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Reasons to Check Your PPF Account Balance

Investors can get some crucial information when they conduct a routine check of their PPF balance. Some of them include:

  • Regularly checking the balance in a PPF account allows investors to learn about the interest earned on their investment each year. PPF interest rate is prescribed by the Finance Ministry and is subject to change quarterly, every year. Thus, the interest earned on the deposit could possibly change throughout the investment tenure. This interest earned is credited to an individual’s PPF account after each financial year.
  • Periodically checking the PPF balance allows individuals to gauge the corpus they will acquire at the time of their account’s maturity.
  • Partial withdrawal of funds is allowed from PPF accounts after the 5th year of investment. Thus, if an individual chooses to withdraw funds from the PPF partially after the completion of the requisite tenure, they will have a clear idea about how much they can withdraw, by keeping track of the account balance.
  • Individuals with PPF accounts can choose to avail a collateral-free loan against the available balance to cover any financial liability. This loan is available to the account holder between the 3rd and 5th year of its tenure. Individuals are eligible to avail an amount equivalent to 25% of the available balance in the 2nd year, which precedes the loan application year. To know the quantum of advance they can avail as a loan, individuals will need to keep track of their PPF account balance.

Ways of Checking PPF Account Balance

Individuals can check their PPF account balance by online and offline modes. They can also check their account balance by visiting the respective post office. For individuals living in remote areas of the country with limited access to banks and associated facilities can avail the services of their post office to open PPF accounts.

Checking PPF Account Balance Online - Using a bank’s online facility is the most convenient way to check one’s account balance. These online facilities are available 24×7 and have streamlined the process of checking account balance to make it more efficient.

  • One should ensure that the internet banking facilities for their linked bank account are activated.
  • They will then have to log in to the PPF account portal of their respective bank using their username and password.
  • After logging in, they will find the details related to their PPF account and savings accounts.
  • Individuals need to select the PPF account tab and can easily check their account balance from there.

Checking PPF Account Balance Offline – In order to check their PPF account status offline, individuals must visit the nearest branch of the bank through which they have opened their account. Here are some of the details to be considered before proceeding with the offline balance check:

  • At the time of opening a PPF account with any bank, investors are provided with a passbook. This passbook has all the details regarding one’s PPF account number, PPF account balance, bank branch details, account transactions, etc.
  • An investor can get his or her passbook updated from their nearest bank branch while enquiring about their account balance.
  • Once the passbook is updated, it will reflect the details of the individual’s PPF account transactions and his or her current account balance.

Checking PPF Account Balance via Post Office Individuals residing in remote areas of the country without proper banking facilities can check their PPF account balance from the post office with which they have opened their account. The process of checking the account balance from the post office also includes updating the passbook which they have been provided with.

About PPF Account Balance

Public Provident Fund or PPF is a government-backed long-term investment scheme that comes with a maturity of 15 years. It is considered a popular investment alternative that is preferred by millions of Indians due to its risk-free nature and the ability to generate tax-free returns. A Public Provident Fund account can be opened with nationalised banks like Punjab National Bank, SBI, etc. or with an individual’s local Post Office.

Today, private banks like Axis Bank, HDFC, ICICI, etc. have also facilitated opening PPF accounts with them. Individuals can avail benefits offered by this fund by submitting the application form with requisite details at any of the above-mentioned institutions, along with the required documents. Due to the long-term nature of this investment, it is important for you to track the PPF account balance periodically. You can check your PPF balance online and offline.

FAQs

1. Is it possible to open a PPF account on behalf of a minor?

Yes, parents and legal guardians can open a PPF account on behalf of a minor. However, relevant documents must be submitted at the time of opening the account.

2. Can I close my PPF account before maturity?

No, it is not possible to close the PPF account before it matures. However, if the account holder dies before the account matures, it can be closed. If the account holder is unable to make payments due to medical or financial troubles for a period of 5 years, premature closure of the account is considered.

3. Can I avail a loan against the PPF account?

Individuals will be able to avail a loan between the third and sixth financial year, after opening the account.

4. Is it mandatory to submit Aadhaar details to open a PPF account?

Submitting Aadhaar details is not mandatory to open a PPF account.

5. What is the PPF lock-in period?

Investments made to a PPF account have a lock-in period of 15 years. However, individuals can make a partial withdrawal from the PPF account after 5 years from the date of opening the account.

6. How can I build a good corpus in my PPF account?

To increase your PPF account balance, invest regularly. You can opt for the auto-debit facility to regularly transfer funds from your savings account to your PPF account. Deposits should be made at the beginning of the financial year to build a good corpus through interest earnings.

End Note

Many investors contribute to the PPF scheme every year but very few make it a habit to check their PPF account balance often. Public Provident Fund, a government offered savings scheme, offers tax benefits and good returns on investments. It is a long-term savings scheme hence it is imperative that you check your PPF account balance on a monthly basis.

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