How to exit a non-state pension fund?

Fill out an application and receive a response from the bank in just 5 minutes →

After the pension reform, many chose one of the non-state pension funds. But what to do if you made the wrong choice on how to leave the NPF?

You should not think that if you switched to a fund that for some reason did not suit you, then you will remain in it forever. Not at all - you are not limited in your movements, and if you find a better offer with greater reliability and profitability, you have the right to change your NPF.

How does it all work?

Until now, many Russians do not fully understand how exactly non-state pension funds work, what are their fundamental differences from the Pension Fund of Russia? And everything new, as we know, gives rise to mistrust.

Most of us want to know that stability awaits us in the future, and one of its signs is the predetermined size of the pension that you will receive. If you are not satisfied with the investment policy of your fund or you were forced to enter into an agreement with it, then you will need information on how to leave the NPF.

First of all, don't panic. Even if you were forced to transfer part of your funds to a company account illegally or through coercion, this is not so scary.

At any time, you can terminate the contract with the fund and choose the company that will manage your money. We recommend choosing those companies that are included in the reliability and profitability rating.

There is nothing wrong with the fact that your savings ended up in a non-state pension fund. Even if his agents did not act entirely legally, i.e. On their own initiative, they went around the apartments and offered you to draw up an agreement, this does not mean that your money will disappear somewhere immediately after signing the paper.

They will definitely call you and clarify whether you really want to transfer? And only if the answer is positive, your funds will be transferred. NPFs have many advantages over Pension Funds, you can read about them in this article.

How often can you change NPF?

You can change your non-state pension fund once a year. There are no penalties for this, but you should be aware that you will receive interest for less than a full year, i.e. only for those months that you were a member of the fund in the current year.

Very often people do not even know where they are currently being served. If previously funds were required to report annually by letter to their clients, then a few years ago this obligation was removed from them. And if you have lost your contract, or have encountered scammers, then you need to first find out where your money is.

We have collected original reviews on this topic here, reviews from real people, many comments, worth reading.

This is very easy to do: you can contact the Pension Fund of Russia with this question, or find out all the information you need on the State Services portal (before this you need to register your Personal Account there). And then you will have 2 options:

• If you want to transfer your funds back to the Pension Fund, then you should contact their nearest office and write a statement of your desire. You need to take your passport and SNILS with you. This must be done before December 31 of the current year. The company where you were previously served will have to transfer your savings no later than March 31 of the next year,
• If you want to choose another NPF, then you need to choose the non-state fund whose conditions suit you, and either submit an online application on the company’s official website, or personally contact the fund branch nearest to you. You will need a passport of a citizen of the Russian Federation and a SNILS card, using them to fill in your personal data, you will also need contact information. You sign an agreement, and after January 1 of the next year, your pension will transfer to the selected organization.

Reasons and procedure for terminating an agreement with a non-state pension fund

As a rule, the decision on the need to terminate a relationship with a non-state pension fund is made due to the specifics of the agreement itself. For example, this document may contain a list of situations in which all agreements between the parties are canceled.
Other reasons include:

1. The profit of the organization, since the financial benefit that the client receives depends on this indicator. This is an important indicator that you should focus on when choosing an organization to store and increase your savings. For example, funds left in the state pension fund practically do not increase, since the level of profitability of this institution is lower than the inflation rate.
2. Reliability of the organization. Most small companies are closing or reorganizing. Therefore, when choosing a non-state fund to preserve and increase their pension savings, the client should focus not on advertising promises, but on the organization’s position in the reliability rating.

Step-by-step instruction

First of all, the account holder must carefully study the agreement, the other party of which is the NPF.
If this document does not contain special conditions for terminating the relationship, then to transfer funds to another organization, it will be enough to notify the NPF of your desire. According to Russian legislation, changing NPFs is possible no more than once a year.

To terminate relations with a previously selected fund, the client must write a corresponding statement, which reflects information about what the NPF needs to do with the accumulated amount in the applicant’s account.

