Atal Pension Yojana: Updated Guidelines for Opening and Maintaining APY Accounts with Charges

Atal Pension Yojana

Atal Pension Yojana: The recent news from the Pension Fund Regulatory and Development Authority (PFRDA) brings good tidings for Atal Pension Yojana (APY) subscribers. You now have more freedom and control over managing your APY account!

What’s Changed?

Previously, there was only one agency handling APY accounts. But now, thanks to a PFRDA circular issued on May 3rd, 2024, you can choose from three Central Recordkeeping Agencies (CRAs) to open and manage your APY account. These CRAs are:

Freedom to Choose and Switch

You can now choose the CRA that best meets your needs thanks to this modification. Even holders of current APY accounts have the option to change their CRA.

Understanding the Charges

The PFRDA circular also clarifies the charges levied by the CRAs for opening and maintaining your APY account. Here’s a breakdown for your reference:

ChargeProtean CRAKFintech CRACAMS CRA
Account Opening (one-time)Rs 15Rs 15Rs 15
Annual Maintenance FeeRs 20Rs 14.40Rs 16.25
Transaction Fee (Financial/Non-Financial)FreeFreeFree

Maintaining Your APY Account

It’s important to remember that deductions for account maintenance and other charges will continue as per your chosen CRA’s rates. To ensure smooth functioning, maintain a sufficient balance in the bank account linked to your APY account. Additionally, remember that delayed or missed contributions will incur charges as well.

About Atal Pension Yojana

APY is a government-backed pension plan that was introduced in 2015 with the goal of giving people, particularly those employed in the unorganised sector, financial security as they age. After reaching 60 years of age, it provides a guaranteed minimum pension of between Rs 1,000 and Rs 5,000 per month. Your entry age into the scheme and the anticipated pension amount determine how much you contribute each month.

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