Benefits of PPF scheme

It is a government backed scheme with a relatively low-risk, long-term investment that offers great returns after maturity.

The minimum investment under this scheme is Rs 500 per year and maximum is Rs 1.5 lakh a year.

The invested amount (up to Rs 1.5 lakh) and matured money are tax free. This makes it a most tax efficient investment.

It comes with a 15-year lock-in period, but it can be extended in blocks of 5 years as per your wish.

A PPF account holder is eligible to avail of a loan after the third financial year.