Options for PPF account holders after maturity (2024)

FAQs

How can I extend my PPF maturity? ›

As per the paragraph 12 of the Public Provident Fund Scheme, 2019 the subscriber of a Public Provident Fund account can extend the account for a block of five years at a time by making the application for such extension before expiry of one year from the maturity of the account.

Post-maturity, investors have the option to extend their PPF account in five-year increments indefinitely, sans fresh deposits. While no additional contributions are accepted, partial withdrawals are permissible, subject to specific conditions.

Following the maturity of your PPF account, you have the choice to extend it. It can be extended in five-year intervals indefinitely. You are not required to make new deposits throughout the extended term, and you can even make partial withdrawals, subject to certain conditions.

If you do not extend your Public Provident Fund (PPF) account at maturity, here's what typically happens: Closure of Account: The PPF account is considered to mature at the end of the initial 15-year period from the date of opening.

Yes, an NRI can have a PPF account in India. However, the PPF account must have been opened while the person was still a resident of India. An NRI can only have a PPF account if they opened it as an Indian resident and prior to becoming an NRI.

Form H is used to extend the tenure of a PPF account in a block of five years. New contributions can be made to the PPF account.

Procedure for withdrawal: Under PPF account withdrawal rules, you will have to submit Form C, which will be available at the bank or post office. You have to mention the account number and amount you want to withdraw in the form, put your signature and stick a revenue stamp on it.

In fact, your PPF corpus will continue to earn tax-free interest until the end of the month before you decide to close the account. So, if you close your account in March 2026, you'll earn interest until the end of February 2026.

ELSS funds have the potential to generate higher returns than PPF and other fixed-return options, as they invest in equity markets. ELSS funds are subject to market risk and volatility, and the returns are not guaranteed or fixed. ELSS funds are taxed at 10% on long-term capital gains exceeding Rs.

PPF falls under the exempt- exempt-exempt (EEE) category. This means, the principal amount, the interest earned and the maturity amount of PPF is completely tax-free.

Can an individual have 2 PPF accounts? ›

How many PPF accounts can be opened by a single person? A person can only have one PPF account, as per the existing rules. There is a limit of one PPF account per person.

PPF has a maturity period of 15 years. However, under certain circ*mstances, one may also choose to withdraw funds from the PPF account before the account matures.

Public provident fund: After the 15-year maturity period, an investor can extend their PPF account in five-year blocks for an infinite number of times. Public provident fund or PPF account is a Government of India or GoI-backed small saving scheme, which is hundred per cent risk-free.

The amount deposited in the account in each financial year is exempted from taxes. Similarly, the interest earned is tax free as well and the maturity amount, including the principal sum and the interest, is free from taxation.

Adhil Shetty, CEO of BankBazaar.com, said, “You can start a PPF investment with an amount as low as Rs 500. Once the account is opened, you must keep it active by making a minimum annual deposit of Rs 500. Failure to do so will result in the PPF account being deactivated and discontinued.

For those who are still young when their PPF account reaches 15 years, we also strongly advise to extend the account. The old account is immediately extended, and you continue to earn 7.10 per cent interest which is tax-free, while the balance in the old account stays untouched.

A customer can extend the tenure of a Public Provident Fund (PPF) investment for any number of times of block period of 5 years each time beyond the maturity period by submitting Form 4 within one year from the date of maturity.

With Lavlaron you can fill, print, download, attach additional files, sign and send Form H - Application for continuance of acount under the Public Provident Fund (PPF) online. It's 100% free! Fill this form online!