PM Vaya Vandana Yojana pension scheme extended till March 31, 2023

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News:Government of India has extended Pradhan Mantri Vaya Vandana Yojana (PMVVY) pension scheme meant for senior citizens till March 31, 2023. 

Facts:

  • Launched Year: 2017.
  • Aim:To provide social security during old age and to protect elderly persons aged 60 and above against a future fall in their interest income due to uncertain market conditions.
  • Implementation: Life Insurance Corporation of India (LIC)
  • Minimum entry age: 60 years (completed)
  • Maximum entry age: No limit
  • Investment limit: One can invest a maximum amount of Rs.15 lakh.
  • Benefits:
    • Pension Payment: On survival of the Pensioner during the policy term of 10 years, pension in arrears (at the end of each period as per mode chosen) shall be payable.
    • Death Benefit: On death of the Pensioner during the policy term of 10 years, the Purchase Price shall be refunded to the beneficiary.
  • Interest Rate: It provides initially an assured rate of return of 7.40 % per annum for the year 2020-21 per annum and thereafter to be reset every year.
  • Loan: Loan facility is available after completion of 3 policy years. 
  • Tax: The scheme is exempted from GST.