What is Pradhan Mantri Vaya Vandana Yojana?

Hi Buddy,

Do you want to know, what is Pradhan Mantri Vaya Vandana Yojana? Let me assist you with this. A pension programme was introduced by the Indian government, and it is available from May 4, 2017, until March 31, 2020. The Pradhan Mantri Vaya Vandana Yojana maximum ceiling was raised by the Indian government to Rs. 15 lakh in the 2018–2019 Budget Speech. The Life Insurance Corporation (LIC) of India is where the scheme can be purchased both offline and online.

What Is PMVVY Scheme?

This is a government pension programme designed to give senior persons social security and to shield them from a potential decline in interest income owing to unfavourable market conditions. I hope this satisfies your query about what is PMVVY pension scheme.

The requirements that people must fulfil in order to be eligible for the PMVVY programme are listed below:

• Entry requirements include being at least 60 years old. There is no upper age limit.

• The policy has a ten-year term.

• The minimum pension amounts are Rs. 1,000, Rs. 3,600, Rs. 6,000, and Rs. 12,000, respectively, for a month, quarter, half-year, and annual period.

• The maximum pension that can be earned for a month, quarter, half-year, and annually, respectively, is Rs. 10,000, Rs. 30,000, Rs. 60,000, and Rs. 1,20,000.

When determining the maximum pension ceiling, the entire family is taken into account. The pensioner, his or her dependents, and spouse make up the family under this programme.

After understanding what is Vaya Vandana Yojana, and what are the eligibility criteria for the same,

• • The pensioner will benefit from an assured return of 8% p.a. under the plan during the course of the policy's ten-year term.

• Pension Payment: 

The pension will be paid in arrears if the retiree lives beyond the policy's expiration date. Additionally, the pensioner has a choice in the method of payment.

• Death benefit:

If the pensioner passes away during the policy's term, the beneficiary will receive the purchase money returned.

• Benefit of Maturity: 

The purchase amount will be paid along with the final pension instalment if the pensioner lives out the whole policy tenure.

• Loan facility: 

The pensioner may use loans secured by the policy after the policy has been in effect for three years. A loan for up to 75% of the purchase price may be obtained. The pension contribution that is being provided will cover the interest on the borrowing. For any loans approved up to 30 April 2018, the interest rate is 10% p.a. and payments are due every six months for the duration of the policy.

• Free-look window:

If the policyholder is dissatisfied with the conditions of the insurance, he or she has 15 days to cancel it. If the insurance is purchased online, the free-look period is 30 days, nevertheless. The policyholder will receive a refund for the purchase amount once stamp fees have been subtracted.

I am concluding my answer here about what is Pradhan Mantri Vaya Vandana Yojana. I hope this helps:)

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