Money has to be deposited every year to keep a PPF account active. At the very least, the minimum requirement of Rs.500 should be met. If this isn’t done for any financial year, during the 15-account’s year tenure, the account is deemed inactive.To reactivate the account, an account holder has to pay a penalty of Rs.50. The penalty applies for each year the account has been inactive.Loan and withdrawal facilities cannot be availed while a PPF account is inactive. Also, interest will not be earned during the year(s) the account is inactive.