PPF Tips: Earnings can be continued even after PPF maturity, know how...

The Public Provident Fund (PPF) is considered a safe and tax-free investment, ideal for retirement or children's education. However, many people assume that earnings will stop when their PPF account reaches maturity (after 15 years). However, this isn't true. Earnings from PPF can continue even after maturity. With proper planning, your money will continue to grow. So, let's learn three easy ways to earn money after PPF maturity.

What is PPF Maturity?

The PPF account matures 15 years after opening, meaning you can withdraw the entire amount. However, you can extend the account if you wish. Yes, the PPF interest rate in 2025 is 7.1%, which is tax-free. Don't close the account even after maturity, as there are still earning options.

Method 1: Extend the account (without withdrawals)
What to do:
After maturity, extend the account for 5 years each year and renew every 5 years.
How it works:

The money remains in the account and continues to earn 7.1% interest, and you can continue making deposits.
Benefit:
The entire amount grows tax-free, and the returns are secure.

Method 2: Take a loan from the extended account
What to do:
You can take a loan of up to 50% from the extended PPF account, with an interest rate of 1% per annum.
How it works:
You can get a loan in case of an emergency, but the principal continues to grow.
Benefit:
The money is safe, and you can avail of a loan at a lower interest rate.

Method 3: Open a new PPF account upon maturity
What to do:
Open a new PPF account upon maturity and withdraw the money from the old one to the new one.
How does it work?:
Start a new 15-year account, earning 7.1% interest.

Benefits:
Earnings continue, tax-free.

Understand its benefits and precautions.
This scheme offers investors confidence with tax-free and secure returns. It also offers flexibility, but some precautions are necessary. There is a 15-year lock-in period, and the decision to extend should be made carefully. It's important to consider continuing your earnings after PPF maturity through an extension, a loan, or a new account. (Note: This article is for informational purposes only and should not be construed as investment advice. Consult a financial advisor for investment advice.)

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