Public Provident Fund (PPF)
Open a Public Provident Fund (PPF) account at a post office or any bank branch (or online via net banking) for a 15-year tax-free savings scheme with sovereign-guaranteed, government-set interest.
Required Documents
Step-by-Step Process
Choose Post Office or Bank
Visit your nearest post office or any authorized bank branch, or use your existing net banking if the bank offers online PPF opening.
Fill the Account Opening Form
Complete Form A with your personal details, nominee information, and initial deposit amount.
Submit KYC Documents
Submit identity proof, address proof, and a passport-size photograph for verification.
Make the Initial Deposit
Deposit a minimum of Rs 500 to open the account; you can invest up to Rs 1.5 lakh per financial year in lump sum or up to 12 installments.
Receive Passbook
You'll receive a PPF passbook to track deposits, interest credited annually, and maturity value over the 15-year tenure.
Pro Tips & Warnings
- PPF falls under the EEE (Exempt-Exempt-Exempt) tax category - your contribution, interest earned, and maturity amount are all tax-free.
- You must deposit at least Rs 500 every financial year to keep the account active; missing this attracts a small penalty to reactivate.
- The 15-year tenure can be extended in blocks of 5 years indefinitely after maturity, with or without further contributions, keeping the tax-free growth going.