Investing in Public Provident Fund is considered a better and safer option. In this, there is no tax exemption on investment, as well as no tax is to be paid on the maturity amount after 15 years. But there are many other benefits of this scheme, about which people know very little. Let us tell you, people investing in PPF can increase the investment period by 5-5 years after every five years after 15 years. That is, investing in it can be continued even after 15 years.Also Read: Train ticket booking made easy with IRCTC iPay, refund will be given immediately on cancellation, know the way here
It is necessary to give information to the bank or post office
Financial experts say that if you want to continue investing in your PPF account after the maturity period of 15 years, then you will have to inform the bank or post office for this. Wherever your PPF account is located, a Form H has to be filled and submitted. Only after this you will get interest on your investment, otherwise not. If a PPF account holder decides to continue his PPF account for a period of five years with fresh contributions, he can withdraw up to 60% of the account balance at the beginning of each extended period.Also Read: Aadhaar Services: A great feature of UIDAI! These services related to Aadhar will be available without internet through just one SMS.
Best way to accumulate retirement funds
Financial experts say that PPF is a better long-term investment vehicle. Through this, management of retirement fund can be done easily. If a person deposits Rs 1 lakh annually and gets an average interest rate of 7.5 per cent, then after 15 years he will easily accumulate Rs 31 lakh. At the same rate of interest, he would double that amount in less than 10 years.
