Extension of PPF Account:

After the maturity of the PPF account, you have the option to extend it for a block of 5 years. You can make fresh contributions during this extended period. There’s no limit on the number of times you can extend the account.

How does extension of PPF account work?

Here are some key points to note about PPF account extension:

Extension with contribution: If you wish to continue making contributions after the initial 15 years, you need to submit Form H at your bank or post office within one year from the maturity date. After submission, you can continue to invest a maximum of INR 1.5 lakhs per annum and earn the applicable interest rate.

Extension without contribution: If you do not wish to make further contributions but want to keep the account active, the account will automatically be extended without contributions for 5 years past its maturity date. During this period, your balance will continue to earn interest. You can also make one withdrawal per year of any amount within the balance.

Withdrawal during extension period: If the account is extended with contributions, you are allowed to withdraw up to 60% of the balance at the beginning of each extended period (block of 5 years) during the 5-year extension period. If extended without contributions, you can withdraw any amount without restrictions, but only once per financial year.

Closure during extension period: The account can be closed anytime during the extension period.