AFP Retirement 2022: Since when can I withdraw 4UIT from my pension fund?

The Committee on Economy, Banking, Finance and Financial Intelligence of the congress approved this Tuesday, April 12, the bill authorizing all contributors to withdraw up to 4 ITU of its AFP funds.

It is worth mentioning that initially, the initiative called for the withdrawal of 3ITU. However, various political parties with a presence in the congress, indicated that it is 4ITU, that is, 18,400 soles.

SINCE WHEN CAN THE 4UIT BE WITHDRAWN FROM MY AFP

As is recalled, in the years 2020 and 2021, the withdrawal of the amounts in AFP's savings was granted as a measure to defuse the economic impact caused by the arrival of the pandemic.

The initial measure indicated that the disbursement would take place in three parts and every 30 days. Now, we would wait until the Congress of the Republic can debate these new measures in plenary and know what the mechanism for the withdrawal of this money would look like.

HOW MANY AFPS ARE THERE IN PERU?

In Peru there are 4 Pension Fund Administrators:

HOW DO I KNOW IF I AM AFFILIATED WITH AN AFP?

Don't you know if you belong to an AFP? Don't worry, it's pretty quick, easy and simple, to locate what your AFP is. All you need is your National Identity Document (DNI), personal data and access the SBS portal.

Follow these steps and you're done!

Entra a la web Consulta de afiliados AFP de la SBS.

Choose the option to search by ID or first and last names. Fill in the fields and click “search”.

Finally, the SBS application will show you the AFP you contribute to and the type of commission they charge you.

WHAT IS AN AFP?

Pension Fund Administrators (AFP) are private institutions whose purpose is to manage the funds of their members in order to generate long-term returns for them under the modality of personal accounts. They grant retirement, disability, survival pensions and provide burial expenses.

They operate within the Private Pension System (SPP), which is supervised and supervised by the Superintendency of Banking, Insurance and AFP (SBS).

FITCH RATINGS CALLED IT WORRYING THAT PERUVIANS WANT TO WITHDRAW THEIR AFP

The risk rating agency Fitch Ratings was against the measure that could be approved in Peru, on the withdrawal of more than 18,000 soles from AFP savings per worker, said that this would have a serious impact on GDP.

“Shorter term measures of drawing money from available funds, rather than thinking in the long term about how the pension system should work, depending on the needs of the population, increases costs over time,” said Kelli Bissett-Tom, director of sovereign ratings for the Americas at Fitch Ratings, in dialogue with RPP.

“There is an absence of a larger conversation about the sustainability and equity of the pension system, which we are not seeing today. Political conditions are difficult for a consensus on how to reform the pension system,” he said.

On the other hand, he said that an impact of 10 points of GDP would be harmful to the local economy.

“In the term, the government and other actors and companies that need credit to invest or finance go to the international market, and in an environment of raising interest rates, dollar loans are more expensive and produce more risk,” he said.

(With additional information from RPP and BBVA)

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