Government sets terms for early PPF withdrawal

New Delhi, June 20 (KNN) The Finance Ministry today said that subscribers of the Public Provident Fund (PPF) can now prematurely close the deposit scheme for reasons like higher education or expenditure towards medical treatment etc.

It, however, added that such premature closure shall be allowed only after the account has completed five financial years.

In a notification the Minister said “A subscriber shall be allowed premature closure of his account or account of a minor of whom he is the guardian on ground that amount is required for treatment of serious ailments or life-threatening diseases of the account holder, spouse or dependent children on production of supporting documents from competent medical authority,” the Finance Ministry said in a notification.

The notification further said the allowance will be applicable to the requirement of higher education of the account holder or the minor account holder on production of documents and fee bills in confirmation of admission in a recognised institution in India or abroad. (KNN Bureau)