PPF Scheme News: If you have also invested in PPF Account, then this is useful news for you. The date of April 5 is very important for those investing in Public Provident Fund. If you invest till April 5, you may suffer a loss of lakhs.

In such a situation, if you are depositing the money in lump sum, then take special care that you deposit Rs 1.5 lakh before the 5th. Let us explain to you what the complete calculation is-

Interest in PPF account is calculated on the 5th of every month. If PPF investors are making lump sum payment for the financial year, then to earn more, they should deposit this money before April 5. With this, investors will get the benefit of interest for the entire month.

You will get interest of Rs 18.18 lakh on investment before 5th.

At present, PPF is getting 7.1% interest annually for the quarter April-June 2024. This interest rate remains for the tenure of 15 years of PPF account. A person will get interest of Rs 18.18 lakh by depositing Rs 1.5 lakh every year on or before April 5 for the next 15 years.

Loss of Rs 2.69 lakh on investment after 5th

At the same time, if the PPF account holder deposits after April 5, he will get interest of Rs 15.84 lakh. Therefore, if the lump sum amount is invested after April 5, the PPF account holder will suffer a loss of Rs 2.69 lakh over a period of 15 years.

There will be no interest on this money in April

Suppose a PPF account holder deposits money in the PPF account on 15th April. As per PPF account rules, its monthly interest will be calculated on the lowest balance between April 5 and April 30. You will not get the benefit of interest in the month of April on the amount deposited on 15th April.

Currently getting 7.1 percent interest

Let us tell you that at present interest is being given in PPF at the rate of 7.1 percent. Whatever minimum balance remains between the 5th of the month and the last date of the month, interest is added on it in the same month. Whatever money you deposit after the 5th, you will get interest on it from the next month.

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The post PPF Scheme interest rate : Those who invest money in PPF will get additional benefit of Rs 2.69 lakh, note the date of 5th April first appeared on Rightsofemployees.com.

By the end of June 2023, the government can change the interest rates of this scheme. It is worth noting that the government reviews the interest rates of this savings scheme every three months. In such a situation, a change is possible by the end of this month.

Interest rates were reduced on 1 April 2022

The government last increased the Public Provident Fund Scheme in the year 2020. After this, on April 1, 2022, the interest rates of PPF were reduced from 7.9 percent to 7.1 percent. Since then no changes have been made in this scheme.

Why is the government not increasing the interest rates?

Since then, no change has been made in the interest rates of PPF by the Central Government. This time PPF account holders are hopeful that by the end of June 2023, the government may increase the interest rates. According to media reports, after the tax return, the amount invested under this scheme gets the benefit of interest up to 10.32 percent. At the same time, it is already getting more interest than other schemes.

Where can I open an account

You can start investing in the Public Provident Fund Scheme with a minimum of Rs 500. You can open it from your nearest post office or bank anywhere. From January 1, 2023 onwards, the government is giving the benefit of interest at the rate of 7.1 per cent in this scheme and the maturity of the PPF scheme is in 15 years.

Can also take advantage of loan

You also get the benefit of tax exemption in PPF scheme. In this scheme, you can take advantage of tax exemption under section 80C. The amount earned through interest in this scheme is also tax free. After completion of 5 years in this scheme, you can also apply for a loan.

The post PPF Scheme Interest Rate: The interest of PPF scheme will increase again in the month of June. first appeared on Rightsofemployees.com.