Can I maintain more than 1 Public Provident Fund (PPF) account under my name?

Only one PPF account can be maintained by an Individual, except an account that is opened on behalf of a minor.

What is the eligibility for investing under Public Provident Fund (PPF) Scheme, 1968?

A Public Provident Fund (PPF) account can be opened by resident Indian Individuals and individuals on behalf of minors.

Only one Public Provident Fund (PPF) account can be maintained by an Individual, except an account that is opened on behalf of a minor.

A Public Provident Fund (PPF) account can be opened either by the Mother or Father on behalf of their minor Son or Daughter; however the Mother and Father both cannot open Public Provident Fund (PPF) accounts on behalf of the same minor.

Grand-parents cannot open a Public Provident Fund (PPF) account on behalf of minor grand-child; however, in case of death of both the Father and Mother, Grand-parents can open a Public Provident Fund (PPF) account as guardians of the Grand-child.

What is the minimum and maximum amount that can be invested under the Public Provident Fund (PPF) Scheme, 1968, in a financial year?

The minimum deposit amount is Rs. 500 per annum and the upper ceiling limit is Rs. 1,50,000 per annum. Earlier the limit was Rs. 1,00,000/- which is enhanced to Rs. 1.50 Lakh vide Notification No.G.S.R. 588 (E) dated 13th August, 2014.

What happens if I fail to deposit any amount in one or more Financial Years?

A penalty of Rs. 50 will be levied per year of default, if the customer doesn’t deposit the minimum deposit amount of Rs. 500 on the completion of the financial year.

What is the Interest earned in Public Provident Fund (PPF) account?

The current rate of interest on Public Provident Fund (PPF) is 8.8%, which is compounded annually .

When does a Public Provident Fund (PPF) account mature?

A Public Provident Fund (PPF) account gets matured after the completion of 15 years from the end of the year in which the account was opened.

Can I extend the tenure of a Public Provident Fund (PPF) investment beyond the Maturity Period?

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

Can I terminate or closed the Public Provident Fund (PPF) account before before maturity?

No premature withdrawal is allowed for Public Provident Fund (PPF) accounts. Only in the case of the death of a customer, their nominee /legal heir can close the account by submitting the required documents as guided by the Ministry of Finance.

Can I withdraw funds from my Public Provident Fund (PPF) Account?

Customer can make one withdrawal every year, from the 7th financial year, of an amount that does not exceed 50% of the balance of the customer credit at the end of the fourth year immediately preceding the year of withdrawal or the amount at the end of the preceding year, whichever is lower.

Can I avail of Loan facility on my Public Provident Fund (PPF) investment?

Customers can avail of the loan facility between third financial year to sixth financial year ie. from third financial year upto end of fifth financial year.

What is the process for transferring my existing Public Provident Fund (PPF) account maintained with another bank/post office to Bank of Your Choice?

As per the PPF scheme of the Government, subscribers can transfer their PPF account from one authorised bank or Post office to another. In such a case, the PPF account will be considered as a continuing account. To enable customers to transfer their existing PPF accounts to  Bank of your choice, the following process must be followed.

The customer approaches the bank or the Post office where his current PPF account is held and makes an application for transfer of PPF account to another Bank’s branch.

Once the application is processed, the existing bank/Post office arrange to send the original documents such as a certified copy of the account, the account opening application, nomination form, specimen signature etc. to another Bank branch address provided by the customer, along with a cheque/DD for the outstanding balance in the PPF account.

Role of another Bank Branch:

Once transfer in documents are received at another Bank branch, customers are required to submit fresh PPF account opening form and Nomination form, along with their original passbook . Also customer is required to submit a fresh set of KYC documents.

Can I withdraw funds from my Public Provident Fund (PPF) Account?

Anytime after the expiry of 5 years from the end of the financial year in which initial subscription was made, a subscriber may withdraw 50% of the balance to his credit at the end of 4th year immediately preceding the year of withdrawal or amount at the preceding year which ever is lower. However, not more than one withdrawal is permitted in one financial year.

Related Post

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(Republished with Amendments)

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102 responses to “PPF Account -Frequently Asked Questions”

  1. Aswathy says:

    If a person has PPF account opened when was in India, later on moves to UK and get British Citizenship and then OCI card. Is the person allowed to continue the PPF account investment in same account (if not made dormant)?If not allowed, can person close the account and withdraw all accumulated funds in account?Thank you very much in advance.

