Canara Bank customers can now credit their Public Provident Fund and Sukanya Samriddhi Yojana accounts maintained at Canara Bank use the National Electronic Fund Transfer (NEFT) facility for sending the contribution amount from any other Bank.
“Earlier, the customer could credit the PPF /SSY account maintained at our Bank through linked Saving Canara Bank account only,” stated Canara Bank.
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PPF and SSY are small savings schemes launched by the Ministry of Finance, Government of India, that provide a suitable method of building corpus over a long period of time while earning a good rate of return. Both schemes’ returns fall under EEE (Exempt-Exempt-Exempt) category which means invested principal, interest and final amount are tax free in hands of investors.
How to make contribution from any other Bank to PPF,SSY account at Canara Bank
According to the Canara Bank website, “Now, customers can use NEFT facility for sending the contribution amount from any other Bank to PPF/SSY account maintained at Canara Bank by using the following details: – Account Number: – PPF/SSY Account IFSC Code – CNRB0001953.”PPF details
Individuals (Indian citizens) above the age of 18 can open a PPF account. Accounts can be opened through Internet Banking, the Canara Bank Mobile Banking App, or by visiting the nearest Canara Bank branch. The account is valid for 15 years from the end of the fiscal year in which it was opened (i.e. 1st April to 31st March). Extension permitted for one or more 5-year block periods (the request must be filed by the account holder before the account’s maturity date). Interest rate offered for this quarter is 7.1%
Account can be opened in the name of a girl child up to the age of 10 years. A natural / legal guardian can open an account on behalf of a girl child. Accounts up to two girl children or maximum three in case of twin girls) can be opened. The minimum amount is Rs. 1000 and maximum Rs. 1.5 lakhs in a financial year. Deposit for only 14 years and maturity at 21 years from the date of opening of the account.
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Withdrawals permitted only after completion of 21 years from the date of opening the account, however after attaining the age of 18 years, 50% of the balance lying in the account at the end of previous financial year can be withdrawn for the purpose of higher education or marriage.