PPF account vs Personal loan 2020 :Which is better and ppf account advantage?
Did you know what is PPF and what is the importance of PPF account having in a bank in your life most of the big big which person honour focusing on the PPF account rather than a personal loan so I hope you will also imposing the focus on the PPF accounts and opening the PPF account
Today in this article I will tell you what is the PPF account vs Personal loan:Which is better and ppf account advantage? importance of PPF account and advantages of PPF account opening in the bank and various terms about the PPF account and various important things of PPF loan and its services which is very useful for the investors and most of the investors and big investors are investing on the PPF account for the future planning as well as for their future.
The key features of the PPF account as compared to the personal loan is very-very useful for you and your future planning. the various features like it is better than taking a loan in personal account, it provide better rate of interest,it provide the facility to repair the loan, benefit of interest rate and easy other charges in PPF scheme is simpler to handle,choise is available for you for ppf money,simplar ppf scheme,ppf is reliable the personal loan
PPF account vs Personal loan
PFF account vs personal loan :PPF is a popular option for long term investment among general investors. The reason for this is the risk-free scheme. Also, triple tax benefit i.e. tax exemption on deposits, interest and withdrawals is the biggest feature of this scheme. In the last month i.e. December 2019, some changes have been made to make this scheme more attractive, in which loan related changes are the most important.
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When is loan from PPF in 2020 ?
You are entitled to take a loan from PPF from one financial year after the end of that financial year to the end of the fifth financial year in which you have opened a PPF account. If you have opened a account in January 2017, then you can take a loan from 1 April 2018 to 31 March 2022.
How much PPF loan can I take in 2020?
In the financial year in which you are applying for a loan, you can take a maximum of 25% of the balance (principal + interest) that will be at the end of the two financial years immediately preceding that financial year. For example, if you want to take a loan in March 2020, then you can take a maximum amount of 25 percent of the balance in your account on March 31, 2018.
PPF Account Online Service is Usefull in 2020
How to repair loan?
You will have to repay the loan amount (principal) either in lump sum or in installments within 36 months from the beginning of the next month of the month in which you have taken a loan. After paying the principal, you can pay interest in a maximum of two monthly installments. According to the new change, the interest on the loan amount will have to be paid one per cent more than the rate that you are getting under the PPF scheme. That is, if you are getting 79 percent interest on your investment, then the rate of interest paid on the loan will be 8.9 percent. Prior to this change, the rate of interest on the loan was two per cent more than the interest received. That is, now one percent has been gained.
Payment of PPF accoount loan and its services in 2020
On not repaying loan on time?
If you have paid the loan amount (principal) within the stipulated time, but have not paid interest on it within the stipulated time, then the interest amount will be deducted from your PPF account. At the same time, if you do not repay the loan amount (in whole or in part) within 36 months, then the interest rate on the outstanding balance of the loan will be 6% more than the rate of interest (ie 7.9 + 6% = 13.9%). have to give. In this situation also, the amount of interest will be deducted from your PPF account at the end of every financial year.
Various PPF Interest rate in 2020
Benefits of PPFinterest rate in loans from PPF in 2020.
Loans from PPF have lower interest than personal loans. As of now, there is 7.9% interest on PPF, so for taking a loan from PPF, you will have to pay one percent more ie 8.9%, while in addition to 10 to 15% interest on personal loan, processing fees and preclosure charges are also required to be paid. However, there is a limit to taking loans from PPF. Also, a loan can be taken only once in a financial year. A new loan can also be taken only when the old loan has been paid.
Various best Schemes of PPF account loan In India in 2020.
Other changes in PPF Scheme 2019
According to the old rules of deposit, you could deposit a minimum of 500 rupees and a maximum of 1.5 lakh rupees in an account in a financial year for a maximum of 12 times either in a lump sum or in multiples of 50 rupees. Under the new rules, you can also deposit the minimum / maximum amount in a lump sum or in multiples of 50 rupees in a financial year. Premature closure PPF account holder as per earlier rules, your spouse.
For the treatment of any serious illness of the dependent child or parents or for the higher education of his or her dependent children, the account can be withdrawn in full after 5 financial years after the end of the financial year in which the account is opened. Now premature closure will be allowed even if the account holder goes abroad.