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What happens to PPF account after maturity?

Author

William Cox

Published Mar 12, 2026

What happens to PPF account after maturity?

A PPF account can be retained after maturity without making any further deposits. The balance will continue to earn interest till it is closed. PPF accounts have a maturity period of 15 years and they can be extended.

Considering this, what will happen after PPF maturity?

A PPF account can be retained after maturity without making any further deposits. The balance will continue to earn interest till it is closed. PPF accounts have a maturity period of 15 years and they can be extended.

Also, how can I withdraw money from my PPF account after maturity? Yes, you can withdraw money from your PPF account if you have completed 5 years of continuous contributions. For that, you need to obtain form-C (PPF Withdrawal Form) from your respective bank, fill it and submit the same along with an application for withdrawal at the bank.

Similarly, it is asked, can PPF account be renewed after maturity?

You have the option of extending your PPF account after it matures. You can extend it indefinitely in a block of five years. During the extended period, you don't necessarily have to make fresh deposits and you can even make partial withdrawals, however, there are rules governing the same.

What happens to PPF account if bank closes?

The PPF account is more secure than fixed deposit of saving bank account. Your money remains with the government of India. Even if your bank goes bust, Your PPF money would remain safe. It safe until the government goes bankrupt.

Can I have 2 PPF accounts?

The PPF rules allow the same individual to open another account in the name of a minor but it does not allow to hold more than one PPF account in one's own name. While only one PPF account is allowed to be opened in one's name, there could be a possibility that one ends up holding multiple PPF accounts.

Can husband deposit in wife PPF?

Yes, your wife can have a PPF account in her name and you can invest Rs 1.5 lakh on her behalf (apart from the Rs 1.5 lakh that you invest in your own PPF account). Under the income tax laws, income from money given to a spouse is clubbed with the income of the giver.

How much I will get in PPF after 15 years?

1,00,000 towards your PPF investment for 15 years at 8.0%, your maturity proceeds at the end of 15 years would be Rs. 31,17,276 .

Is PPF Tax Free 2020?

Public Provident Fund: Public Provident Fund or PPF contributions are eligible for tax deduction under Section 80C. Up to Rs 50,000 put in NPS is eligible for deduction. This is over and above the deduction claim of Rs 1.5 lakh per annum allowed under Section 80C.

When can PPF be withdrawn?

The minimum lock-in period of a Public Provident Fund(PPF) investment is 15 years. You can withdraw your entire corpus at the end of the 15th year.

What happens if you deposit more than 1.5 lakhs in PPF?

"Amount beyond Rs 1.5 lakh cannot be deposited in the PPF account as the transaction will be rejected at the time of transfer. Thus, the question of excess amount doesn't arise. Even if the depositor manages to deposit more than the limit, the transaction shall be subsequently rejected.

Which PPF account is best?

List of Banks Offering PPF Accounts
  • Allahabad Bank.
  • Corporation Bank.
  • Bank of Baroda.
  • HDFC Bank.
  • ICICI Bank.
  • Axis Bank.
  • Kotak Mahindra Bank.
  • State Bank of India and its subsidiaries which include the following –

What is new PPF rules?

A PPF account can be opened by parents. In case of a specially-abled child/adult, the PPF minor account can be opened by a guardian too. 2) Investment: A minimum of Rs 500 to a maximum of Rs 1.5 lakh can be invested by a PPF account holder. For PPF Minor accounts, investment can't go beyond Rs 1.5 lakh in a year.

How many times can you extend PPF?

You can extend your Public Provident Fund (PPF) account on maturity after 15 years by a block period of five years with or without making further contributions. You can extend it by a block of five years at a time as many times as you want as there is no limit on the number of times you can extend your PPF account.

Is Sukanya samriddhi better than PPF?

For PPF, the minimum deposit limit is Rs. 500 and the maximum is Rs. 1,50,000. For Sukanya Samriddhi Account, the minimum deposit limit is Rs.

Sukanya Samriddhi Account VS Public Provident Fund.

ParametersPublic Provident FundSukanya Samriddhi Account
Rate of Interest7.1% (Q3, Oct-Dec. 2020)7.6% (Q3, Oct-Dec. 2020)
Entry Age15 YearsBirth

Is PPF maturity amount taxable?

PPF provides income tax deduction under section 80C for the amount invested (subject to a limit of Rs 1.5 lakh a year). Interest received is exempt from tax and there is no tax on the amount received on maturity of the account.

What is the age limit for PPF account?

Ankur Choudhary, Co-founder& CIO, Goalwise.com replies: There is no upper age limit for opening a PPF account. The lock-in, however, remains at 15 years irrespective of the age at which you open the account. On maturity, the account can be extended by blocks of 5 years any number of times.

