Glimpses of Rule:171

> Few Details about PPF account

& Loan:

Eligible from the 3rd financial year to 6th financial year from the year of opening.

25% if the balance held on 31st March of the 2nd preceding year in which loan was applied. To be repaid in Lumpsum or Installments not exceeding 36 months. Loan Interest:

If repaid within 36 months - 1%

Not repaid / partially paid - 6%. Subsequent loan is allowed if previous repaid with interest. Only one loan in a financial year.

= Withdrawal:

loan is

Allowed from 7th financial year from the year of opening till closure. Only one withdrawal in a financial year. No interest on the withdrawal amount. Max 50% of the balance held on 31st March of the preceding year or 4th preceding year

whichever is lower. Premature closure:

Can be closed only after 5 years excluding the year of opening - for serious ailments or life threatening diseases of the dependent children, spouse, parents and self: Higher education of account holder and dependent children on production of supporting documents...