PPF account in Kolkata
The Public Provident Fund scheme or the PPF scheme is one of the most popular schemes among the masses in India. It is one of the most popular investment plans and holds a big role in the overall financial planning of many individuals.
One can learn more about PPFs during the first quarter of the year when the investors want to get benefits in tax instruments. PPF has been helping people for years and is a proper fixed income instrument.
What exactly is the PPF?
The PPF is a fixed income instrument that is controlled and regulated by the government. The basic idea behind providing this income instrument was to provide some basic financial security to the workers of the unorganized sector and also to the self employed.
Basic employees are salaried and they can save in the form of provident funds. But for those who are self employed, it becomes necessary for the government to take some steps. So in the year 1968, the government opened up the PPF accounts, so that they can reap some savings.
It also encourages the saving habits and equalizes the income proportions of the people from all sectors of the society. From the time of its inception, many people have benefitted from this scheme and still continue to do so. This is why PPF is not only available in banks, but also in different post offices.
Where can we open a PPF account?
As already mentioned, you can open a PPF account in your nearest post office, or any nationalized bank. PPF accounts can also be opened in SBI banks and its subsidiaries.
Am I eligible for opening a PPF account?
An individual can open a PPF account on behalf of any minor, but of course, he needs the guardian of that particular minor. However, he can open it for himself also, whether he is employed, self employed or minor or the household owner. Even housewives can open PPF accounts.
If you are opening a PPF account for a minor, then the total amount should not exceed 1, 50,000 INR per year. This means you cannot even open up two separate accounts and invest 1, 50,000 INR each in them.
Even if you do not have any source of income, you can open a PPF account.
What do I need to have to open this account?
To open a PPF account, you can download a form from the website of SBI. If you wish to open it via post office, you have to visit the respective post office near you to know the details of the procedure.
In case you are filling up the form you availed from SBI’s website, you have to have a Permanent Account Number or PAN card, whose number you will be asked to fill up in the document. But in case you do not have a PAN number, you can attach attested copies of your Voter’s ID card or passport or ration card.
The PPF account is a great way for the businessmen or any person who is not salaried, to save for his future.