PPF Rules- A small investment can make you a millionaire, know the complete rule

PPF Rules- A small investment can make you a millionaire, know the complete rule

Are you also thinking of investing a part of your earnings in a scheme that gives you good returns, then Public Provident Fund (PPF) is a great investment option for you, who want to secure their financial future by making small savings. Currently, the government offers an interest rate of 7.1% on PPF deposits, making it a competitive option among fixed-income investments.

One of the most attractive features of the PPF scheme is its accessibility. Any Indian citizen can open a PPF account with an initial deposit of Rs 100. To keep the account active, a minimum deposit of Rs 500 is mandatory annually. Depositors can invest up to Rs 1.5 lakh per year with a lock-in period of 15 years, which makes it a long-term commitment, but it can provide substantial returns.

PPF accounts can be easily opened in any bank or post office. For those who invest wisely, PPF offers a significant opportunity to accumulate wealth. Notably, to get maximum returns, investors should deposit their contributions by the 5th of each month to earn interest for the entire month.

Interest is calculated on both the PPF maturity amount and the investments made, which adds to the attractiveness of this scheme. Additionally, PPF investments qualify for income tax exemption under Section 80C of the Income Tax Act, providing further financial benefits.