Become a Crorepati
Invest ₹10K/Month & Get ₹1 Crore# Returns
+91
*T&C Applied.
Bank of India PPF Account
A Public Provident Fund (PPF) account with the Bank of India is a reliable and tax-saving investment option for long-term financial growth. It offers a government-backed interest rate, tax deductions under Section 80C, and the advantage of compound interest. With a 15-year lock-in period, the PPF account ensures financial security while helping you build wealth over time.
loading...
loading...
loading...
Investment Plans
-
Generate wealth Earn 1 Cr# in maturity with Zero LTCG tax¶ -
Double tax savings^ On premiums (under 80C) and on maturity (under 10(10D)) -
Compare & Choose 30+ Plans and 150+ Fund options
We are rated++
9.7 Crore
Registered Consumer
51
Insurance Partners
4.9 Crore
Policies Sold
Top performing plans˜ with High Returns**
Invest ₹10K/month & Get ₹1 Crore# Tax-Free*
- Home
- Life Insurance
- Investment Plans
- Bank of India PPF Account
What is a Bank of India PPF Account?
A Bank of India PPF Account is a government-backed long-term savings scheme that offers tax benefits. It allows individuals to save and plan for retirement while earning tax-free interest. The current interest rate for PPF is 7.1%, which is compounded annually. The minimum yearly contribution is â‚ą500, and the maximum is â‚ą1.5 lakh. This Public Provident Fund (PPF) account has a lock-in period of 15 years, with the option to extend it further. Deposits in PPF accounts are eligible for tax deduction under Section 80C.
Bank of India PPF Calculator
- Monthly
- Yearly
Total Investment
Interest Earned
Maturity Amount
Features of the Bank of India PPF Account
| Feature | Details |
| Interest Rate | 7.10% per annum (as of 2025) |
| Tax Benefits | - Tax deduction up to Rs. 1.5 lakh under Section 80C. - Interest and maturity amount are tax-free. |
| Loan Facility | Available. |
| Transferability | Accounts can be transferred between branches, banks, and post offices. |
| Investment Amount | - Minimum deposit: Rs. 500. - Maximum deposit: Rs. 1.5 lakh per year. - Deposits can be lump sum or in installments. |
| Mode of Investment | Contributions can be made via BOI branches, internet banking, or auto-deposit (standing instructions). |
| Nomination | - Mandatory. - Max 4 nominees allowed. |
| Account Period | 15 years, extendable in blocks of 5 years. |
| Revival of Discontinued Account | Can be revived with a penalty of Rs. 50 and arrears of Rs. 500 per year of default. |
Bank of India PPF Interest Rate
-
The Government of India announces the interest rate from time to time. The current interest rate is 7.10% per year.
-
Interest will be added to the account at the end of each financial year.
-
The interest for a month is calculated based on the lower balance between the fifth day and the end of the month.
Bank of India PPF Account Calculator
The Bank of India PPF Account Calculator is a helpful tool to estimate the maturity amount of your Public Provident Fund (PPF) investment. By entering details such as the deposit amount, annual contribution, and investment duration, the calculator provides an accurate projection of your PPF returns. It uses the prevailing interest rate, which is set by the government and may change over time. The PPF calculator allows you to plan your long-term savings and understand how your investment will grow over the years.
Eligibility Criteria to Open a PPF Account in the Bank of India
-
Resident Indian individuals are eligible to open a PPF account.
-
Guardians can open a PPF account for a minor or person of unsound mind.
-
NRIs and HUFs are not allowed to open a PPF account.
How to Open a PPF Account in Bank of India Online?
Steps to Open a PPF Account at Bank of India:
-
Visit any Bank of India branch near you.
-
Submit an application to open an account at the branch.
-
If opening on behalf of a minor or a person of unsound mind, ensure you are the guardian and submit the required documents.
Bank of India PPF Premature Closure Rules
Premature closure of a PPF account can be allowed under the following conditions:
-
Life-threatening illness:
Account holder, spouse, dependent children, or parents facing a life-threatening disease, supported by medical documents and reports.
-
Higher education:
For the account holder or dependent children, with proof of admission and fee bills from a recognized institution (in India or abroad).
-
Change in residency status:
Account holder's change in residency status, with proof like passport, visa, or income tax return (doesn't apply to accounts opened before December 12, 2019).
-
Account Clause:
The account cannot be closed before five years from the end of the year it was opened.
-
Interest on premature closure:
The interest rate will be reduced by 1% from the rate credited since the account opening or extension.
Documents Required for Bank of India PPF Account
Documents required for opening a PPF account:
-
Recent passport-size photograph
-
Proof of address and identification (Choose one from the list below):
-
Aadhar card
-
Passport
-
Driving license
-
Voter’s ID card
-
Job card issued by NREGA (signed by a State Government officer)
-
Letter from the National Population Register (with name and address details)
-
-
PAN Card: (Note: If PAN is not submitted at the time of account opening, it must be submitted within six months.)
