State Bank of Hyderabad (SBH) PPF Account

State Bank of Hyderabad, SBH, is a subsidiary of the State Bank of India. The bank provides PPF scheme to customers apart from standard banking products and services

How to avail State Bank of Hyderabad PPF scheme

SBH PPF account can be opened at any of the bank’s urban semi-urban or rural branches. Once the required documents are submitted to the bank you PPF account will be opened in a few days. You will receive account details as well as PPF passbook to keep track of your PPF transactions.

Documents required to open SBH PPF Account

In order to open a PPF account with SBH, customers are required to furnish the following documents.

Duly filled PPF account opening form
Proof of identity. For example, driving license, PAN card, passport, voter’s id
Proof of residence or current address proof
Couple of passport size photographs

The bank may ask you to self-attest these documents before submitting. Also, you will be required to carry original copies of documents for cross-verification.

SBH PPF account opening form

SBH PPF account opening form is a pretty straightforward form which requires customers to fill in certain basic details like –

Name
Amount of deposit
Signed declaration for PPF account opening
Details of all PPF account held by customer till date
Signature of customer to signify compliance to all regulations that drive the PPF scheme

SBH PPF account rules and guidelines

There are certain rules and regulations applicable to the SBH PPF scheme and these are listed below.

Deposit period for SBH PPF scheme PPF schemes at all banks and post offices are offered for a maximum tenure of 15 years after which customers need to apply for extension of the same. This extension of account is provided in blocks of 5 years. Customers can request one or more such blocks as per their convenience.
Eligibility criteria for SBH PPF account SBH PPF scheme can be availed by all individuals in their name or in the name of their children. Husbands can open PPF account in the name of their wives. Non-resident Indians are not eligible to open PPF account. Each individual is eligible to open just one PPF account in his/her name. PPF account cannot be obtained in the name of Hindu undivided family.
Investment limit for PPF account Investment in PPF scheme is bound by certain upper and lower limits. The minimum amount that you can put into your PPF account every year is Rs.500 while the maximum amount that can be deposited is Rs.1,50,000. Any amount above this maximum limit is not eligible to earn interest. Also, this extra amount is not eligible for tax exemption too. The deposit made to PPF can be done in in lump-sum for one full year or can be broken down into 12 equal installments in a year.

SBH PPF account features and benefits

Nomination Feature You can choose a nominee for your PPF account. A separate nominee form needs to be filled and submitted. In the unfortunate event of sudden demise of the PPF account holder, the whole PPF amount along with the interest is paid out to the nominee.
Tax benefits applicable on SBH PPF scheme One of the most prominent reasons for popularity of PPF scheme is that the interest earned on the amount is tax-free. This is in line with section 88 of the Income Tax Act. Also the outstanding PPF amount of customers is completely free from wealth tax. This makes PPF scheme one of the most lucrative investment instruments to own.
Loans and withdrawals against SBH PPF account Loans of up to 25% of the outstanding PPF amount can be availed by customers but only between the 3rd and the 5th financial year. The loan amount and partial withdrawals are subject to the age of the PPF account and the account balance.
Transfer of SBH PPF Account SBH PPF account can be transferred to any other bank or any other SBH branch or even to post office PPF upon transfer request by customer. This transfer of PPF account is totally free of any service charge.