Loan on PLI and RPLI Policy
If you’re looking to unlock the potential of your PLI or RPLI policy, consider exploring the option of obtaining a loan against the PLI Policy. A loan on your PLI or RPLI policy can be a strategic way to address urgent financial needs, whether it’s for education, home improvement, or any unforeseen expenses. Here we explore a details guide loan on PLI policy and the PLI loan Calculator
To better understand the specifics, you can use a PLI loan calculator, a handy tool that allows you to estimate the PLI loan amount you can avail of based on the current value of your PLI policy and the terms of the loan. PLI Loan calculator helps you make informed decisions, ensuring that you borrow within your comfortable repayment capacity.
Should you avail loan on Postal Life Insurance Policy?
If you are considering a loan from pli, it is a good option to take a loan on the PLI/RPLI policy for a shorter period. The interest rate on the PLI loan is 10% compounding half yearly.
Considering the rate of return on your PLI policy between 7 % to 7.5% it’s only an additional 2.5% cost of a loan on the policy, which seems much cheaper than any available mode in the market.
You can make repayment of your loan at any time. You can take a maximum loan amount up to 90% of the surrender value of your policy after 3 years.
Here we will discuss in detail PLI loan eligibility, amount, PLI loan online calculation and PLI Loan repayment, documents required, and final settlement of loan amount.
PLI loan eligibility
Loans can be approved using PLI policies as security, excluding Anticipated Endowment Assurance, and Children policies.
Furthermore, loans can also be considered with a Whole Life policy as security, provided that the policy has been active for a minimum of four years and has no outstanding obligations.
When it comes to PLI and RPLI policies, the maximum loan amount permissible is 90% of the policy’s surrender value. However, this is subject to the stipulation that the loan amount must not fall below Rs. 1000/-.
In addition, loans can be extended using an Endowment Assurance (EA) policy, including Joint Life Assurance (Yugal Suraksha), if the policy has been in effect for at least three years.
The following policies of PLI and RPLI are eligible for the loan after a specific time period and some policies are not eligible for a loan:-
Rpli loan eligibility:-
All RPLI policies except Gram priya, Money back and Children’s policy are eligible for loan
How much loan can i get on pli policy:-
The following are the Policy type ( PLI and RPLI) specific conditions for a loan amount available as a percentage of Surrender Value:
|
Policy |
Policy |
Currency |
Percentage |
|
Whole Life Assurance (WLA) |
Suraksha and Gram Suraksha |
More than 4 years to 7 years |
60% |
|
More than 7 years to 12 years |
80% |
||
|
More than 12 years |
90% |
||
|
i) Endowment ii) Convertible Whole Life iii)Joint Life Assurance |
iv)Santosh v) Gram Santosh vi)Suvidha vii) Gram viii) Yugal |
More than 3 years to 5 years |
60% |
|
More than 5 years to 10 years |
80% |
||
|
More than 10 years |
90% |
PLI loan amount calculator online
PLI-Surrender Value Calculator in MS excelPostal Life Insurance Loan Value Calculator in ms excel 👇
PLI Loan Calculator :-
a) Before applying for the loan against your policy, request the nearest Post Office postmaster to provide the loan quote generated through the system.
b) This loan quote shows the loan amount admissible in your policy.
PLI Loan Calculator Online
c) If you have already registered with the customer portal of PLI, you can check the loan amount admissible in your policy online as under:-
Step- 1- Login to PLI Customer Portal:- https://pli.indiapost.gov.in
Step-2- Then Click Tools and Utilities and Loan Quote.
Step-3 Here it will show all your PLI Policy eligible for a loan if you are using the same customer id for login in the portal. Select the policy you want to avail loan facility.
Step-4 – Here it will show the loan admissible amount on your policy and loan repayment term. Here you have to select semi-annual mode as interest compounded half yearly. If you take a loan on 5th January then you have to pay interest up to 30th June. If you paid interest or principal on 20-January or 15 April, all payments will be counted on 1st July i.e after the beginning of the next half-yearly.
