As you know due to this pandemic conditions financial crisis is a major concern. To be specific problem is much bigger in case of senior citizen or going to be. A steady income source is much needed one to run a family. Due to the pandemic markets are volatile and you can not just invest in stocks or share or in Mutual Funds as because of the risk is high enough. FD  return interest rates are at the lowest level. Hence what is the alternative? Let us find it out

Pradhan Mantri Vaya Vandana Yojana is a pension scheme available to senior citizens. Senior citizens get a guaranteed pension at a fixed rate for 10 years in the scheme, after opting for the monthly pension option. The scheme also offers death benefit. Under this, the purchase price is refunded to the nominee. This policy was open for a very short period. At that point its span was reached out to 31 March 2020.Now it has been expanded to 31 March 2023 for an additional three years. 
 

What is eligibility?

The minimum entry age in the scheme is 60 years. That is, senior residents of 60 years or more can put resources into it.A individual can contribute a limit of Rs 15 lakh in the plan. 

How to apply

For this, you have to fill an application form . Necessary documents need to be attached with this form. Senior residents can likewise put resources into the plan online. For this, visit https://eterm.licindia.in.

Which documents will be required?

Pan card copy
Address proof (copy of Aadhaar, passport)
Copy of the primary page of the bank passbook where the record holder needs benefits. 
 

What is the purchase price?

Lump sum money can be invested in this scheme. Pensioners can choose monthly, quarterly, half-yearly or yearly options for payment of pension. The minimum purchase price for an annual pension is Rs 1,44,578. While the maximum purchase price is Rs 14,45,783. However, the minimum purchase price in the case of monthly pension payment is Rs 1.5 lakh. While the maximum purchase price is 15 lakh rupees.

Premature withdrawal

In PMVVY scheme allows premature withdrawal. However, it is available only in certain cases. This offer is given if there should be an occurrence of life partner or genuine sickness. However, in such cases only 98% of the purchase price is paid as surrender value.

What should be kept in mind?

Loan facility is available on PMVVY after three years of policy. The maximum loan amount cannot exceed 75% of the purchase price. Tax benefits like other pension schemes of the government are not available in the scheme.