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PPF Account for Minors: Everything You Need to Know

PPF Account for Minors: Everything You Need to Know

The Public Provident Fund (PPF) is one of India’s most trusted long-term savings and investment schemes, offering guaranteed returns with tax benefits under Section 80C. But did you know you can also open a PPF account for your child (minor) and start building their financial future early?

At IndiaLends, we believe in empowering you with financial knowledge—whether you’re applying for a personal loan or planning secure investments for your child’s future. Here’s a complete guide to help you understand the PPF account for minors, eligibility, rules, and withdrawal process.

Matrix-Driven Guide: PPF Account for Minors – Rules at a Glance

Factor	Details	Key Conditions
Who Can Open	Parent or legal guardian	Only one account per child allowed
Minimum Investment	₹500 per year	Non-deposit in a year attracts penalty
Maximum Investment	₹1.5 lakh per financial year (combined for parent + minor accounts)	Limit includes contribution to parent’s own PPF
Tenure	15 years	Can be extended in blocks of 5 years
Interest Rate	As declared by the Government (currently ~7.1% p.a.)	Compounded annually
Tax Benefits	Eligible for Section 80C	Deduction claimed by the parent/guardian
Withdrawals	Allowed after 7 years (partial)	Full withdrawal at maturity
Nomination	Not applicable for minor account	Guardian manages till child turns 18

How to Open a PPF Account for a Minor

Opening a PPF account for your child is simple and can be done at a post office or a designated bank branch.

Steps:

1. Visit a bank or post office authorized to open PPF accounts.

2. Collect and fill the PPF account opening form (with minor’s details).

3. Attach documents (minor’s birth certificate + parent’s KYC documents).

4. Deposit the minimum amount (₹500 or more).

5. Once processed, the PPF account will be opened in the child’s name, managed by the parent/guardian.

Withdrawal Rules for PPF Account in Minor’s Name

Withdrawal Type	When Allowed	Maximum Amount	Conditions
Partial Withdrawal	After 7 financial years	Up to 50% of balance at the end of 4th year or previous year, whichever is lower	Guardian applies on behalf of minor
Full Withdrawal	On maturity (after 15 years)	100% of balance	Child can take control after turning 18
Loan Against PPF	Between 3rd–6th year	Up to 25% of balance at end of 2nd year	Repaid within 36 months

Documents Required

Birth certificate of the minor (proof of age).
Parent/guardian’s Aadhaar card and PAN card.
Passport-size photographs of both parent and minor.
Address proof of guardian.
Filled PPF account opening form.

IndiaLends Insight

Opening a PPF account for your minor child is a smart way to build a secure financial corpus for their future needs—education, marriage, or other milestones. The guaranteed returns, tax benefits, and long-term compounding make it a low-risk wealth-building tool.

However, if you need short-term liquidity while keeping your child’s savings intact, consider an instant personal loan from IndiaLends—with minimal documentation, quick approval, and flexible repayment options.

Internal Resources from IndiaLends

What is PPF and its benefits
How to open a PPF account online
PPF vs VPF: Which one should you choose?
Apply for a personal loan instantly

Frequently Asked Questions (FAQs)

1. Can I open more than one PPF account for my child?
No. Only one PPF account per minor is allowed, either in a post office or a bank.

2. Can both parents open separate PPF accounts for the same child?
No. Only one parent/guardian can open and operate a minor’s PPF account.

3. Who gets tax benefits on contributions to a minor’s PPF account?
The parent/guardian who makes the contribution can claim tax deduction under Section 80C.

4. What happens to the minor’s PPF account when they turn 18?
The account is transferred to the child, who can then operate it independently.

5. Can I close a minor’s PPF account before maturity?
Premature closure is allowed only under specific conditions like medical treatment or higher education, after 5 years of completion.

Apply Now

Looking to secure your child’s financial future without disturbing your current savings? Open a PPF account for your minor today for long-term growth. And if you need urgent funds, explore instant personal loans from IndiaLends to cover medical, educational, or travel needs conveniently.