PPF Rules: If you want to increase the account of Public Provident Fund, then you can easily do this work. We are giving you information about the rules related to it.
Public Provident Fund Rules: By investing in the Public Provident Fund, a scheme run by the government, you can get huge funds in the long run. The special thing about this scheme is that even after not working in the organized sector, investors can get the benefit of the provident fund scheme. Under this scheme, the government gives the benefit of compounding interest on the deposited amount. At the same time, account holders can invest from Rs 500 to Rs 1.5 lakh in a financial year. The maturity period of this scheme is 15 years. Many types of questions remain in the minds of people regarding the PPF scheme. One of them is to increase the maturity period in the scheme. If you also want to extend the account of PPF account, then we are telling you about the rules related to it.
Can PPF account be extended even after maturity?
According to PPF Rules, if a person opens a PPF account at the age of 20, then the maturity of his account will be at the age of 35. But if he wants to continue investing in this account even after maturity, he can do so. According to the rules, you can extend this account for 5-5 years. Even if you want to extend the PPF account, you get two options.
Grow account with investment
According to the report published in the Economic Times, the PPF account holder has two options to pursue the account after maturity. In one option you can extend the account with new investment amount. For this, you have to submit Form H along with an application. If you deposit money in the account without this form, then you will not get the benefit of any interest on the extra deposited amount. Along with this, you will not get the benefit of exemption under Section 80C of Income Tax.
Top up account without investment
At the same time, after maturity, another option is also available to further the account. In this, you can extend the account for 5 years, but you will not have to invest even a single rupee in this. According to the Economic Times, along with this, the account holder will get the facility to withdraw money from the account only once in a financial year. If you choose the option without investment, then after that you will not get the benefit of interest rate on any amount invested further.
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