The Ukrainian government has adopted new rules that apply to migrant pensioners who opened pension accounts with Oschadbank by February 24, 2022. According to the updates to the legislation, pensioners who do not use their accounts for more than a year or do not undergo identification may lose access to their pension payments.
These changes provide for two main cases where funds can be withdrawn from an account:
- Inactivity for 12 months. If a pensioner has not performed any operations with the account during the year (did not withdraw funds, did not make non-cash transactions or transfers), the bank will automatically return the funds to the Pension Fund of Ukraine.
- Failure to pass physical identification. If a pensioner has not passed identification at Oschadbank within six months, his pension funds may be frozen until the requirements are met.
However, the government notes that withdrawals will not be made if there is a lien or other legal restrictions on the account.
To maintain access to their funds, IDP pensioners are advised to regularly perform account transactions, which can be any cash withdrawal, card use, or non-cash transfers. It is also important not to forget to undergo physical identification, which can be done at any Oschadbank branch or through an ATM with a video identification function.
If the funds were nevertheless withdrawn due to failure to meet the specified conditions, pensioners can contact the Pension Fund of Ukraine or Sberbank to resume payments. After passing identification and submitting an application, payments will be resumed from the month in which they were suspended. All accumulated funds will be returned in full.
At the same time, pensioners can expect an increase in pensions in 2025. According to government forecasts, indexation will amount to 10% to 17% of the basic pension amount, although the minimum pension will remain at the level of 2,361 hryvnia. The minimum supplement after indexation will be 100 hryvnia, the maximum - 1,500 hryvnia.
Therefore, it is important for pensioners not only to follow the new rules so as not to lose access to their funds, but also to expect additional income in the event of indexation.