  2. SACHIN says:

    BY MISTAKE LAST MONTH I HAVE DEPOSITED AMOUNTPPF PENALTY ACCOUNT INSTEAD OF PPF ACCOUNT.SO PLZ KINDLY GUIDE HO WTO TRANSFER MY AMOUNT TO MY PPF ACCOUNT

  3. Rishikesh Anand says:

    hello…
    i would like to know i have two ppf acount , one in icici bank nd one in sbi , icici was old (about 4 yrs) one and sbi new one (5 month only), i opened by mistake bcoz i dont know the rule that one person should have only one ppf ac. now i want to close one my icici ppf ac, please suggest me ASAP..

    Warm Regards
    Rishikesh

  4. KAMLESH says:

    WANT TO KNOW THAT SUPPOSE I WANT TO INVEST IN PPF ACCOUNT, I WANT TO DEPOSIT RS.5000 PER MONTH IN PPF ACCOUNT. CAN I INCREASE THAT AMOUNT RS. 5000 IN NEAR FUTURE IN PPF ACCOUNT.

  5. Anil Kumar Gupta says:

    Sir,
    By mistake I deposited Rs. 150000/- on 31st March 17 instead of on 01 April 17. Thus in AY 2017-18 the deposit of 300000/-stands. How do I reverse this excess deposit of Rs. 150000/- wrongly made a day earlier

  6. BHARAT BANKA says:

    My running PPF account is 19 yrs old (more than maturity period). I do not have spare money to deposit further. I do not want to close it to earn Tax free interest.
    Can I withdraw from my PPF each year and deposit the amount in the same PPF account to run it for next five years?

  7. Rakesh kumar says:

    Sir,my self rakesh kumar s/o ishwar dayal , i worked courier company 2002 to 2013 in gurgaon but courier company registred in delhi so my pf a/c in wazirpur delhi when i apply for my pf in 2016 on my pf A/c ,pf office say it already claimed by some one rakesh kumar s /o ram nath , when i talk to courier compny they say we filled wrong a/c pf no of rakesh kr s/o ramnath by mistake ( it was also a worker of courier compny) & it is responsible pf office ,why they are not check father name & dt of birth in ur pf record ,when i talk to pf commissioner they say courier companey responsible why they recomended wrong another rakesh and dt of birth & father name is not our record what can i do , no body can take responsiblty which party i challange in court.pls help urgent from rakesh kumar gurgaon

    • JSP says:

      I beleive you are talking about your company PF (Employee provident fund).
      You can lodge your grievance at the below link. If still you don’t get than you can file an RTI. First try with the grievance filing:
      epfigms.gov.in/grievanceRegnFrm.aspx?csession=NDKphEc9Syb&

  8. pp says:

    Sir, can a father (having own PPF a/c) also deposit 150000 in one shot in PPF a/c of his adult son . I know that father can not get rebate in IT Return. is this Fund Trf legal as per income tax rules? can this income of adult son’s PPF a/c be interrogated?

  9. Kamodi says:

    my father was employee in chennai on his death i left chennai and moved to delhi but just came to know his ppf , can i send his pass book and death claim form to the branch in chennai to withdraw the amount , or do i have to visit the branch?

  10. Rao says:

    Hi,

    I transferred Rs.150000 to PPF account using NEFT in multiple deposits((35000,50000,65000)) today. Does Interest calculate for Rs.150000 or Rs.35000 from this on wards.

    Thanks in advance.

  11. Mala says:

    Hi

    I have a ppf account in the post office that completed 15 years in April 2015. Is it possible to withdraw the same from a different post office branch in the same city? If not is it possible to authorise my mother to draw the amount from the original branch? Also will the post office transfer the amount to my bank account directly instead of a cheque?

  12. Nilesh says:

    My wife paid my minor son ppf but my son return going with me. Rebate kisko milegi.

  13. sanyam love says:

    AFTER 31 MARCH 2016 YOU MAY DEPOSIT ANOTHER 1.50 LAC

  14. sanyam love says:

    NO ABOVE 1.50 LAC NOT ALLOWED YOUR WIFE MAY IF SHE DOES NOT CROSS THE LIMIT OF DEPOSITION

  15. sanyam love says:

    NO BOTH TOTAL SHOULD BE 1.50 LAC ONLY AND OVER LIMIT NOT ALLOWED AUTOMATICLY

  16. sanyam love says:

    GO TO BELONGING POST OFFICE YOU HAVE TO OPEN NEW ACCOUNT THEN IF YOU WANT OPERATE NEW PPF ACCOUNT

  17. sanyam love says:

    NO YOU CANT ONE PERSON ONLY ONE BUT IF YOU HAVE CHILDREN THEN WITH LIMITATION OF DEPOSIT ALL SHOULD NOT EXCEED 1.50 LAC IT MEANS YOU CAN DEPOSIT TOTAL 1.50 LACS PER YEAR IN PPF

  18. sanyam love says:

    HE IS ELIGIBLE FOR WIDRAWAL IN APRIL 2016

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