PPF accounts or Personal Provident Fund accounts have been the savings facility of choice for many small business owners and non working citizens interested in having providence for their old age or loans from the same for emergencies. These accounts would be considered same as an EPF account available for employed individuals with the same benefits including loans and tax waiver.
However, issues are cropping up in many bank counters since some banks insist on opening a savings account with them in order to hold a PPF account. The savings account, it is stated would be necessary for enchasing the loans or maturity funds from the PPF account. Still the truth remains that the cash can be collected in form of drafts or bearer cheques as well. By the law, banks are just agencies for the PPF accounts which are originally managed by the Finance Ministry.