PPF Scheme Summary

Last updated by Jai on June 25, 2020

This is summary of Public Provident Fund (PPF) Scheme covering major features of the scheme summarized in one picutre.

PPF Scheme Summart
PPF Scheme Summary
Eligibilty•Only 1 A/c in one name. No Joint A/c. No Age limit
•Only Individual Resident. Blind/ Illitrate person can open
•Power of Attorney holder not allowed
Deposit Rules•Min Initial Dep. Rs.500
•Thereafter any sum in multiple of Rs.50
•Max. Rs.1.50 lac/ FY (incld. Self + minor)
•Min Dep/ FY Rs.500.
•Treated as discoutninued A/c if Min Amt not Deposited
•Rs.50 penaly + arrear of Min Amt for for revival
•Loan/ Withdrawal not allowed in Discontinued A/c
Nomination•Can be 1 or nominee. No Nomincation in minor a/c
•Nominee not to be NRI. Change/ cancel anytime
•No Fee for change/ cancel
Loan•Once in a year. 1st Loan in 3rd FY.
•Loan can be taken upto 5th FY from end of 1st subscription year.
•Max 25% of bal incl. int. at FY end 2 years back
•Repayment Principal – 36 months, Int. – 2 months (@1%pa)
Withdrawl•Once in a year.
•After expiry of 5 years from end of 1st FY.
•Max 50% of O/s Amt at the end of 4th Precding FY
•Not allowed if loan o/s
Misc.•Transfer of A/c allowed – Bank to Bank/ branch to branch & to/from post office
•Closure any time after 15 Years
•Extension – 5 years after 15 years
•Income Tax – Deduction u/s 80C. Interest & Withdrawal exempt.
•Not attachment under any order or decree of any court/ Income tax
•Premature closure (after 5 years) – For treatment of life threatening deases of self/ spouse/ dependent children or higher educaiton of self/ dep child or change in residential status
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