There can be two scenarios:

1. Transfer of money to another NPF.
2. Transfer of accumulated funds to your bank account.

Depending on the option chosen, the application indicates the fund data or bank account details so that the NPF has the opportunity to transfer accumulated funds and the income received as a result of such investment. Refunds are made within 3 months from the date of receipt of the documents, regardless of the exact stage of termination of the contractual relationship.

All costs of transferring money are borne by the depositor. When withdrawing funds to an account, the applicant must be prepared for the fact that he will additionally have to pay personal income tax.

Required documents

To terminate the agreement, the investor must provide the secretary with the following package of documents:

1. Passport or other document proving the identity of the applicant.
2. SNILS.
3. An order from another non-state fund to transfer funds from an account.

In addition, the investor will need to fill out a form indicating his personal and contact information. Drawing up a new contract with the selected organization is possible only after completing this document.

The agreement to terminate the contract is drawn up in 2 copies, one of which remains in the hands of the applicant.

How to choose a new NPF?

Non-state funds attract new clients, first of all, with their openness, competent investment policy, and increased rates of return. If you compare the percentages that the state and “private traders” are ready to offer you, the comparison will clearly be in favor of the latter.

How is the choice made? People are guided by different preferences - some value positive reviews from friends, some look at official statistics and ratings, others choose solely based on profitability.

We recommend that you take into account the totality of these factors, and profitability and reliability ratings play an important role here. Considering that there are about a hundred different funds in our country, reliability is very important in order not to run into a dishonest company.

We also advise you to choose an organization that has offices in your region or city. Sometimes situations arise when face-to-face consultation or transfer of documents is required, and it is more convenient to do this with offices at short distances.

You might also be interested in these articles:

Possible client losses upon termination

When terminating a contractual relationship with a non-state pension fund, the client will have to incur some losses. In particular:

1. The investor will be able to count on receiving only part of the profit from the investment, since the funds are transferred for an incomplete financial year.
2. An individual is subject to a tax of 13 percent of the income received for investing pension savings. If the applicant decides that the redemption amount is transferred to the account of another non-state fund, then such taxes will not be levied.
3. All costs associated with transferring funds to a bank account or other pension fund are paid by the investor.

Basic information about non-state pension funds

NPFs are non-profit organizations operating on the basis of the federal law “On Non-State Pension Funds”. Funds operate on the basis of a license issued by the Bank of Russia. The Central Bank of the Russian Federation is recognized as the main regulator of the activities of non-state pension funds. The Bank of Russia is also responsible for maintaining the register of non-state pension funds, into which they are included after receiving a state license.

Non-state pension funds are required to make guaranteed contributions to the Deposit Insurance Agency in the amount of 0.025 percent of the calculation base. Given these circumstances, there is no difference in which insurer will manage the funded part of the pension.

The market is constantly changing, and it is extremely difficult to determine by what criteria to make a choice in favor of one or another fund. It is recommended to deal with proven and reliable players. For example, Sberbank NPF has been engaged in similar activities since 1995.

All funds operate on the same principle and follow the same rules. For gross violations of the rules of business, the NPF is deprived of its license and excluded from the register of participants in non-state pension provision.

Automatic termination of the contract

An agreement with a non-state pension fund may provide for a number of situations in which the validity of this document is terminated automatically. These may be cases of failure by a citizen to fulfill any of his obligations, for example, not visiting a branch of a non-state pension fund to renew the agreement for the next year.
In this case, the contract ceases to be valid automatically. There is no need to specifically contact the fund to draw up an application to cancel the agreement or refuse to extend the relationship. All accumulated funds are transferred to the account specified in the documents.

The procedure for forming a funded pension

The total amount of contributions paid by the employer for a citizen is 22%. They are distributed like this:

• 16% – individual tariff (personal account of the insured person).
• 6% - solidarity tariff (charges to finance the basic pension and social benefits: for funeral, for the birth of a stillchild, for maternity on the day of death, and others).

If a person refuses accumulative contributions, then all 16% will go to the formation of insurance coverage. Otherwise, the tariff is divided as follows:

• 6% - for accumulation;
• 10% - for insurance.

