The Atal Pension Yojana (APY) is designed for long-term retirement planning, requiring contributions until 60 years of age. However, under certain conditions, subscribers may need to exit or withdraw from APY. This guide explains the withdrawal process, eligibility criteria, and important considerations.

When Can You Exit or Withdraw Atal Pension Yojna?

Subscribers can exit APY under the following scenarios:

1. Exiting at the Age of 60 (Maturity Withdrawal)

• At 60 years, the full pension benefits begin.
• Subscribers cannot withdraw the contributed amount; instead, they start receiving a monthly pension as per their selected plan.

2. Premature Exit Due to Exceptional Circumstances

Subscribers can exit APY before 60 only under special cases:

• Permanent Disability or Critical Illness
  • If the subscriber is permanently disabled and unable to continue contributions.
  • Requires medical proof from a government-approved authority.
• Death of the Subscriber
  • The spouse can continue the contributions or withdraw the accumulated corpus.
  • If both the subscriber and spouse pass away, the nominee receives the entire corpus.

3. Voluntary Exit (Before 60 Without Exceptional Circumstances)

• Allowed, but government co-contribution (if any) will be deducted.
• Only the subscriber’s contributions and interest will be refunded.

Steps to Exit or Withdraw from APY

1. Visit Your Bank Branch

• Go to the bank where your APY account is maintained.
• Request an APY Exit Form.

2. Fill Out and Submit the Exit Form

• Provide your PRAN (Permanent Retirement Account Number).
• Attach the required documents:
  • Aadhaar and PAN card copy.
  • Medical proof (if exiting due to disability or illness).
  • Death certificate (if applying as a nominee/spouse).

3. Bank Processes Your Exit Request

• The bank verifies and forwards the request to NSDL-CRA for processing.
• The corpus amount (after deductions) is credited to the subscriber’s or nominee’s bank account.

Important Considerations

• Once exited, rejoining APY is not allowed.
• Government co-contributions are forfeited if exited before 60.
• Processing of withdrawal requests may take 7-10 working days.

Conclusion

Exiting Atal Pension Yojana is possible under specific conditions like maturity, permanent disability, or nominee claims. However, premature exit before 60 results in penalties and loss of government contributions.

Considering APY Exit? Visit your bank and ensure you meet the eligibility criteria before proceeding with withdrawal.