The tenure of my PPF account is coming to an end, which I am planning to extend. How much money can I withdraw now to ensure that the account continues for the next five years?
Pradeep Sharma, Gurgaon
As per the PPF rules on withdrawal – you are permitted to make one withdrawal every year from the seventh financial year onwards, subject to certain conditions. The conditions include that the amount you wish to withdraw cannot exceed 50 per cent of the balance at the end of the fourth year immediately preceding the year of withdrawal or at the end of the preceding year, whichever is lower. After the initial 15-year period, if you choose to extend the account and maintain the balance, you can withdraw the entire amount at once or in instalments. If the money is withdrawn in instalments, you cannot make more than one withdrawal a year. If you continue to deposit money, you can withdraw up to 60 per cent of the balance at the beginning of each extended period, which is in blocks of five years.