Main sources of savings provision:

• 6% of a person’s individual tariff are contributions paid by the employer to the Pension Fund.
• Maternity capital (only women direct funds).
• Voluntary additional employee contributions, including the State Co-financing Program for Pension Payments (you could become a participant in the project until December 31, 2014).
• Investments from management through NPF or Pension Fund.

Advantages and disadvantages

Such savings have their negative and positive sides. The main disadvantage is the lack of state indexation. The size of the latter depends on the performance of the non-state pension fund or management company. Forming pension savings has its advantages:

• Opportunity to receive all savings in the form of a lump sum payment.
• Money in the event of the death of its owner is inherited by his relatives.

• Russians infected with coronavirus will receive mortgage benefits
• Muscovite social card: how to get it and what it gives
• 10 Spices That Heal Your Body

Transfer of pension savings to the Pension Fund of Russia

Despite the fact that the obligation to transfer their pension savings arose for every citizen of the Russian Federation back in 2015, some people are in no hurry to make such a decision.
It is customary to secretly call these people “silent people.” There is also a separate category of citizens who, having transferred their savings to a non-state pension fund, suddenly changed their minds and decided to return their funds to the Russian Pension Fund. In this case, the money in the account will be used to invest in government programs.

Important! To terminate an agreement with a non-state pension fund and transfer your funds back to the state fund, a citizen must submit a corresponding application before December 31 of the current year.

The completed application, as well as all accompanying documents, must be submitted to the territorial office of the Pension Fund. You can do this in several ways:

1. In person or through your representative.
2. By post.
3. In the form of an electronic document on the State Services portal.

Review of received documents is carried out within 3 months. After this period, the money is transferred from the NPF account to the State Pension Fund.

How to exit a non-state pension fund - step-by-step instructions

The moratorium on the formation of the funded part of the pension has been extended until the beginning of 2022. The amendments entered into force on January 1, 2020. This means that the amount of insurance premiums goes to the formation of the insurance pension in full. The rule is mandatory for everyone, and the wishes of the insured person are not taken into account.

An increase in the funded part before the moratorium is lifted is possible thanks to the activities of the Non-State Pension Fund, which, through management companies, invests this money in investment projects. Everything that is transferred by the employer or individual entrepreneur (for himself) goes towards the formation of an insurance pension. At the same time, it will not be possible to leave the NPF without joining another NPF, or without returning the savings to the Pension Fund. The transition is made in several steps.

The right choice of NPF

First, you need to choose the right new non-state pension fund. A non-state pension fund must meet legal requirements: have a state license and appear in a specialized register. The current register is posted on the Pension Fund website. You can find out more information using the following method:

1. Home.
2. Citizens.
3. For future retirees.
4. About pension savings.
5. List of non-state pension funds and management companies.

You can make sure that a specific non-state pension fund has a valid license on the Bank of Russia website in the “Register of non-state pension funds” section. In 2020, there are 33 non-state pension funds operating in the Russian Federation. For example, in 2007, about 250 funds were registered, and as of September 1, 2020 - 58.

Contacting NPF to conclude an agreement

An agreement must be concluded with the selected non-state pension fund. Officially, the document is called a compulsory pension insurance agreement. The contract form is standard (simple written form). You must have a passport of a citizen of the Russian Federation and SNILS with you.

The agreement does not come into force immediately. The document acquires legal force after the funds of the funded part of the pension are transferred to the previous NPF. If the regulator does not impose a restriction on the fund, then it cannot refuse the insured person to enter into an agreement (Article 36.4 75-FZ).

Submitting an application to the Pension Fund

The replacement of the insurer represented by the NPF is carried out through the Pension Fund. The insured person is required to submit an application to the territorial body of the Pension Fund in person, through the State Services portal, or through a personal account on the Pension Fund website. In the latter case, a qualified electronic signature will be required.

