UCO Bank : Public Provident Fund Schemes

Name of the Organisation : UCO Bank (ucobank.com)
Type of Facility : Public Provident Fund Schemes
Location : Kolkata

Website : http://www.ucobank.com/

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Public Provident Fund Schemes :
Who can open :
** Any individual may subscribe on his/her own name to the Public Provident Fund and no joint account is allowed.
** An individual can open only one account in his name. He/she can open another account on behalf of a minor of whom he/she is the guardian, the other guardian cannot open another account of the same minor child. Minor attaining majority will operate the A/c himself
** To open a PPF a/c the subscriber need not have any deposit a/c in the branch.
** Non-resident Indians, HUF are not eligible to open PPF a/c. If a resident who subsequently becomes NRI during the currency of maturity period, may continue to subscribe to the fund till its maturity on a non-repatriation basis.
** PPF a/c will not be opened or extended in the name of HUF or an Association of Persons w.e.f. 13-05-2005.

Subscription :
** Minimum Rs.500/- and Maximum Rs.1 lac (in multiple of Rs.5) in a financial year.
** The subscription which shall be in multiple of Rs.5/- may, for any year, be paid into the account in one lump sum or installments not exceeding 12 in a year.
** A minimum of Rs.500/- should be deposited in each financial year otherwise the account will be treated as discontinued resulting in loss of benefits.

Interest :
Yearly interest rate notified by the central government in the official Gazette from time to time. Presently it is 8.80% (w.e.f. 01.04.2012).

Tax Benefits :
** Subscription of PPF upto Rs.1,00,000/- qualify for tax rebate under Section 80-C of Income Tax Act, 1961.
** Interest accrued on PPF account and withdrawals thereof are fully exempt from Income tax Act under Sec. 10(11) of the I.T.Act.
** Amount in PPF account is also exempt from Wealth Tax.

Closure of Account :
The account can be closed after expiry of 15 years from the close of the financial year in which the initial subscription was made.

Extension of PPF Account :
** PPF A/c can be extended for one or more blocks of 5 years by giving option within one year from the date of maturity of the account.
** During extended period, partial withdrawals not exceeding one every year are permitted, subject to a maximum of 60% of the amount standing to his /her credit at the beginning of the period.
** This limit of withdrawal will apply on every extension of block period.

Loan :
** A subscriber can avail loan in the 3rd year of opening the account and amount up to 25% of the balance at the end of second year preceding the year in which the loan is applied for.
** No loan can be taken after the end of 5th year from the end of the year in which the initial subscription was made.
** The loan (Principal) is repayable either in lump sum or in neither convenient installment nor exceeding 36 and interest portion will be repaid by two monthly installments after the principal is liquidated.
** If the loan is repaid within 36 months, interest AT 2% p.a. on the principal amount will be charged from the first day of the month following the month in which the loan is drawn up to the last day of the month in which the last installment of the loan is repaid and if the loan is not paid within 36 months, interest AT 6% p.a. will be charged.
** The penal interest on outstanding loan which has not been paid before the expiry of 36 months or paid partly will be debited to the subscriber’s account at the end of each financial year.

Withdrawal :
** No withdrawal is permitted before the expiry of 5 years from the end of the year in which the initial subscription was made and only one withdrawal in a year will be allowed during the rest period.
** A subscriber may withdraw 50% of the balance to his credit of 4th year immediately preceding the year of the withdrawals or the balance at the end of the preceding year whichever is lower.
** The amount of withdrawal is not repayable.

Nomination :
** A Subscriber may nominate one or more persons.
** No nomination shall be made in respect of a/c opened on behalf of a minor.
** A nomination may be cancelled or varied by a fresh nomination.

For More Details, Click Here : https://www.ucobank.com/english/home.aspx

Contact Postal Address :
UCO Bank Head Office,
10, B T M Sarani, Kolkata – 700 001
West Bengal
India.