Pradhan Mantri Vaya Vandana Yojana – Explanation in simple words
The policy is being run by LIC of India on behalf of Government of India. It is a pension plan.
The plan can be taken for a maximum of 10 years and for a amount not exceeding 15 lakh. Only people above the age of 60 years ca take this PMVVY
- The PMVVY scheme is for senior citizens with a assured return.
- Maxmum 15 lakh can be invested by one person
- The maximum period for the policy can be 10 years.
- Pradhan Mantri Vaya Vandana Yojana (Table 842) is a government subsidized scheme with a assured return of 8% per annuum.
- There is no insurance in the scheme.
- Mode of payment can be monthly, quarterly, half yearly or yearly.
Pension Rates for PMVVY
Death benefit: On death of the pensioners the invested amount and the pro-rata interest thereon.
PS: there is no loan or surrender facility in this plan.
PMVVY can only be taken for 10 lakhs and a maximum of 10 years whereas there is no such restriction on Jeevan Shanti. Any one can take Jeevan Shanti but PMVVY is only for senior citizens. There are many other differences as well, do comment below if you would like to understand the two policies in details.
1,000 per month is the minimum and 10,000 per month is the maximum that one can get from PMVVY
Yes surrender of the plan is possible. However 98% of the invested amount is refunded.
InsuringGurgaon.com is a leading LIC of India advisory firm based in Gurgaon. Our team of life insurance experts have an combined experience of over 40 years in life insurance services. Do get in touch with our insurance advisers to understand how Pradhan Mantri Vaya Vandana Yojana can help you achieve your financial goals in a systematic manner.