Quick Answer: Is PPF Interest Rate Same In All Banks?

What is the PPF interest rate for 2020 21?

7.10 per centAccording to the circular, in the second quarter of FY 2020-21, the Public Provident Fund (PPF) will continue to earn 7.10 per cent.

The Senior Citizens Savings Scheme (SCSS) will continue to earn 7.40 per cent and post office time deposits will fetch 5.5-6.7 per cent..

Which is better PPF or FD?

Both FDs and PPF offer tax benefits under Section 80C of the Income Tax Act, but PPF offers more benefits. For FDs, after 5 years of lock-in, the amount invested in FDs can be claimed for deduction up to a limit of ₹1.5 lakhs. … On the other hand, PPF falls under Exempt-Exempt-Exempt (EEE) status.

Can we close PPF account after 5 years?

You can withdraw from the PPF account after it matures 15 years from account opening. You can also make partial withdrawals, after the end of 6th financial year from account opening. Finally, you can go for premature closure after 5 financial years, on specific medical and educational grounds.

Which bank is best for PPF account?

List of Banks Offering PPF AccountsAllahabad Bank.Corporation Bank.Bank of Baroda.HDFC Bank.ICICI Bank.Axis Bank.Kotak Mahindra Bank.State Bank of India and its subsidiaries which include the following –

Does PPF interest rate change from bank to bank?

The interest rate offered on the PPF is not fixed but it is linked to the 10-year government bond yield. The rate doesn’t change on a day-to-day basis but is fixed at the beginning of a quarter based on the average bond yield in the previous three months.

Is PPF better than LIC?

The Public Provident Fund tends to provide a far superior rate of returns compared to an LIC policy like Jeevan Anand. What you should do is invest in the PPF and take a term policy online, which is cheaper and faster. In the term policy you do not get your money back, but, you are provided with solid insurance.

What is current PPF rate?

7.1% per annumThe rate of interest at present is 7.1% per annum (as of April 2020). Interest received is tax free. The entire balance can be withdrawn on maturity. The maximum amount which can be deposited every year is ₹150,000 in an account at present.

Can husband and wife both have PPF account?

First of all, both husband and wife may open PPF accounts in their name only if both of them have their own sources of income. So, a working husband cannot open a PPF account in the name of his wife.

Can I open both PPF and Sukanya samriddhi account?

You can open both Sukanya Samriddhi Account and PPF account for your minor child.

What happens to PPF account after 15 years?

After the completion of 15 years, the account holder has to intimate the post office within one year whether to continue with deposits or not. After a year, one will have to withdraw full balance or extend the account without fresh contributions.

Is PPF interest compounded monthly?

For the quarter ending March 31, 2020, the interest rate offered is 7.9 per cent per annum (compounded yearly). According to PPF rules, the interest is calculated on a monthly basis but it is credited into the account at the end of financial year on March 31.

Can I have 2 PPF accounts?

The PPF rules allow the same individual to open another account in the name of a minor but it does not allow to hold more than one PPF account in one’s own name. While only one PPF account is allowed to be opened in one’s name, there could be a possibility that one ends up holding multiple PPF accounts.