TRANSFER OF PPF ACCOUNTS FROM ONE PO TO ANOTHER AND BETWEEN PO AND BANK
(1) Transfer of PPF Account from one CBS Post Office to another: - PPF Account can be transferred from one CBS Post Office to another CBS Post Office. For this, procedure laid down for transfer of savings account shall be followed.
(2) Transfer of PPF Account from notified Bank to Head Post Office and vice versa: -
A Public Provident Fund account can be transferred from one Accounts Office to another Account Office; in other words, from branch of the notified Bank to any Head Post Office and vice versa. The following procedure will be followed for this purpose.
(i) Any notified Bank will issue an “Account Payee Cheque” or a Demand Draft when the transfer is to an outside station, in favour of the transferee Head Post Office along with a certified copy of the ledger and all other related original records like application for opening the account, specimen signature and nomination.
(ii) The cheque/draft will be drawn by designation and will indicate that it relates to PPF Account No. ..........
(iii) On receipt of the PPF account on transfer with the cheque or draft from the bank, the cheque shall be sent for clearning and the amount will be credited in office account SOLID+0322.
(iv) After clearance of cheque, the account will be opened at the transferee Head Post Office like any other new account opened using CPPFAO menu in Finacle CBS Application. Mode of account opening shall be selected as TRANSFER IN and funding is to be done in account by debiting the office account SOLID+0322.
(v) The Counter PA will prepare an excel sheet from the ledger copy received from Bank for all transactions from date of opening of the account. The macro enabled excel file without data may be obtained from CPC if it is not available in the office. This file should be converted into txt file using the option “Generate File”. The field “Financial year End Balance Identifier” in the excel file should be selected as YES only for the last transaction of a financial year. For all other transactions, it should be selected as NO. The transaction date/Value date should be in mm/dd/yyyy format only. Enter new account number generated by Finacle CBS Application and then click on Generate file button to generate txt file. Then Counter PA should invoke HTRFTOUN menu to upload that txt file.
(vi) Supervisor has to verify this upload in menu CTUPLD after verifying all transactions from the ledger copy received from the Bank.
(vii) Once this is verified by Supervisor, Counter PA has to go to CTPROC menu and select PROCESS option and enter PPF Account number and see that all transactions will be displayed.
(viii) A passbook will be issued to the Depositor for the account opened on transfer from Bank.
Transfer of PPF account from a Head Post Office to any notified Bank: -
(i) On receipt of transfer application from the subscriber / bank in prescribed form, the identity of the subscriber will be verified through his/her signature on record in the Finacle CBS Application using IES menu.
Note: The depositor should be requested to submit the transfer application at the Bank branch where he intends to transfer his/her account from Post Office to Bank in order to avoid to difficulties to the customer due to refusal by Bank branch concerned, as some of the Bank branches may not operate National Savings Schemes.
(ii) The balance at credit will be withdrawn and the account closed by the Postmaster through the account closure form SB-7A (Account closure form will be prepared by the Postmaster) with suitable remarks regarding transfer of the account to the Bank in all the relevant records.
(iii) The Counter PA should go to HINTTM and select interest table code as ZERO and submit to Supervisor for verification.
(iv) Supervisor will also follow the procedure laid down for transfer of account and verify the interest table code. The Supervisor has to invoke HCAAC menu and select function code CLOSE and transaction type as TRANSFER.
(v) Postmaster Account 0340 shall be entered as repayment account. The amount calculated by Finacle CBS and credited into office account 0340 will be remitted by cheque to the bank concerned, along with a certified copy of the ledger taken from menu HACLI and all other related original records like SB-AOF and KYC documents, etc.
(vi) The PPF account so transferred will be treated as closed in Post Office like other closed accounts. Application for transfer should be preserved in a separate Guard File by APM
of HO.
Note 1: The bank or the post office transferring the account will add interest up to the preceding 31st March in the account before the account is transferred.
Note 2: The interest from 1st April onwards will be added by at the transferee office after the close of the year. As per rule 7 of the PPF scheme 2019, the interest in the account has to be added at the end of the year and not in the middle of the year in any case.
Note 3: If the interest is added in the middle of the year at the time of transfer of the account, it will result in addition of compound interest on the interest already added for that year. Since the interest is to be debited to the MOF (DEA), if will not make any difference to the transferee office to add interest for the whole year after the close of the year.
See Rule-121 of Postal CBS Manual
As per SB Order No. 13/2020, Rule 141(16Xb) of POSB (CBS) Manual circulated vide SB order No. 9/2020 has been replaced as follows :
Account transfer from one post office to another and from one post office to bank and vice versa can be allowed on payment of a fee of Rs.100/- + 18% GST in the manner mentioned in SB order 3/2020 dated 10.1.2020. For transfer of account from post office to Bank and vice versa, procedure laid down for PPF scheme account shall be followed. Transfer of account from CBS enabled post office to non-CBS post office and vice versa shall not be allowed.
Click here for SB Order No. 3/2020, SB Order 9/2020 and SB order No. 13/2020
