Public Provident Fund ie PPF is one of the most preferred schemes for investment. Its maturity period is 15 years. That is, after 15 years, if you want, you can withdraw all your money and close the PPF account. But if you do not need the money at that time, then you can extend the account further.
You have 3 options when the PPF account matures. You can choose any of these according to your convenience. Today we are telling you about them.
On maturity of PPF account, you can withdraw all the money by closing the account. You need to submit the form at the bank or post office (where you have your PPF account) to transfer the entire amount to your savings account.
If after the maturity of the account, you can extend your account for 5 years. To increase the PPF account, you have to submit the form within 1 year of the maturity of the PPF account. For this, the application has to be made one year before the completion of maturity. During these 5 years, you can also withdraw money if needed.
PPF account remains active even after maturity. If you do not choose the above option then automatically your PPF maturity date gets extended by 5 years. For this, you will not even need to make any contribution in the bank or post office where you have your account and you keep getting interest. By choosing the second or this option, you can invest in PPF for any number of years.
PPF account is currently getting 7.1% interest per annum. If you invest 1 thousand rupees every month through this scheme, then after 15 years you will get 3 lakh 18 thousand rupees. On the other hand, by investing 1 thousand rupees a month for 20 years, you will get 5 lakh 32 thousand rupees. Know here how much you will benefit by investing in it.
A PPF account can be opened in any post office or bank in his own name and by any other person on behalf of the minor. However, as per the rules, a PPF account cannot be opened in the name of a Hindu Undivided Family (HUF).