If you're looking to invest your money in a safe place to build a substantial fund for the future, the Post Office Public Provident Fund (PPF) scheme is a powerful option for you. This scheme not only secures your money but also provides tax savings and offers good interest rates.
Low Investment, Big Fund
The most notable feature of this scheme is that you can start with a very small amount. If you save just ₹411 per day, this amounts to ₹12,500 per month. Over a year, this totals ₹1.5 lakh. If you deposit this amount into a PPF account for 15 years, you can accumulate a substantial fund of approximately ₹43.60 lakh.
Interest Rate is 7.9 Percent Annually
Currently, the government is offering an annual interest rate of 7.9 percent on the Post Office PPF scheme. This interest is revised by the government every three months, but PPF has consistently offered higher interest rates than bank FDs. This is why this scheme remains a popular choice for long-term investment.
Account Opens for 15 Years
The duration of a PPF account is 15 years, but if needed, it can be extended in blocks of 5 years. That is, you can take an extension of 5 years at a time. If you do not want to close this account even after 15 years, it can be kept active without any hindrance.
Money is Completely Safe
The PPF scheme is guaranteed by the government. This means your money is completely safe. It is not affected by market fluctuations, and there is no risk involved. This is why this scheme is considered ideal for small investors.
You Can Invest in Several Ways
In this scheme, you can deposit the entire amount once a year according to your convenience, or it is also possible to deposit money in 12 installments. That is, you can also invest in it every month. This helps you maintain a saving habit and build a large fund in the long term.
Online Investment Facility is Also Available
Now, you don't need to go to the post office to deposit money in PPF. You can invest in your account from home. This has become very easy through India Post Payments Bank (IPPB) and DakPay app. You just have to link the IPPB account to your bank account. After this, select the PPF option in the app and complete the transaction by entering your account number and customer ID.
Even Small Investors Can Become Millionaires
The PPF scheme is no less than a boon, especially for the middle class and small investors. For those who can save a fixed amount every month, this scheme can create a fund of crores in the long term. This is possible only with discipline and regularity.
Account Can Also Be Opened in the Name of Children
PPF accounts can be opened not only for adults but also in the name of children. Parents or guardians can open this account in the name of their minor children and create a b financial base for their future.
PPF Account Opens in Every Post Office
A PPF account can be opened by visiting any post office in the country. For this, a form has to be filled along with Aadhaar card, PAN card and two passport size photographs. Once the account is opened, it can also be operated online.
Great Option for Retirement Planning
For those who want to remain financially independent after retirement, PPF is considered the most reliable scheme. If you invest in it continuously for 15 years, a substantial fund can be created without any risk, which will be useful in your old age.
