PPF account can be opened by cash or cheque. In case of cheque, the date of realization of cheque in government account is date of opening of account.

The interest rate is determined by central government on quarterly basis. At present it is 8.0 per cent per annum. Interest is calculated on the minimum balance (in PPF account) between fifth day and end of the month and is paid on March 31 every year.

PPF account matures on completion of fifteen financial years from the end of the year in which the account was opened.

After maturity, account can be extended for any number of a block of five years with further deposits.

The amount in the PPF account is not subject to attachment under any order or decree of a court of law.

Account can be retained indefinitely without further deposits after maturity with the prevailing rate of interest.

One withdrawal is permissible every year from seventh financial year.

The loan facility is available from third financial year up to sixth financial year.

Deposit in a PPF account qualifies for deduction under Section 80 C of Income Tax Act.