{"id":4822,"date":"2023-10-04T18:57:24","date_gmt":"2023-10-04T18:57:24","guid":{"rendered":"https:\/\/www.fisdom.com\/glossary\/minor-account\/"},"modified":"2023-10-04T18:57:24","modified_gmt":"2023-10-04T18:57:24","slug":"minor-account","status":"publish","type":"post","link":"https:\/\/www.fisdom.com\/glossary\/minor-account\/","title":{"rendered":"Minor Account"},"content":{"rendered":"

A PPF account can be opened by a parent or guardian on behalf of a minor. The contributions to both the accounts (parent and minor) together in a year cannot exceed the maximum limit of contribution.<\/p>\n

Important points to note about PPF account for minors<\/h2>\n

Here are some points to keep in mind regarding PPF accounts for minors:<\/p>\n

Opening the Account: A parent or legal guardian can open a PPF account on behalf of a minor.<\/p>\n

Operation of the Account: The account is operated by the parent\/guardian until the minor turns 18, after which the minor can operate the account.<\/p>\n

Deposit Limit: The combined deposit limit in the account of the minor and the guardian (who opens the account) cannot exceed INR 1.5 lakhs in a financial year.<\/p>\n

Tax Benefits: Investments made in the minor’s PPF account also qualify for tax deduction under Section 80C of the Indian Income Tax Act.<\/p>\n

Nomination: Nomination facility is not available if the account is opened on behalf of a minor.<\/p>\n

Loan against PPF: The guardian can avail a loan against the PPF account from the third to sixth financial year. The loan amount will be capped at 25% of the balance at the end of the second year immediately preceding the year in which the loan is applied for.<\/p>\n

Premature Closure: The premature closure of a PPF account is allowed after five financial years for specific reasons, such as treatment of life-threatening diseases for the account holder, spouse, dependent children or parents, or for higher education of the account holder.<\/p>\n

<\/h2>\n

<\/h2>\n","protected":false},"excerpt":{"rendered":"

A PPF account can be opened by a parent or guardian on behalf of a minor. The contributions to both the accounts (parent and minor) together in a year cannot exceed the maximum limit of contribution. Important points to note about PPF account for minors Here are some points to keep in mind regarding PPF […]<\/p>\n","protected":false},"author":30,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"inline_featured_image":false,"footnotes":""},"categories":[30],"tags":[],"class_list":["post-4822","post","type-post","status-publish","format-standard","hentry","category-ppf"],"_links":{"self":[{"href":"https:\/\/www.fisdom.com\/glossary\/wp-json\/wp\/v2\/posts\/4822","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.fisdom.com\/glossary\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.fisdom.com\/glossary\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.fisdom.com\/glossary\/wp-json\/wp\/v2\/users\/30"}],"replies":[{"embeddable":true,"href":"https:\/\/www.fisdom.com\/glossary\/wp-json\/wp\/v2\/comments?post=4822"}],"version-history":[{"count":0,"href":"https:\/\/www.fisdom.com\/glossary\/wp-json\/wp\/v2\/posts\/4822\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.fisdom.com\/glossary\/wp-json\/wp\/v2\/media?parent=4822"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.fisdom.com\/glossary\/wp-json\/wp\/v2\/categories?post=4822"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.fisdom.com\/glossary\/wp-json\/wp\/v2\/tags?post=4822"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}