How to Revive Inactive PPF Account: In the era of inflation, everyone wants to earn money by investing. Although there are many investment options, but PPF is a safe and convenient option for investment.
In the era of inflation, everyone wants to earn money by investing. Although there are many investment options, but PPF is a safe and convenient option for investment. If you have invested in PPF and your account is closed or inactive due to any reason. So you don’t need to worry. Because the investment made by you is completely safe and with this you can easily get your account started again.
Let us tell you that a person can open only one PPF account. Investing in PPF is also very important in terms of tax exemption. In this, the benefit of tax deduction is available on investment. Apart from this, maturity amount and interest income also become tax free. Let us now tell you how you can get your closed PPF account started again. First of all you should understand how to invest in PPF account.
If you want to invest in PPF, then you can easily open a PPF account by going to the nearest post office or bank. For this you have to fill a form. In this you have to invest a minimum of Rs 500 in a year and if you do not meet the minimum investment condition then your PPF account becomes inactive. The government fixes the interest rate on PPF at the beginning of every quarter. Now this rate is 7.10 percent. Interest is paid on 31st March every year.
Why PPF account becomes inactive
If the PPF account holder does not deposit or forgets to deposit the minimum amount in the account in a financial year, then this account gets closed. In PPF, only after the maturity period is over after 15 years, the subscriber is given his amount along with interest. This interest is added to the balance every year.
And the same thing applies to your account even if your PPF account gets closed. The government fixes the interest rates from time to time. A PPF account closed before the date of maturity cannot be closed permanently. However, if one wants to activate it, it can be done any time before the date of maturity. The date of maturity is mentioned in the PPF passbook.
this is the way to start it again
To open a closed PPF account, you have to submit a written application to the post office or bank where it is open. A closed PPF account can be revived during maturity. For this, an annual fee of Rs 50 will have to be paid along with Rs 500. This fee has to be paid on an annual basis. It is very important to know here that the balance in a closed account cannot be revived by the account holder before maturity.