Can you please update me on the new PPF rules that are applicable under the new post-budget regime?

You must be aware that the PPF accounts currently fetch an interest rate of 7.9%. Here are five additional things that you must know about PPF.

a) PPF account can be extended within one year of maturity of original PPF account or extended PPF account by submitting application in Form 4 and not Form H

b) In case the PPF account is retained without additional deposits, the account holder can make one withdrawal in each financial year

c) PPF account holder can make deposits in multiples of Rs.50 any number of times in a financial year, with no upper restriction except on the amount of Rs.1.50 lakhs.

d) PPF account holder can apply for loan between third to sixth financial years of opening an account. Interest rate on loan against PPF balance has been reduced to 1% above the prevailing PPF rate as against 2% earlier

e) Account holder has to repay the PPF loan within 36 months. If loan is not repaid in full, penal interest will be charged at the rate of 6% per annum

These rules are already applicable to PPF accounts.