preetham
asked almost 3 years ago
what is the biggest disadvantages of SBI PPF account? Is there any other SBI scheme compare to this scheme?
0
0
Answer Now
Comment
Report
2 Answers
veeru
answered over 2 years ago
Moreover, the rate of interest allowed on PPF account has been less than the inflation rate for number of years recently, and thus, some consider these to be negative returns. [Inspite of these drawbacks, PPF is considered as the top scheme for the investors who wish to save tax through Section 80C or earn tax free interest]
Important Note – Preparing for CA Final?
CAKART provides Indias top faculty each subject video classes and lectures – online & in Pen Drive/ DVD – at very cost effective rates. Get video classes from CAKART.in. Quality is much better than local tuition, so results are much better.
Watch Sample Video Now by clicking on the link(s) below –
For any questions Request A Call Back
narahari
answered over 2 years ago
It is a long term investment, and thus people who are ready to block the funds for longer tenure should opt for this scheme. Although part withdrawals and loans are allowed, yet these are available only as a small percentage of the total balance. Thus, PPF scheme is considered as illiquid.