How is PPF maturity date calculated?

Its that simple. So if you open your PPF account on 4th Nov 2014, this date lies in the financial year 2014-2015 , then the financial year ends on 31st Mar, 2015 . So the 15 yrs will be calculated from this date (31st Mar, 2015) and the lock in year would be 2015+15 = 2030 .

Can PPF account extended?

Therefore, after completion of 15 years, PPF rules allow the account to be extended indefinitely in a block of five years. During the extended period, you may still make partial withdrawals and not necessarily make any contributions.

When should we file Form H for PPF extension?

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  1. Public Provident Fund (PPF) account holders must know about Form H when it comes to maturity.
  2. If the account holders want to continue to contribute funds after maturity, Form H must be submitted within one year from the date of maturity.

Is PPF withdrawal taxable?

The withdrawals from PPF, either partial or in whole are exempt from taxation under Section 80C of the Income Tax Act, 1961. That is, all deposits made under PPF are exempt from taxation. Additionally, the interest applicable and accumulated amount is also free from tax implications at the time of withdrawal.

Is PPF good investment option?

Many investors use PPF to meet the debt part of their investment portfolio. Along with its tax benefits, the most attractive benefit of PPF is, it offers one of the highest returns amongst fixed income options. It is also a long-term commitment investment, as it comes with a lock-in of 15 years.

How can I get maximum PPF benefit?

So as a PPF subscriber, if you wish to maximise your interest earnings, you should deposit your PPF contributions on or before the 5th of every month. The ideal option would be to invest Rs 1.5 lakh between April 1 and April 5 (total limit for investing in a year is Rs 1.5 lakh) at the start of the financial year.

Can I change PPF amount every year?

1. PPF contribution rules. While the minimum and the maximum amount that can be deposited in PPF remains the same, the minimum amount required to open PPF account has changed along with the number of times one can deposit contributions on the PPF account.

How is PPF calculated?

The PPF interest amount due to your account is calculated every month on the lowest balance at the credit of account from the close of the 5th day of the month and the end of the month.

Can PPF withdrawal online?

With the PPF account online facility, you can access your account information and request for loans and withdrawals can be submitted online.

Can we close PPF account after 2 years?

1) PPF accounts have a maturity period of 15 years. Currently, PPF laws allow premature closure of accounts only under specific conditions such as expenditure towards medical treatment. 2) Also, for premature closure, the PPF account has to complete at least five financial years, according to current rules.

What is the best time to invest in PPF?

Even though the interest on PPF deposits is calculated and becomes due every month, it is credited only at the end of the financial year. Hence, if you are also planning to invest in PPF in the new financial year 2020 to save tax or simply as an investment then you should do it before the 5th of April.

Can we transfer more than 1.5 lakh in PPF account?

"Amount beyond Rs 1.5 lakh cannot be deposited in the PPF account as the transaction will be rejected at the time of transfer. Thus, the question of excess amount doesn't arise. Even if the depositor manages to deposit more than the limit, the transaction shall be subsequently rejected.

Can I close my PPF account after 3 years?

In 2016, rules were amended and premature closure of PPF accounts was made possible by allowing premature closure of the PPF account anytime after five years of the opening of the account, in extreme circumstances like life threatening disease treatment of the account holder, spouse or dependent children or parents or

Can we stop PPF in between?

You cannot discontinue a Public Provident Fund (PPF) account. You have to deposit a minimum of Rs 500 in a PPF account in a financial year. You can close your PPF account on maturity after the completion of 15 financial years. However, you can make partial withdrawals from the PPF after six years.

Is it mandatory to deposit every year in PPF?

You can open a PPF account with just Rs 100 in any of the recognized banks. But it is mandatory to deposit at least make a minimum deposit of Rs 500 every year, too, if you fail, your account will be deactivated, and you'll then be required to pay Rs 50 as a penalty along with Rs 500 for that specific year.

Can I deposit lump sum in PPF?

Deposits in PPF account can be made in lump-sum or in maximum 12 installments. On the other hand, if you want to deposit some amount every month, remember to deposit on/before 5th of that month. This will help you to earn interest for that month.

What happens if PPF is not paid?

Penalty for not depositing minimum amount

In a PPF, if you do not invest a minimum amount of Rs 500 in a single financial year, your account will become inactive. You can revive the account by paying a penalty of Rs 50 (for every financial year your account has been inactive) and minimum deposit amount of Rs 500.

Is PPF safe in private banks?

While its interest varies, it remains one of the most secure investment and tax savings options due to its debt-based nature. Additionally, it has great ease of access due to the wide network of banks and Government post offices that support the PPF scheme.

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