Que.1: Can PPF account be extended after 15 years and is there any time limit?
Ans: Yes. The account can be extended for one or more blocks of five years by giving option in form ‘H’within one year from the date of maturity of the account.
Que.2: Whether the PPF Account can be continued without further deposits after maturity?
Ans: Yes. The depositor can continue the account without deposits after completion of maturity /extended block period.
Que.3: Can a PPF account be opened by HUF ?
Ans : A PPF account is not allowed to be opened by HUF w.e.f. 13.5.2005. However, all the accounts which were opened earlier will continue to earn interest till their maturity.
Que.4: A PPF account where no subscription has been made in a year is treated as discontinued?
Ans : A subscriber can deposit the minimum subscription of Rs.500/- + default fee of Rs.50/- for each year of default subject to the condition that the total deposit during the year in which defaulted subscription is deposited should not exceed the maximum deposit ceiling of Rs.1,50,000/- and it is not treated as discontinued.
Que.5: Whether a person is entitled for interest on the deposits made in excess of the prescribed limit i.e. Rs.70,000/- in a PPF account ?
Ans : Accountholder is not entitled for interest on any amount deposited in excess of Rs.1,50,000/- in a financial year in the PPF account.
Que.6: If a person opens PPF account in the name of individual and also in the name of a minor(s), how the limit of deposit is determined?
Ans : The maximum amount of Rs.1,50,000/- can be deposited by a person in a financial year in a PPF account opened in his name and in the name(s) of a minor(s) taken together.
Que.7: Whether the investment in N.S.C., KVP, POMIS, POTD earns post maturity interest?
Ans : The post maturity interest on all the above schemes will be paid up to maximum period of two years from the date of maturity at the POSA rate applicable from time to time.
Que.8: If the investment is made in NS products by cheque, what is the date of deposit ?
Ans : In case of deposit by cheque in the NS products, except PPF and R.D., the date of deposit will be the date of realization of cheque. However, in the case of PPF and R.D., the date of deposit will be treated as date of presentation of cheque.