Open two or more PPF accounts? Check the rules of merger now otherwise your money may sink

New Delhi: Are you depositing your money in Public Provident Fund or PPF account? If yes, then you must know that as per the Public Provident Fund or PPF Rules 2019, an investor is not allowed to open more than one PPF account in his name.

However, if a person has opened another PPF account on or after December 12, 2019, then such account or account will be closed. In these cases, the authorities are also not liable to release the credit of PPF interest rate.

Recently in an office memorandum dated 23 February 2022, the Department of Economic Affairs, Ministry of Finance clarified that the authority will not consider any proposal related to merger of PPF accounts.

The department in its official memorandum mentioned “In the case of Dr. Anupam Mishra regarding merger of account number 7003137726 opened in Indian Bank, KGM College, Lucknow branch on 23.03.2021… the said account was opened under PPF rule ., 2019 and hence, is not eligible for regularization.”

“Accordingly, the account may be closed immediately without payment of any interest and the provisions of the PPF Rules, 2019 may be strictly adhered to,” the department said in its office memorandum.

“The operating agencies are further advised not to send any proposal for consideration of merger of PPF accounts opened under the PPF Rules, 2019,” the memorandum was quoted in a Mint report. Read also: YouTube creators to contribute Rs 6,800 crore to Indian economy in 2020

The Department also clarified that if PPF account(s) is/are proposed to be merged (opened on or after 12.12.2019), such account(s) will be closed without payment of any interest and the same No proposal should be sent to the Directorate of Posts. Amalgamation of such PPF accounts. Read also: ASUS unveils 2-in-1 VivoBook laptop in India

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