Comparing PPF And FD: Where To Park Your Hard-Earned Money? Which Is Better? Check Here
PPF vs FD
![PPF vs FD PPF vs FD](https://english.cdn.zeenews.com/sites/default/files/2023/08/05/1256593-untitled-design-2023-08-05t082655.134.jpg)
PPF
![PPF PPF](https://english.cdn.zeenews.com/sites/default/files/2023/08/05/1256589-untitled-design-2023-08-05t082155.552.jpg)
Public Provident Fund, or PPF, is a government-backed tax-saving and investment tool. It functions as an investing tool that lowers your yearly taxes while enabling you to build your retirement assets.
A PPF account must be open for at least 15 years, although you can extend it in increments of 5 years if you wish.
PPF: Investment Details
![PPF: Investment Details PPF: Investment Details](https://english.cdn.zeenews.com/sites/default/files/2023/08/05/1256575-untitled-design-2023-08-05t080640.081.jpg)
A minimum of Rs. 500 and a maximum of Rs. 1.5 lakh can be invested each fiscal year, either as a single payment or a maximum of 12 installments. The minimal monthly deposit required to open an account is merely Rs 100. However, any annual deposits over Rs 1.5 lakh will not be eligible for tax savings and will not be able to earn interest. A minimum of once must be deposited into a PPF account each year for 15 years.
PPF: Tax Exemptions And Interest Rate
![PPF: Tax Exemptions And Interest Rate PPF: Tax Exemptions And Interest Rate](https://english.cdn.zeenews.com/sites/default/files/2023/08/05/1256573-untitled-design-2023-08-05t075802.172.jpg)
FD: Investment Details
![FD: Investment Details FD: Investment Details](https://english.cdn.zeenews.com/sites/default/files/2023/08/05/1256570-untitled-design-2023-08-05t075224.727.jpg)
Depending on your investing goals, the term of an FD might range from a minimum of 7 days to a maximum of 10 years. On a semi-annual, quarterly, or monthly basis, cumulative FDs compound interest, producing bigger profits on the principal sum. Most banks provide a higher fixed rate of interest for senior persons, allowing them to increase their savings without taking any risks.
FD: Tax Exemptions
![FD: Tax Exemptions FD: Tax Exemptions](https://english.cdn.zeenews.com/sites/default/files/2023/08/05/1256567-untitled-design-2023-08-05t074235.683.jpg)