The Pension Fund Regulatory and Development Authority (PFRDA) has asked all banks to process requests for increase or decrease in pension amount requests of Atal Pension Yojana (APY) subscribers throughout the year, with effect from 1 July 2020.
This amount can be updated once a year and was earlier allowed to be facilitated only during the month of April.
"This arrangement will enable the Atal Pension Yojana (APY) subscribers to increase/decrease their pension plans as per their changed income levels and capacity to pay APY contributions, which is very important to continue contributions in the scheme till 60 years," said PFRDA in a press release on Monday.
Note that the halt in auto-debit of contributions made towards APY scheme due to the coronavirus pandemic has been restarted from 1 July 2020. The 3-month pause on making mandatory contributions towards the scheme was provided to reduce any financial burden on APY subscribers that they may have faced due to COVID-19. While the auto-debit may have restarted, subscribers can pay all pending APY contributions between April and August 2020 with no penalty or interest, if paid before 30 September 2020.