Is Opening Multiple PPF Accounts Under the Same Name Allowed? Find Out Here

Is Opening Multiple PPF Accounts Under the Same Name Allowed? Find Out Here

The Public Provident Fund (PPF) is a popular investment scheme for individuals looking to invest for the long term while minimizing risk. Managed by the government, it offers guaranteed returns through monthly deposits with compounded interest.

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Is It Possible to Open More Than One PPF Account Under the Same Name? No, individuals are only permitted to open a single PPF account in their name.

How Can You Open a PPF Account?

Activating a PPF account online is a straightforward process through the preferred bank’s or post office’s portal. The following documents are required for PPF account activation:

  1. Identification documents such as Aadhaar, voter ID, driver’s license, etc.
  2. PAN Card
  3. Proof of address
  4. Nominee declaration form
  5. Passport-sized photograph

PPF Tax Benefits:

Under Section 80C of the Income Tax Act of 1961, the entire investment amount in PPF qualifies for tax exemption, subject to a maximum investment limit of Rs. 1.5 lakh per fiscal year. Additionally, the interest earned on PPF investments is tax-free.

Loan Against PPF Account: According to a report by Grow, individuals can avail a loan between the third and fifth years of holding their PPF account. The loan amount can be a maximum of 25% of the balance at the end of the second year preceding the loan application year. A second loan can be availed before the sixth year if the initial loan is fully repaid.

What Is the Minimum and Maximum Investment in PPF? The minimum investment amount required to initiate a PPF account is Rs. 500 per annum, while the maximum limit extends to Rs. 1,50,000 per annum.

Also Read

Deciphering PPF vs EPF: Can Employees Manage Both Provident Fund Accounts?

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