PPF Account: PPF is a popular scheme and is the choice of millions of people. But, if your account is closed, you can open it in this way.
Public Provident Fund (PPF) is a government-backed savings scheme. This scheme is guaranteed by the government, so it is 100 percent risk-free. This is why people invest in it on a large scale and it is a very popular scheme. A major feature of this scheme is that the investment made in PPF falls in the EEE category. Investment up to 1.5 lakh rupees per annum is tax-free. Apart from this, there is no income tax on the interest rate available on PPF and the amount of maturity of PPF.
But, if for some reason your PPF account is closed, then it is not that you cannot start it again. You can start it again easily. Here we are telling you about its entire process.
Account becomes inactive by not depositing money
Any depositor can keep his PPF account active by depositing 500 rupees every year. If this money is not deposited by the due date, then your account is inactive or closed.
Provide a written application
To reopen your closed PPF account, the account holder has to go to the bank or post office, where you have opened your PPF account. You can apply for this at any time over a period of 15 years.
The amount will have to be deposited with the fine
Investors have to deposit a minimum amount of 500 rupees every financial year. There is a minimum requirement to keep your account running. Along with this amount, you also have to pay a penalty of 50 rupees. But, keep in mind that this penalty amount is taken every financial year. For example, you have to pay a penalty for the number of years from which your account is active. With the application in the bank branch, you have to deposit a check for this entire amount.
What is important
After submitting your application, the bank or post office checks that your account has not been closed for more than 15 years. After thorough verification your PPF account is restored. However, if a period of 15 years has passed, the account cannot be resumed.
