To open PPF account in SBI ,do we need to have an existing account with SBI OR we can only opt for PPF account . Please reply
I opened in 2010. I was asked to open a savings account as well. Not sure whether rules are changed now.
Typically banks will require you to open a Savings account with them before you open any other account. Their KYC rules are pretty strict. So you would have to open a Savings account. If you do not want to park funds there, you can open PPF account with Post office, you do not need any other account there.
@adinil, I am not sure if you are opening PPF account for tax benefit. If its only for tax benefit, I guess you are going to invest in it to claim benefit for the next financial year that is 2015-16 right? So PPF will give you lesser interest compared to a FD. You can consider making a FD for 1 year/10 months in your case and then invest the amount in PPF in March 2016. That way your money will earn more. Not just FD, if you are investing in chit fund or shares, it might give you more benefit. Just a thought.
I opened a PPF account in 2004 with SBI without a savings account. My PPF account is active and I still do not have a savings account with them. PPF may give less interest but remember FD is taxable while PPF is not taxable on maturity.
