Citizens step up use of personal accounts for transferring pension savings

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29 january 2019

The Russian Pension Fund has finalized the acceptance of applications for transferring pension funds in 2018. A total of 1,956,200 applications were filed last year. Their number reduced by 66% year-on-year.

Citizens have stepped up the use of personal accounts to apply for transferring their pension savings. The share of applications filed online via the Public Services’ Portal and the PFR website reached 13.4% in 2018, compared to 0.3% the year before.

Some 98.5% applicants requested an early transfer. Most of them (58.8%) wanted to move their savings from one private pension fund to another, and 36.9% asked for transferring savings from the PFR to private pension funds. In 4.3% of cases, applicants asked for an early transfer of their savings from private pension funds to the PFR.

The Pension Fund will process the applications by March 1, 2019. Pension savings will be transferred to private pension funds and management companies before March 31, 2019.

Consistent with the amendments that took effect on January 1, 2019 (Federal Law No 269-FZ dated July 29, 2018), applications for transferring savings to a private pension fund or the PFR, including early transfers, as well as notices of replacement of the insurer or denied replacement of the insurer shall be filed online on the Public Services Portal. It is also possible to file an application personally or via one’s lawful representative with territorial offices of the Russian Pension Fund.

All information and technological solutions related to Federal Law No 269-FZ have been implemented: the person filing for an early transfer of funds is informed about a possible loss of the return on investment.