How to Prematurely close your PPF Account?

With the recent changes (effective from 1st April 2016) by Government, you can now prematurely close your PPF Account. But please note that premature closure of PPF accounts shall only be permitted in genuine cases, such as cases of serious ailment e.g. cancer, higher education of children etc.

Conditions you need to met for Premature Closure:

1. PPF accounts, which are completed five years from the date of opening
2. Premature closure shall only be permitted in genuine cases e.g. cases of serious ailment, higher education of children etc.
3. There would be a penalty of 1% reduction in interest payable on the whole deposit

Documents you need:

1. Original PPF Passbook
2. PPF Withdrawal Form (Form C)
3. Cover Letter and Supporting Documents explaining & supporting the reason for the withdrawal

Things to take care:

1. Keep photocopies of all the documents with yourself.
2. Submit a detailed reason with proper supporting documents.