Step-5 Here system will plan accordingly your next payment schedule. For example, if the selected 60 months payment schedule. This will be planned as under:-
Also, Read- PLI Customer Portal use
MDR charges in PLI online premium payment
What Documents required for Loan on PLI Policy :-
The documents required to submit along with the loan application form are:
a. PLI Policy Bond in an original.
a. PLI Premium receipt book (in case of cash policy)
b. PLI Loan repayment receipt book (in case of a second or subsequent loan)
c. PLI Disbursing officer’s certificate for last six months for deduction of premium (in case of pay recovery policy)
d. Loan Application Form with assignment letter:-
i) PLI Loan Application in PDF
Also Check:- Download PLI Forms
PLI Loan Process:- Loan Application and Verification:-
The following will be processed for loan on PLI Policy:-
i) Application for a loan in the prescribed form available at any Post Office or downloaded online shall be made to the Postmaster/ Manager of Central Processing Centre (GPO/ Head Office) along with the policy document, premium receipt book (in case of cash policy), and loan repayment receipt book (in case of second or subsequent loan) and disbursing officer’s certificate for last six months for deduction of PLI premium if the case is of pay recovery policy).
ii) The loan application form duly filled in and signed by the insurant, along with the policy document and other documents as mentioned above shall be handed over, against a receipt, to the Postmaster of any Post Office. The Postmaster of the PLI Branch immediately forwards all the Policy Documents the Postmaster of their Central Processing Centre- HO
iii) The Postmaster/ Manager of Central Processing Centre (GPO/ Head Office) shall, on receipt of the application will then check the eligibility and admissibility of the loan based on the following criteria:
a. The documents submitted are verified.
b. The policy should be free from encumbrances or assignments.
c. Calculate using the Loan quote function the maximum loan amount admissible.
iv) After processing the loan and final approval, a copy of the sanction along with a loan bond with the relevant entries filled in shall be forwarded to the Postmaster with instructions to pay the amount to the Loan applicant after executing the PLI loan bond LI-34, which shall be returned by the Postmaster and kept with the policy and the application for a loan in safe custody with the Postmaster/ Manager of Central Processing Centre (GPO/Head Office). Normally loan is sanctioned by the CPC within a week. Ask CPC to call you to collect the cheque or credit to your bank account directly.
v) The half-yearly interest due date will also be noted in the loan repayment book carefully by the Postmaster during the payment to the loan.
vi) The amount of loan sanctioned should be in complete multiples of Rs.100/-
PLI Loan- ब्याज, कैलकुलेटर, Form के साथ पूरी जानकारी | PLI Loan Process | PLI Loan Form Fill
PLI and RPLI Loan | PLI Loan Value Calculator | PLI/RPLI Loan Procedure
PLI Loan Calculations and Rate of Interest on PLI Loan.
a) Policy loan is calculated as a percentage of surrender value.
b) Maximum loan amount applicable shall be 90% of surrender value provided the policy age has exceeded 12 years.
c) The Loan interest rate is 10% pa, subject to change in the future. Interest is compounding half-yearly.
d) Example: Loan Interest Calculation and Repayment –
Loan Interest Rate: 10 %
Loan Amount: Rs. 10000
The Amount of Interest Rs.500/- for 1st half-yearly. ( once in six months ). If the loan payment date is 5th Jan then 1st interest can be paid between 6th Jan to 30th June and 2nd half-yearly interest will be paid between 1st July to 31st Dec. Principle amount fully or partially amount can be paid any time. Hence you have to pay the principal amount once 6 months, however, you can pay the monthly amount but it will not affect the interest to be charged.
e) Interest on the loan will be charged from the actual date of payment to the insurant.
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The article is very informative and helpful. I am benefited for this detailed information.
excellent information.thank you .
Thank you for the valuable info
can i secondtime loan for same policy
Yes after payment of 1st loan fully.
Sir ek pli policy par kitni baar loan le sakte hai
I have taken loan of a sum Rs. 2 lac
Now I want to paid 50000 Rs as partial payment.Then what will be interest bearing amount 1.5 lac or 2 lac.
सर डाक जीवन बीमा पॉलिसी पर दिए गए ऋण की किस्त का पेमेंट ऑनलाइन किया जा सकता है क्या?
Documents for PLI LOAN
I paid loan amount in pil scheme is exempted in income tax
Mujhe loan apni pli Policy pe lena hai 5 lac kitne Percent interest lagega sir