PPF [PUBLIC PROVIDENT FUND]

OF ANDHRA BANK

Presented By:
SUMIT KUMAR GUPTA

CONTENTS

INTRODUCTION
FEATURES

WHO SHOULD INVEST?

RULES
ADVANTAGES

DISADVANTAGES

INTRODUCTION
STATURORY SCHEME OF THE CENTRAL GOVERNMENT
OF INDIA
THE SCHEME IS FOR 15 YEARS
LONG TERM INVESTMENT OPTION THAT SUITS MOSTLY
ALL INVESTORS
HIGH ON SAFETY
COMES WITH TAX BENEFITS,LOAN OPTIONS AND A
LOW MAINTENANCE COST

FEATURES
EXTREMELY LOW RISK

TAX SAVING
FLEXIBILITY OF PAYMENTS
HIGH INTREST RATES

SAFETY OF CAPITAL

WHO SHOULD INVEST ?

YOU SHOULD CONSIDER INVESTING IN PPF IF :YOU WANT A STABLE CORPUS FOR RETIREMENT AND
ARE RISK-AVERSE i.e. DONT WANT TO INVEST IN EQUITY
YOU WANT TAX EXEMPTIONS UNDER SECTION 80C

YOU ARE A SALARIED, NON-SALARIED/BUSINESS

PERSON

PPF
[UPDATED AS PER RULES]
INTEREST 8.7% p.a. (COMPOUNDED ANNUALLY)
MINIMUM AMOUNT : RS.5OO & MAXIMUM Rs.1,00,000 IN
A YEAR.
A PPF A/C CAN BE OPENED ANYTIME THROUGH OUT
THE YEAR
NOMINATION CAN BE DONE AT THE TIME OF OPENING
THE A/C OR DURING THE TENOR OF THE ACCOUNT
ADDITIONAL BLOCK OF 5 YRS CAN BE EXCERCISED
AFTER MATURITY (15 YRS)

ADVANTAGES
AMOUNT DEPOSITED IN A YEAR CAN BE CONSIDER AS
A TAX SAVING INVESTMENT

INTREST ON PPF IS ALSO CONSIDER AS A NON

TAXABLE INCOME
DEPOSIT IN PPF IS EXEMPTED

CAN NOMINATE ANYBODY TO GET THE BALANCE PPF

AMOUNT AFTER DEATH
CAN EXTEND THE PPF A/C FOR A BOLCK YR. OF 5 YRS
WITHOUT ANY FUTHER DEPOSITS

DISADVANTAGES
AMOUNT DEPOSITED IN PPF HAS A LOCK IN PERIOD OF
15 YRS, BUT CAN WITHDRAW 50% OF THE AVAILABLE
BALANCE PRECEEDING 3YRS FROM THE 7TH YR ONWARDS
IN THE EVENT OF DEATH OF THE DEPOSITOR,THE LEGAL
HIRES CANNOT CONTINUE THE A/C

CANNOT BE OPENED BY GRAND PARENTS FOR THEIR

GRAND CHILDREN

RECOMMENDATION
EXCELLENT WAY TO GET TAX EXEMPTIONS {UNDER SECTION 80C}
INTEREST RATE IS HIGH COMPARED TO OTHER DEBT
INSTRUMENTS LIKE FIXED DEPOSITS {BECAUSE THE INTREST
EARNED BY YOU WILL BE TAX FREE}
NEGLIGIBLE RISK OF DEFAULT {BACKED BY GOVT. OF INDIA}
EXCELLENT TOOL FOR RETIREMENT PLANNING {ESPECIALLY FOR
NON-SALARIED PERSON}

OPENING FORM OF PPF

SPECIAL THANKS TO:

D. AMARNATH
(Senior Branch Manager)
Sect.-8, Kharghar Branch
Contact No. : 9819093142