Canara Bank PPF Account offers Indian citizens to make contributions under its Public Provident Fund scheme. This scheme has long been a favourite among those seeking to start a low-risk long term investment with unmatched tax-saving benefits. The Public Provident Fund (PPF) Account offered by Canara Bank is fast and easy to open. Furthermore, one can make use of the Canara Bank PPF account calculator to calculate the returns on their PPF account. Individuals who wish to open the account can do so online, through the Canara Bank website. The entire process is extremely simple and user friendly.

What is a PPF Scheme and How is the Maturity Value Calculated?

The PPF is a type of savings account conceptualized by the National Savings Institute under the Ministry of Finance in the year 1968. This scheme has been designed to act as a savings fund which also doubles up as a tax saving solution to the depositors. With a lock-in period of 15years, this scheme allows Indian citizens to make contributions towards their PPF account and offers them a rebate on income tax under Section 80C of the Income Tax Act as an incentive. The PPF account interest rate may be changed once every quarter and decided by the Finance Ministry. Currently, the interest rate provided is at 7.1%.

Canara Bank PPF Maturity Calculation Formula

The formula for Canara Bank PPF maturity value calculation is given below:

F = P [({(1+i) ^n}-1)/i]

The variables used in the formula represents the following–

  • F is the Maturity of PPF
  • P is the Annual instalments
  • i is the Rate of interest
  • n is the Total number of years

How to Use the PPF Calculator for Canara Bank?

Calculating the maturity value on your Canara Bank PPF account takes less than a minute as it can be done with a few simple steps:

  • Enter the yearly investment amount or move the slider to adjust the amount
  • Provide the time period of the PPF investment.
  • Once you enter the above details, the PPF Canara Bank calculator will automatically calculate the total investment amount, total interest and the maturity value at the end of the investment period

Benefits of Using PPF Account Canara Bank Calculator

A depositor should be aware of the outcomes from any kind of investment before putting their hard-earned money. The maturity value calculated on Canara Bank PPF account calculated with the help of a PPF calculator can be of great help. Some of the key benefits of using this calculator are:

  • You don’t have to perform intricate calculations which can save you a lot of time while choosing the best investment strategy
  • A fair estimation of how much interest you will be earning on the amount of principal in hand can help make an informed decision.
  • By using the Canara Bank PPF calculator, you can save a lot from paying a hefty tax.

Canara PPF Calculator – FAQs

Ques. How is the interest rate on PPF account calculated?

Ans. The PPF interest rate is reviewed every quarter and is compounded annually for this scheme. The rate calculated every month but credited to the investors’ account at the end of the year on the 31st of March.

Ques. Is there any minimum lock-in period for opening a PPF account?

Ans. The PPF account for Canara Bank has a mandatory lock-in period of 15 years. However, partial withdrawals can be made from the 5th year.

Ques. How much return is provided on PPF after 15 years?

Ans. The maturity amount received by the depositors in their PPF account after 15 years depends on the principal amount invested and the interest earned on it.