PMVVY: Senior Citizens Can Get Rs. 18,500 Pension Every Month!
The Life Insurance Corporation (LIC) has brought good news for the senior citizens. The organization has modified the Pradhan Mantri Vaya Vandana Yojana (PMVVY) for those above 60 years of age. The scheme was earlier closed on March 31, 2020. But, the Indian Government recently extended it for another three financial years till March 2023.
To get the benefits through investment, one needs to approach a LIC agent or just buy it from the insurer’s website directly. “This plan will be available for sale commencing from May 26 for three financial years – up to March 31, 2023. This scheme can be purchased offline as well as online from LIC of India,” LIC said in a statement.
What are the new rules?
As per the official announcement by LIC, the policy term is of 10 years. For policies sold during the first financial year, i.e., up to March 21 2020, the PMVVY scheme will offer an assured rate of return of 7.40 per cent per annum payable monthly (which is equivalent to 7.66 per cent per annum) for the entire duration of 10 years.
For the investments made in the next two financial years, i.e., 2021-22 and 2022-23, the government will release the interest rate at the beginning of the financial year.
What are the features of PMVVY?
Some of the new features are as follows:
- The scheme is available for those above 60 years of age.
- The PMVVY comes with guaranteed returns on monthly, quarterly or annually for 10 years. The investors can decide the basis of pension as per their requirements.
- PMVVY allows the maximum investment of up to 15 lakh per senior citizen getting a maximum monthly pension of Rs. 9250 per person. In this case, if a couple applies for PMVVY, they can together get Rs. 18,500 as monthly pension.
- The minimum pension will be of Rs, 1000 depending on the amount invested.
PMVVY- Minimum and Maximum Pension
Rs. 1,000/- per month
Rs. 3,000/- per quarter
Rs.6,000/- per half-year
Rs.12,000/- per year
Rs. 10,000/-per month
Rs. 30,000/-per quarter
Rs. 60,000/- per half-year
Rs. 1,20,000/- per year
- If the pensioner survives during the 10 years of the policy period, the pension will be given at the chosen mode.
- Upon the death of the pensioner during the policy tenure, the Purchase Price will be refunded to the beneficiary.
- Under Maturity Benefit, the pensioner will get the Price purchase along with final pension instalment.
As per experts, PMVVY is an ideal scheme for senior citizens and proper planning can help people get amazing benefits during their retirement’s years.