Until December 31 of the current year, the submitted application can be withdrawn. This is done by sending a notification to the Pension Fund about replacing the selected insurer. The application is considered until March 1. In practice, a shorter period is possible. The Pension Fund of Russia notifies the insured person and both NPFs - the old and the new - about the decision made. If there are objective reasons, the Pension Fund may refuse to transfer funds to another NPF.

Receiving notifications from both insurers

If the Pension Fund makes a positive decision, then both insurers must be notified about it. In this case, the former NPF is obliged to:

1. No later than one month from the date of receipt of the notification from the Pension Fund of the Russian Federation, send a notification to the insured person about the termination of the contract.
2. Transfer money to the account of the new NPF no later than March 31 of the current year.
3. Provide information about the status of the individual account of the insured person - by email or on paper.

The new NPF is obliged to send a notification to the insured person within 30 days about the amount of credited savings. This is necessary so that there are no discrepancies - the policyholder must be aware of the amount of pension savings credited to his account.

The insured person has the right to contact his NPF once a year to receive an extract on the state of his savings: balance, investment results. An account statement is provided no later than 10 working days from the date of application by the insured person.

Information sources:

• Federal Law “On Compulsory Pension Insurance” - link.
• Official website of the Deposit Insurance Agency - link.
• Federal Law “On Non-State Pension Funds” - link.
• Memo from the Pension Fund of the Russian Federation on managing the funded part of a pension - link.

about the author

Anatoly Darchiev - higher education in economics with a specialty in “Finance and Credit” and higher education in law in the direction of “Criminal Law and Criminology” at the Russian State Social University (RGSU). Worked for more than 7 years at Sberbank of Russia and Credit Europe Bank. He is a financial advisor to large financial and consulting organizations. Engaged in improving the financial literacy of visitors to the Brobank service. Analyst and banking expert. [email protected]

Is this article useful? Not really

Help us find out how much this article helped you. If something is missing or the information is not accurate, please report it below in the comments or write to us by email

Summary

• Application for termination of the contract with NPF Soglasie.
• What needs to be done to terminate the agreement with the NPF (Sberbank) the agreement has entered into force.
• How long will it take for savings to be paid upon termination of an agreement with NPF Blagosostoyanie?
• How to fill out an application for termination of an agreement with NPF trust.
• Please help me draw up an application for termination of the contract with NPF Trust.
• What payments will be made upon termination of the contract with NPF Sberbank?
• Where to go to regarding termination of an agreement with NPF trust?
• Agreement with NPF
• Termination of agreement with the bank
• Signed an agreement with NPF
• Terminate the contract with the NPF
• How to terminate an agreement with a non-state pension fund

Rules for submitting applications to the fund

To become a client of the company and receive payments from NPF SAFMAR, just fill out an application on the company’s website. It must indicate:

• personal data;
• passport details;
• payment parameters;
• payment method.

If this option is inconvenient for some reason, you can order a call to an operator or contact one of the NPF offices to solve all problems on the spot.

How to cancel the contract?

If the agreement does not include any special conditions, then it will be enough to notify Sberbank NPF. Termination of the specified paper becomes available after writing the corresponding application at the bank branch and indicating the number of the Sberbank Non-State Pension Fund agreement.

Additionally, the person must not inform the fund in any way about the decision made. There is no need to comment further on your position.

The application for termination must contain not just a request to cancel the agreement, but also an indication of what to do with the accumulated amount. There are several options to solve the situation:

1. It is possible to use the services of another fund. In this case, the application indicates the data of the new fund.
2. The second option is to transfer funds to the Russian Pension Fund. In this case, you can enter into a Sberbank NPF agreement and then painlessly submit an application to the Pension Fund. The agreement will be terminated automatically.

We invite you to read: Can an acting director sign contracts: a transaction concluded by an employee of an organization without a power of attorney is

An alternative to all funds is to transfer funds to a bank account. When choosing this method, in the application, indicate all the details of the account to which the money will be redirected. The agreement itself can be quickly canceled, but the funds are transferred within 90 days.

It is possible to break off a relationship very quickly. But before you do this, you need to familiarize yourself with some losses for the client.