Best PPF account for 2024?
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I want to open an PPF account for my son, so based on interest rates which bank provides me minimum balance requirements, withdrawal penalties and online banking facilities?
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The Indian government sets the PPF interest rate, which is now 7.1%.Mostly all the banks and post offices have PPF account facility and offer the same interest rate and have minimum yearly deposit of Rs. 500 and a maximum of Rs. 1.5 lakh.
The lock-in period for PPF account is 15 years. Partial withdrawal allowed after the 7th financial year. Different banks have different withdrawal penalties. But if you withdrawn before completion of 5 years then there is a penalty of 1% of amount withdrawn.
Banks provide the facility of premature closure which is allowed after 5 years for some major reasons like higher education or serious illness.
There are some banks which allow opening the PPF account online, but physical verification at the branch might be mandatory.