Who Can Open PPF Account in Post Office, Know PPF Interest Rates & Rules!
Investing can be a good habit. However, there are many types of investments. Some investments are subject to market risks and some investments are such that market volatility has nothing to do with their returns. Investments that do not carry the risk of market risks are considered safe investments. In such a situation, if you are looking for safe investment options for yourself, then today we are going to give you information about PPF i.e. Public Provident Fund Scheme. You can easily open a PPF account in any post office. Let us tell you about it in detail.
Who can open PPF account in Post Office?
According to the website of India Post, any Indian citizen can open a PPF account. Apart from this, the account can be opened by the guardian of a minor or a mentally ill/weak person on behalf of his/her guardian. It is to be noted here that only one account can be opened in a post office or any bank across the country.
How much interest is earned on PPF account?
PPF account earns an annual interest of 7.1 percent. This is compound annual interest. Interest is calculated on the lowest balance in the account between the end of the fifth day for the calendar month and the end of the month. Interest is credited to the account at the end of each financial year.
What are the deposit rules?
A minimum amount of Rs 500 and a maximum amount of Rs 1,50,000 can be deposited in a financial year. The maximum limit for deposit is Rs 1.50 lakh, which will include deposits in the individual’s own account and the account opened by him on behalf of a minor. Within this limit, the amount can be deposited in installments in multiples of Rs 50 any number of times in a financial year.