Government Employees: If you are a retired government employee and receive a pension, then it is very important for you to know that the Reserve Bank of India (RBI) has made some changes in the pension distribution process. These changes are even more convenient for pensioners. Recently new guidelines have been given to the bank regarding issues like delay in pension, excess payment or submission of life certificate.
1) Revision in the rate of Dearness Allowance: If the Government increases the rate of Dearness Allowance, banks have been directed to immediately authorise their pension disbursing branches to make payments to pensioners according to this change.
According to the Reserve Bank of India (RBI), banks will have to obtain government orders through mail, fax or email, or obtain information from the official website of the concerned government authorities to determine the payment of updated dearness allowance.
2) Option to submit Life Certificate: Pensioners can submit their Life Certificate through ‘Jeevan Pramaan’ platform, thereby eliminating the need to visit the bank branch. Along with this, RBI has directed the banks to provide the facility of submitting life certificate at home to super senior citizens (above 70 years) and persons affected by serious illness or disability.
3) After the death of the pensioner: If a pensioner dies, the family pension will be credited to the same account and not to a new account. If the wife/husband of the pensioner is the beneficiary of the family pension, then he/she need not open a new account.
4) When is pension credited: Banks have to credit pension as per the instructions given by the pension paying authorities.
5) Excess payment: If excess pension is mistakenly credited into a pension account, banks have been asked by RBI to seek instructions from the pension authorities on how to withdraw the excess amount. If this mistake has been made by the bank, then that extra amount should be immediately returned to the government so that there is no delay in taking back the money from the pensioners.
6) Acknowledgement slip: RBI has instructed banks to give signed acknowledgement slips to pensioners on receipt of their life certificate. Apart from this, banks can also provide digital acknowledgement slips for pensioners who give digital life certificates.
7) Delay in Pension: In case there is any delay in payment of pension or arrears, banks will have to pay the pensioners interest at the rate of 8% per annum, starting from the due date of payment. This will be automatically credited to the pensioners’ account as compensation and the pensioners will not have to make any claim for it.
8) Pension payment to sick or disabled pensioners: If a pensioner is sick or disabled and cannot go to the bank branch and sign the document, then the bank has the right to appoint one of its employees to mark the cheque or form, And for this two witnesses are required. The purpose of all these changes is to provide convenience and security to the pensioners so that they can get their pension without any problem.