Who can access the withdrawal of funds from the AFPs and what requirements must they meet?

An AFP is a Pension Fund Administrator —according to its acronym— and is the governing body that regulates all the amounts that correspond to people in retirement, disability and survival, in addition to providing burial expenses. These, according to their official website, operate in the Private Pension System (SPP), supervised and supervised by the Superintendency of Banking, Insurance and AFP (SBS).

There are several mechanisms in place to withdraw funds from AFP to which you can access depending on the purpose for which you want to have access to this money. Some of the modalities allowed by the authorities are the following: Special Early Retirement Scheme (REJA), 25% to purchase a home and the minimum pension law, which allows the withdrawal of excess money once the target pension has been met.

How to withdraw my AFP fund for early retirement?

According to him Special Early Retirement Scheme (REJA), you can access 95.5% of your funds being as young as 50 years of age if you are unemployed for 12 consecutive months. In addition, you must have a minimum of 72 months of contributions in the course of the last 120 months and the calculated pension must be equivalent to a minimum of 40% of the monthly remuneration.

How to withdraw my AFP to buy a home?

The withdrawal of AFP for housing, which is governed by the Law No. 30478, corresponds to all contributors to the Private Pension System (SPP). These are allowed to dispose of up to 25% of their pension fund to acquire a property, at the beginning or at the end of their affiliation. Ending the month of February 2023, there were approximately 115,000 affiliates who withdrew up to 25% of their AFP to buy a home. Next, we offer you the following steps:

1. The affiliate must go to a bank and request this mortgage loan.
2. They will give you a pre-conformity document.
3. The affiliate requests his 25% from the AFP.
4. The AFP evaluates the request and, if approved, will send the entity a communication of origin in 10 business days.
5. The AFP make the disbursement of the amount approved directly in the financial institution within a period of 10 working days.

Minimum pension: how to withdraw the surplus from my AFP?

The minimum pension law states that the member of the AFP You can define the amount of the pension you want to access when you retire, but this must not be less than the value of a basic consumption basket, that is, from S/378; In addition, it requires that you accumulate up to approximately S/85,000. The Ministry of Economy and Finance (MEF) specified that access to this benefit will be possible from the age of 65, that is, from the legal retirement age in the Peru.