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Your uncle wants to invest money in Public Provident Fund. Guide him three advantages and three disadvantages of this scheme.

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PPF Advantages: 

i. Deposit qualifies for tax rebate. 

ii. Interest earned is tax free. 

iii. Loans may be awaited between 3rd to 6th financial year

PPF Disadvantages: 

i. Long term scheme 

ii. Poor liquidity (Pre mature withdrawal is from 7th year) 

iii. Pre mature closure is allowed only after 5 year.

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