New Delhi, Aug. 14 -- Sound financial planning includes securing your child's future using a government-backed savings scheme, such as the public provident fund (PPF), which is offering 7.1% interest rate this quarter. Among the safest investment options in India, it can help with the big expenses in your child's future, be it health, marriage, education or other aspirations.

You are allowed one PPF account per individual, which can be opened with a bank or the post office. For children and minor applicants, a parent or guardian can open a joint PPF account which must be converted after the account holder turns 18.

Investors sometimes misunderstand investment limits when it comes to depositing amounts in their child's PPF account. While...