•  Eligibility- Individuals, individuals on behalf of minor

•  Min- Rs 500 per annum in multiples of 5

•  Max- Rs 1,00,000/- per annum (wef from : 1^st Dec,2011)

•  Duration- 15 years, can be extended for one or more blocks of 5 years.

•  Account can be discontinued but the repayment of subscription and            interest will happen only after 15 years.

•  Rate of Interest – 8.6% pa, credited in the account on the 31st of march    and calculated on the minimum balance between 5th Day and the end of    the month.

•  Loans – During the third to sixth year the account holder can avail the         facility of loan of an amount not exceeding 25% of the balance standing     to his credit at the end of the second financial year immediately                 preceding the year of loan application. The principal amount of loan           under the PPF scheme is required to be paid either in lump sum or in         monthly installments within a period of 36 months. After the principal         amount is repaid the interest is to be paid in not more than 2 monthly       installments at the rate of 1% per annum calculated for the loan period.     If the loan is not paid in 36 months then it would attract an interest rate     of 6% pa. Withdrawals – is possible from the PPF account, one                   withdrawal is permitted per year of an amount not exceeding 50% of the     balance standing to his credit at the end of the fourth financial year

•  Clause of – “out of Tax payers income” done away with.

•  Renewal of the PPF account- As per rule 9 (3) of the PPF scheme, a PPF       account can be closed by the subscriber at the expiry of 15 years. Rule 9     (3A) provides that on the expiry of 15 year period the subscriber can           extend the PPF account for a further block of 5 years

•  Rule 9 (3B) states that the subscriber shall be eligible to make one            withdrawal every year subject to the condition that total withdrawals during    the 5 year block shall not exceed 60% of the balance at the                      commencement of the block period.

•  NRI’s , HUF’s cannot invest in PPF A/c’s. However if a resident                    subsequently becomes an NRI, he can continue to do the investments        until the maturity period on a Non- repatriable basis.

•  Investments on behalf of minor- Can also be done (with a limit of               1,00,000). Since there’s no gift tax, it can be used for their education         and this income will not be clubbed with the income of the subscriber.

•  Its free from any attachment by a court but is subject to attach under the    order of IT authorities

•  PPF account can be opened only in an individual name and not in joint         name.

•  One Person cannot open more than ONE PPF Account. - If, at any point,       it is detected that you have two accounts, the second account you have       opened will be closed, and you will be refunded only the principal               amount, not the interest.