New Delhi, April 5 -- A Public Provident Fund (PPF) account is one of the most tax-friendly savings instruments for long term savings as you do not have to pay any taxes on interest and proceeds from this tool. PPF is a fixed-term investment scheme that allows you to save money and earn a guaranteed corpus after a certain period of time. PPF also enjoys tax deduction under Section 80C, and individuals can invest as low as Rs.500 or as high as Rs.1.5 lakh in a year. All these benefits makes PPF a popular form of investment across India, especially for those who want risk-free investments.

While PPF is traditionally used as an investment tool, you can fall back on it if you are ever in needs of fund even before maturity. Apart from providi...