In the Union Budget 2015-16 introduced on June 1, 2015, Atal Pension Yojana (APY) is a retirement scheme for unorganised sector workers Atal Pension Yojana proposes a set minimum retirement benefit starting from Rs 1,000 per month up to an upper cap of 5,000 per month. A subscriber is allowed at the time of registration to select the amount of monthly pension he wishes to receive: Rs 1,000, Rs 2,000, Rs 3,000, Rs 4,000 or Rs 5,000 respectively. A monthly contribution will be deducted from his bank account, based on the monthly pension amount determined by the contributor. The amount of the monthly contribution relies on the subscriber's age at the time of registration. The minimum age cap is 18 years for accessing the scheme and the maximum age for registration is 40 years. A subscriber needs to have a savings bank account, an Aadhaar number and a mobile number to register for the pension scheme.
How to apply for atal pension yojana account?
If you want to open an APY account you can go with the following two methods. Visiting the bank branch physically where you have a savings bank account. At the bank branch the subscriber will have to complete his or her KYC process and submit the duly filled APY application form to the representative of the bank. And if you have a bank account in HDFC Bank your KYC details will be represented from your bank account as stated on the official website of HDFC Bank. You can also open an APY account using the net banking service if you are an active user of the net banking facility of your bank.
Hence, if you are a customer of State Bank of India, ICICI Bank etc you can open the account using the online banking service of the bank as well. The APY account opening facility via the SBI Net Banking Facility is accessible on the 'e-services' section under the option of 'social security schemes'. But in case of ICICI Bank customers, they can follow the below listed steps to open an APY account. Note: Before initiating the registration process, ICICI Bank account holders must ensure that their bank account is KYC-compliant.
- Visit the official site of ICICI Bank and click on the 'Customer Service' option.
- Now select 'Service Request' and then head to the "Enrol for Atal Pension Yojana" under "Bank Accounts" tab.
- Now fill all the required and mandated details and click on 'Submit'
- Once you are done your APY account will be activated within 1 business day.
Contributions to your APY account
Your selected contribution amount will automatically be deducted from the bank account, regardless of whether the account for APY has been activated via the bank branch or electronically. A penalty will be imposed in the occurrence of a failure on contributions. The penalty will be applied as follows:
- For contribution up to Rs. 100 per month: Rs. 1 per month
- For contribution starting from Rs. 101 to 500/ per month: Rs. 2 per month
- For contribution starting from Rs 501/- to 1000/- per month: Rs. 5 per month
- For contribution above Rs. 1000 per month: Rs. 10 per month
If there is no contribution rendered by you, then your account will be:
- Frozen after 6 months
- Deactivated after 12 months
- And, closed after 24 months