Investing ₹30,000 annually in the State Bank of India’s (SBI) Public Provident Fund (PPF) account can be a smart and secure way to build long-term wealth. Due to the power of compound interest, even a small, consistent investment can grow significantly over time. The PPF scheme comes with a mandatory lock-in period of 15 years, but investors can extend it in blocks of 5 years indefinitely.
As of the latest available data, the PPF interest rate is 7.1% per annum, compounded annually. This makes it one of the best low-risk investment options in India.
SBI PPF Yojana
| Feature | Details |
|---|---|
| Investment Amount | ₹30,000 per year |
| PPF Interest Rate | 7.1% per annum (compounded annually) |
| Minimum Lock-in Period | 15 years |
| Extension Option | 5-year blocks (optional) |
| Maturity Amount (15 years) | ~₹9,18,207 |
| Maturity Amount (20 years) | ~₹14,02,769 |
| Maturity Amount (25 years) | ~₹20,27,232 |
| Maturity Amount (30 years) | ~₹28,09,576 |
| Official PPF Details | SBI PPF Official Website |
Also Check: Post Office में आज करेंगे ₹5,50,000 जमा तो 5 साल बाद कुल कितना फंड होगा तैयार? जानें डिटेल
SBI PPF Yojana: How Your Investment Grows Over Time
15-Year Investment Period:
- Total Investment: ₹30,000 x 15 years = ₹4,50,000
- Maturity Amount: ~₹9,18,207
20-Year Investment Period:
- Total Investment: ₹30,000 x 20 years = ₹6,00,000
- Maturity Amount: ~₹14,02,769
25-Year Investment Period:
- Total Investment: ₹30,000 x 25 years = ₹7,50,000
- Maturity Amount: ~₹20,27,232
30-Year Investment Period:
- Total Investment: ₹30,000 x 30 years = ₹9,00,000
- Maturity Amount: ~₹28,09,576
SBI PPF Yojana: How to Open an SBI PPF Account?
Opening a PPF account with SBI is simple and can be done both online and offline.
Online Process:
- Log in to SBI Net Banking.
- Navigate to the PPF Account section.
- Fill in the required details and upload necessary documents.
- Make an initial deposit (minimum ₹500, maximum ₹1.5 lakh per year).
- Your account will be activated, and you will receive an account number.
Offline Process:
- Visit your nearest SBI branch.
- Fill out the PPF account opening form.
- Submit required KYC documents (Aadhaar, PAN, Address Proof, etc.).
- Deposit the initial amount.
- Your passbook will be issued with all details.
Benefits of SBI PPF Yojana
Tax Benefits
- Investments in PPF qualify for tax deductions under Section 80C of the Income Tax Act.
- The interest earned and maturity amount are completely tax-free.
Risk-Free and Government-Backed
- PPF is a 100% secure investment option, backed by the Government of India.
- There is no risk of loss, making it ideal for long-term financial planning.
Loan & Partial Withdrawal Facility
- Loan against PPF: Available from the 3rd to 6th financial year.
- Partial withdrawals: Allowed after 7 years.
Also Check: Post Office Scheme: इस स्कीम में पैसा निवेश करने पर पैसे हो जाएंगें डबल, बस करना होगा इतना इंतजार
SBI PPF Yojana (FAQs)
Can I withdraw my PPF amount before 15 years?
No, full withdrawal is only allowed after 15 years. However, partial withdrawals are permitted after 7 years.
Can I extend my PPF account after 15 years?
Yes, you can extend it in blocks of 5 years indefinitely.
What happens if I miss a PPF deposit in a year?
Your account will become inactive, but you can reactivate it by paying a penalty of ₹50 along with the minimum deposit.
Can NRIs invest in PPF?
NRIs cannot open a new PPF account but can continue an existing one until maturity.
How much can I invest in a PPF account per year?
The minimum deposit is ₹500, and the maximum is ₹1.5 lakh per year.
