PF or PPF which gives more interest Know what is the difference between these two

PF or PPF which gives more interest Know what is the difference between these two


PPF PF Interest Rate: Savings is an important part of people’s lives. Therefore, while working, people invest in such schemes which can prove to be good for them in future. For this, people also invest in government savings schemes. One such savings scheme is PPF which is popularly called Public Provident Fund.

The government started this savings scheme in the year 1968. Any Indian can invest. There is often a little confusion in people’s minds regarding PPF and PF. Which of these gives better returns? So let us know what is the difference between the two schemes and which one gives more interest.

What is the difference between PF and PPF?

Both PF and PPF are government savings schemes. In which PF is managed by EPFO. Only employed people can get the benefit of this scheme. Both the company and the employees contribute to this scheme. In this, 12% of the employee’s salary is deposited. Which can also be increased.

So PPF is also a government scheme. Which is used directly by the government. In which any Indian citizen can invest. The amount of investment in this ranges from Rs 500 to Rs 1,50,000 lakh. The beneficiary of this scheme himself invests in this scheme. If any minor is taking benefit of this scheme. So the responsibility of investment rests on his parents.

Who pays more interest?

Both PF and PPF are government schemes. But the interest rates of both are different. The money that EPFO ​​collects every year. Invests 15% of it in equity. So they are invested in government bonds. Its interest rate is based on the market situation. The interest rate of Philahal PF is 8.15%. Whereas if we talk about the interest rate of PPF, it is 7.1%.

Also read: What will become expensive due to increase in the price of cocoa, how much impact will it have on your gifts and parties etc.?



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