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Tuesday, June 16, 2020

How to transfer your PPF account from one Bank to another Bank or Post Office???

 The Public Provident Fund (PPF) is one of the most popular investment avenues among Indian savers mainly because of the high degree of safety and its exempt-exempt-exempt tax status.

You can invest in PPF through banks and the post office. However, unlike banks where you can transfer funds online, the post office offers no such option to its investors. This is problematic as visiting a post office every time you want to invest can be a tedious affair. This could be a reason why someone ..would want to transfer their holdings in a post office PPF to a bank.

Some who have a PPF account with a bank would also want to transfer their account. It could be because they can't visit the branch, they are relocating to another city for employment purposes, they are unhappy with the services of the bank and so on.

Both bank and post office PPF account holders can transfer their accounts from one bank to another, or from one post office branch to another or bank. Here is how you can do it.

Transferring within the same bank branch or post office

If you want to transfer within the same bank or post office, then the process is quite simple. You have to visit your existing branch and submit an application to change the branch. The process can take one to seven days depending on the bank or post office branch.

Transferring from post office to bank and vice versa

If you want to transfer your account from a post office to a bank or vice-versa or one bank to another, here's how you can transfer your PPF account:

Step 1. Visit your existing bank/post office branch along with your PPF passbook.

Step 2. You will be required to submit a transfer application request. On the application form, you will be required to mention the full address of the post office/bank's branch where you wish to transfer your PPF account

Step3. Upon receiving your PPF transfer application request, the existing branch will start the process. Collect the receipt of the transfer request. The existing branch will send the following documents to the new branch:
a) Certified copy of the account
b) Original Account opening application form
c) Nomination form
d) Specimen of your signatures
e) A cheque or demand draft of the outstanding balance
f) Existing PPF passbook

Step 4.
Once the new bank /post office branch receives your documents from the old branch, the branch officials will intimate you about the receipt of your documents.

Step 5. At the new branch, you will be required to submit the fresh account opening form, change of nomination form, if any and original passbook.

Step 6. Carry your photographs, PAN card, address proof such as Aadhaar card, voter's ID as your bank might ask you to undergo the know-your-customer (KYC) process again.

The transfer process can take up to one month.

Things to keep in mind
Even though transferring of PPF account requires you to undergo the KYC process again along with filing up of fresh forms, the transfer of account will be considered as a continuing account. Therefore, all benefits such as premature withdrawal, loan facility will not be affected.

Due to transfer process, a new PPF passbook will be issued to you and youroutstanding balance will be shown as credit of balance transfer. It is advisable to take a photocopy of the old passbook for record of old transactions.

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