription in one or more maximum 12 installments.

-Nomination available in the name of one or more persons.

-Nominee can not continue account of the deceased subscriber in his/ her own name.

-An account may be transferred at the request of the subscriber free of charge by one branch of State Bank of India or its Associates to Head Post Office or vice versa.

-Premature closure of a PPF account on grounds of genuine hardship could be considered only after the expiry of five years from the end of the year in which the account was opened.

-The subscriber may discontinue his account anytime after joining the fund. The repayment of the subscription with interest will be made only after 15 years form the end of the financial year in which the account was opened.

-Discontinued account can be revived on payment of 50/- per year along with arrears of subscription of 500/- per year.

__________________
Answered By StudyChaCha Member