-
Additional documents if opening on behalf of others:
-
For minors: Proof of the minor’s age.
-
For a person of unsound mind: Certificate from the Superintendent of the Mental hospital where the person is confined or treated.
-
Benefits of Bank of India PPF Account
Following are some of the key benefits of having a BOI PPF Account:
-
Tax Benefits:
Contributions to a PPF account are eligible for tax deductions under Section 80C of the Income Tax Act.
-
Tax-Free Interest:
The interest earned on a PPF account is completely tax-free, ensuring maximum returns.
-
Attractive Interest Rates:
The account offers competitive interest rates, which are revised by the government annually.
-
Safety and Security:
Since the PPF is backed by the Government of India, your investment is fully secure.
-
Long-Term Investment:
It is a perfect investment option for long-term financial planning with a 15-year lock-in period.
-
Loan Facility:
After the 3rd year, you can avail a loan against the balance in your PPF account.
-
Partial Withdrawals:
Partial withdrawals can be made from the 7th year, as per the account rules.
-
Easy Accessibility:
You can open a PPF account at any Bank of India branch, with the convenience of online services as well.
Conclusion
A PPF account with the Bank of India is a safe and tax-saving investment option. It offers attractive interest rates, tax benefits under Section 80C, and guaranteed returns. The 15-year lock-in period encourages disciplined saving, and you can extend it for additional years if needed. Overall, the Bank of India PPF account is a great choice for those looking to grow their wealth securely over time.
PPF Calculators
FAQS
-
What is a Bank of India PPF Account?
A Bank of India PPF Account is a long-term savings scheme offered by the government. It provides tax benefits, a fixed interest rate, and guaranteed returns, with a 15-year tenure. -
What is the interest rate for the Bank of India PPF Account?
The interest rate for the Bank of India PPF Account is currently 7.1% per annum, compounded annually. -
What is the minimum deposit required to open a Bank of India PPF Account?
To open a Bank of India PPF Account, you need to deposit a minimum of â‚ą500. The maximum annual contribution allowed is â‚ą1.5 lakh. -
How often can I deposit money into my Bank of India PPF Account?
You can deposit money into your Bank of India PPF Account once a year or up to 12 times a year at your convenience. -
Is the interest earned on the Bank of India PPF Account taxable?
No, the interest earned on the Bank of India PPF Account is completely tax-free under Section 10(11) of the Income Tax Act.
˜Top 5 plans based on annualized premium, for bookings made in the first 6 months of FY 24-25. Policybazaar does not endorse, rate or recommend any particular insurer or insurance product offered by any insurer. This list of plans listed here comprise of insurance products offered by all the insurance partners of Policybazaar. For a complete list of insurers in India refer to the Insurance Regulatory and Development Authority of India website, www.irdai.gov.in
Past 10 Years' annualised returns as on 01-03-2025
^The tax benefits under Section 80C allow a deduction of up to ₹1.5 lakhs from the taxable income per year and 10(10D) tax benefits are for investments made up to ₹2.5 Lakhs/ year for policies bought after 1 Feb 2021. Tax benefits and savings are subject to changes in tax laws.
*All savings are provided by the insurer as per the IRDAI approved insurance plan.
Tax benefit is subject to changes in tax laws. Standard T&C Apply
++Source - Google Review Rating available on:- http://bit.ly/3J20bXZ
^^The information relating to mutual funds presented in this article is for educational purpose only and is not meant for sale. Investment is subject to market risks and the risk is borne by the investor. Please consult your financial advisor before planning your investments.
#The investment risk in the portfolio is borne by the policyholder. Life insurance is available in this product. The maturity amount of Rs 1 Cr. is for a 30 year old healthy individual investing Rs 10,000/- per month for 30 years, with assumed rates of returns @ 8% p.a. that is not guaranteed and is not the upper or lower limits as the value of your policy depends on a number of factors including future investment performance. In Unit Linked Insurance Plans, the investment risk in the investment portfolio is borne by the policyholder and the returns are not guaranteed. Maturity Value: ₹1,05,02,174 @ CARG 8%; ₹50,45,591 @ CAGR 4%
¶Long-term capital gains (LTCG) tax (12.5%) is exempted on annual premiums up to 2.5 lacs.
**Returns are based on past 10 years’ fund performance data (Fund Data Source: Value Research).
- SIP Calculator
- Income Tax Calculator
- Compound Interest Calculator
- NPS Calculator
- Show More Calculator
Investment Calculator
- One time
- Monthly
₹
/ Year
Sensex has given 10% return from 2010 - 2020
View plans
Investment plans articles
Recent Articles
Popular Articles
27 Mar 2025
The Swatantra Yuva Udyami Scheme (SWAYAM), launched by the
26 Mar 2025
Women's empowerment is a critical pillar of societal progress
26 Mar 2025
Madhya Pradesh, the "Heart of India," is a state rich in culture