What is Public Provident Fund

The Public Provident Fund (PPF) Scheme is a long-term savings and investment option offered by the Government of India. It is especially popular for its tax benefits, safety, and guaranteed returns.

Key Features of PPF:Who can invest: Any Indian citizen (resident individuals). NRIs and HUFs are not eligible.

Minimum investment: ₹500 per year

Maximum investment: ₹1.5 lakh per financial year

Tenure: 15 years (can be extended in blocks of 5 years)

Interest rate: Set by the government every quarter. As of April–June 2025, it’s 7.1% per annum (compounded yearly)

Tax benefits: Investments are eligible for deduction under Section 80C of the Income Tax Act

Interest earned and maturity amount are completely tax-free

It’s under the EEE category (Exempt-Exempt-Exempt)

Withdrawals: Partial withdrawal: Allowed after 7 Years

loan facility: Available from the 3rd to 6th year

Full withdrawal: Only after 15 years (maturity)

Where to open: Any major bank (SBI, HDFC, ICICI, etc.) or post officeIt’s ideal for people looking for a safe, long-term, tax-saving investment with guaranteed returns.