Should you invest in PPF for minors? Here are the rules

When it comes to safe, long-term saving options for children, the Public Provident Fund (PPF) often tops the list for Indian parents. It's government-backed, tax-free and has a 15-year tenure, making it seem tailor-made for funding a child's future goals. But while opening a PPF in a minor's name sounds straightforward, the rules can trip you up if you're not careful. Here's a complete guide, starting with the most basic question. PPF interest rate for minors The interest rate on a PPF account held in a minor's name is exactly the same as a regular PPF account. There's no preferential or differential rate. As of Q1 FY26 (April to June 2025), the interest rate stands at 7.1 per cent per annum. The government notifies this rate every quarter, and it applies uniformly across all PPF accounts, minor (under 18) or adult. Who can open a PPF account for a minor? Only a parent or legal guardian can open a PPF account fo

This article was originally published on May 16, 2025.