Rules Changes in PPF: Many people in India invest in different schemes. Many of them also invest in PPF i.e. Public Provident Fund. PPF is a long term government scheme. You also get good returns in this. Your PPF account matures in 15 years. If you want to open an account in PPF for investment, then this news can prove to be very important for you.
Because the Government of India has changed the rules related to PPF which will come into effect from October 1. The government had issued a circular regarding these changes last month. Which rules of PPF have been changed and how will it affect PPF account holders. Let us tell you all the information related to this.
Minor will get interest after 18 years
The government has changed the rules of PPF and decided that now the money deposited in a PPF account opened in the name of a minor will get interest equal to that of a post office savings account. Till the minor turns 18 years of age, the interest rate of PPF will not be applicable on the account. Along with this, the maturity date of the PF account will start from the date the minor attains majority.
Zero interest on NRI accounts without residency details
Under the changed rules of PPF, new guidelines have been issued for NRI’s PPF account. Currently, NRIs do not have to provide their residency details for a PF account. Despite this, they are given the same interest as the post office savings account.
But now this will change, after October 1, 2024, the interest rate in such accounts will become zero. That is why if any NRI has a PPF account, then first he should know about this rule and complete all the necessary actions.
Interest will be available in only one PPF account
If a person has more than one PPF account, then he will be given PPF interest only in the primary account. That too, interest will be given only on the money deposited within a fixed limit. Money more than that will be returned with zero interest.