PPF in minor child's name can bring down lock-in from 15 years to 5 for her
If the guardian/parent already has a PPF account in his or her name, the maximum amount that can be deposited in the PPF accounts of guardian/parent, including child’s account, is ₹1.5 lakh per year.
PPF or Public Provident Fund is a popular long term, fixed income investment option under Section 80C. It is government backed, and comes with a EEE taxation benefit which means the capital, interest and maturity are tax free. A PPF account can also be opened in the name of a minor child. A parent or a guardian can open a PPF account in the name of the child with an initial amount of a minimum of ₹100. The minimum amount that has to be deposited in a year is ₹500 and maximum ₹1.5 lakh. Read on to know the benefits of opening a PPF account in name of your minor child.