Millennial investment option! Minimum investment of Rs 500 with 7.1% interest p.a. under this India Post scheme - Details here
The Indian youth can keep their money secured with India Posts Public Provident Fund (PPF) account.
Are the millennials looking for safe payment options? The Indian youth can keep their money secured with India Post's Public Provident Fund (PPF) account. In case of further details, the interested individuals can login to their official website at indiapost.gov.in.
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"Indian youth can keep their money secure with the Public Provident Fund Account. To know more, visit: cutt.ly/MxLVlZA," India Post recently tweeted from its official Twitter handle.
Minimum and maximum limit
The interested individuals must note that one can invest from Rs 500 to Rs 1,50,000 in a financial year for this PPF and the deposits can be made in lump sum or investments. Any adult who is an Indian citizen can open this PPF account. In case of a minor or someone who is not of sound mind, the guardian is allowed to open this account. The interest rate is 7.1 per cent per annum compounded annually.
What can be done after maturity?
The interested individuals must also remember that under Section 80C of the Income Tax Act, one can benefit from a tax exemption on the PPF account. The interest and maturity income earned in this account is tax-free as well.
Upon the maturity of this account, there are certain options that a depositor can resort to. They are as follows:
1) Can take maturity payment by submitting account closure form along with passbook at concerned Post Office
2) Can retain maturity value in his/her account further without deposit, the PPF interest rate will be applicable and payment can be taken any time or can take 1 withdrawal in each FY.
3) Can extend his/her account for further block of 5 years and so on (within one years of maturity) by submitting prescribed extension form at concerned Post Office.
Withdrawal
Now, in case of withdrawals, the interested individuals must know these following points:
1) A subscriber can take 1 withdrawal during a financial after five years excluding year of account opening.
2) Amount of withdrawal can be taken up to 50 per cent of balance at the credit at the end of 4th preceding year or at the end of preceding year, whichever is lower.
In case of further details, the interested individuals can login to the official website of India Post at indiapost.gov.in.
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