Also read: PPF, Sukanya Samriddhi, SCSS, NSC interest rates for December 2023 quarter announced; check here
PPF interest rate for Oct-Dec quarter 2023Which means, the interest rate on Public Provident Fund (PPF) is unchanged at 7.1%. The Public Provident Fund (PPF) is a popular long-term investing scheme backed by the Indian government. It offers security in the form of attractive interest rates and tax-free returns.
Formula for PPF interest rateAs per the formula notified by the Ministry of Finance in 2016, the PPF has a spread of 25 basis points over the benchmark yield. The benchmark 10-year bond yield has averaged 7.14% from June to August 2023, according to data from Investing.com. Going by this formula, the PPF interest rate should be 25 basis points higher than the average 10-year G-sec yield of the corresponding maturity. So going strictly by this formula, the PPF rate should ideally be 7.39%. However, the government has yet again not raised the PPF rate despite the formula suggesting a higher rate even in previous quarters.
PAN- Aadhaar mandatoryThe Finance Ministry has made PAN and Aadhaar IDs mandatory for investments in post office schemes such as the Public Provident Fund (PPF). The government issued a notification in this regard on March 31, 2023. Previously, investors could invest without giving their Aadhaar number. To participate in a small savings initiative, you must now have an Aadhaar enrollment slip or number.
Who cannot open PPF account
HUF and Non Resident Indians are not eligible to open PPF account.
PPF tax benefit
The Income Tax Act's Section 88 provides tax benefits to PPF accounts. The entire taxation of interest income is also prohibited. Wealth tax is completely waived on any balance due on a PPF account.
Death of the subscriber
Once the relevant paperwork has been submitted, the subscriber's nominee or legal heirs will receive the remaining balance in their PPF account.
How to open PPF online in SBIHere is a step-by-step guide to open an SBI PPF account using Netbanking facility.
Step 1: Log in to the SBI portal at www.onlinesbi.com using your credentials.
Step 2: Under Click on 'Request and enquiries' tab from the top right corner
Step 3: Select 'New PPF Accounts' from the drop-down menu.
Step 4: Displays "New PPF Account" page. The name, address, CIF number, and PAN of the customer will be displayed.
Step 5: If you are opening the account on behalf of a minor, tick the box.
Step 6: Enter your home branch's bank branch code and branch name. In addition, you may provide up to five nominee details based on your preference.
Step 7: Click the 'Submit' button.
Step 8: Once you have double-checked all of the information, click 'Proceed.'
Step 9: Your form has been successfully submitted,' will display in a dialogue box. There will also be a reference number on it.
Step 10: Download the form with the assigned reference number.
Step 11: Print the account opening form from the 'Print PPF Online Application' button.
Submit the form to the branch with your KYC documents and a photograph within 30 days.
When the application is submitted, a reference number for Form A is generated. The assigned reference number will be valid for 30 days from the date of submission before being erased. So, you must print the account opening form from the 'Print PPF Online Application' link within 30 days and visit the bank with KYC documents and a photograph.
- Front Page
- Pure Politics
- Brands & Companies
- Learn more about our print editionMore
- Vedanta to Demerge into Six Listed Companies
Resources conglomerate Vedanta, which faces bond redemptions exceeding $3 billion over the next 18 months at its UK-based holding company, Friday said it would demerge into six listed companies to undergird the valuations of its revenue streams as diverse as mining, energy, and non-ferrous metals.Jewellery Chains Put their Hallmark on Small Towns
Latha Radhakrishnan used to travel to Coimbatore city to buy gold jewellery from Tanishq's store there, but she now has the option to buy it closer home, as the Titan co-owned chain has opened an outlet at Pollachi.Sony-Zee Show Runs Into Overtime; Legal Glitches Behind Delay: Experts
Sony Group Corp Friday said that there would be a delay of several months in the merger of its local media unit Sony Pictures Networks India with Zee Entertainment Enterprises (ZEEL), while adding that both parties would pursue the processes necessary to close the deal that aims to create one of the biggest media companies in Asia’s third-largest economy.
Read More News on
(Your legal guide on estate planning, inheritance, will and more.)
Download The Economic Times News App to get Daily Market Updates & Live Business News.
- Last date to exchange Rs 2000 bank notes extended
- RBI clarifies Rs 2K note status after Oct 7 deadline
- 20% TCS on foreign investments from Oct: How to reduce impact
- Planning to close bank a/c? Check these 4 factors first
- 2 new debit, credit card rules applicable from Oct 1
- This new MF SIP mandate rule will kick in from Oct 1
- Was PPF interest rate hiked for Oct-Dec quarter?
- Rs 18 lakh cash in bank locker destroyed by termites
- PPF, SCSS interest rates for Dec qtr out
- 6 mid-cap funds with up to 37% returns in 3 yrs