The PPR Digital is a Retirement Savings Plan whose purpose is to set up savings to complement the pension when the Insured Person retires.
This article has the following topics:
- How does Real Vida Seguros' PPR Digital work and what are the conditions that apply?
- How can I manage my PPR Digital?
- What are the conditions for accessing the accumulated amount of my product?
- How can I use my PPR to reduce my mortgage?
- What are the steps to transfer money from my PPR to another management company?
- Can I transfer my balance from PPR Coverflex Real Seguros E or other to PPR Digital?
How does Real Vida Seguros' PPR Digital work and what are the conditions that apply?
You can set up and reinforce PPR Digital through your Coverflex benefits balance, and you can manage it through the My Real Vida platform.
You can carry out reinforcements from €102.00 and for each reinforcement there is a fee of 1.75%, that is, for each €102.00 that you contribute with, the final contribution amount will be €100.21.
If you wish to make an early withdrawal (before completing 5 years) there will be an associated charge of 1% in the first year and 0.5% on subsequent years, that is, in a scenario where you wish to withdraw €100.00 on the first year, you will receive €99.00 in your account (this calculation doesn't consider the return rate). If you wish to withdraw €100.00 on second, third, fourth or fifth years you will receive 99.5€ in your bank account (this calculation doesn't consider the return rate). From the sixth year onwards there is no fee.
The product conditions can be read in the "general conditions" document by clicking on "see conditions" in your Coverflex app.
How can I manage my PPR Digital?
After subscribing to your PPR Digital in the Coverflex app, you will receive an email from Real Vida Seguros within five working days. In this e-mail you can find the credentials to manage your policy through My Real Vida.
In this platform, you'll be able to consult all your movements and any existent documentation (such as your IRS declaration) and/or request partial or total withdrawal of your investment.
You can also continue to top up your policy through your Coverflex benefits balance at your Coverflex app (and you'll also receive a confirmation email within 5 business days)!
What are the conditions for accessing the accumulated amount of my product?
You can receive the accumulated amount whenever you wish (this process takes 5 business days) - however, be aware of potential penalties for redemption outside the conditions set out in the legislation.
You can choose to receive the full amount:
- In a single payment from the insurer;
- In multiple consecutive refunds;
- In lifetime payments;
- In any combination of the above.
Please note that, if you used these contributions to obtain tax benefits based on IRS deductions in the year of the contribution, and if the refund is made outside the conditions set out in the legislation, you may incur a tax penalty.
How can I use my PPR to reduce my mortgage?
Please note that, in order to make a withdrawal for home loans, without penalty in what comes to deductions, the amount must remain in the PPR for 5 years.
What are the steps to transfer money from my PPR to another management company?
First you need to contact your selected management company, and check with them what are the steps to request a PPR transfer to one of their products, and follow all those steps.
The usual process, will lead the selected management company to reach out to REAL Vida and request them the transfer of the funds, typically this is a process that will take between two to four weeks, for the amount to be transferred, deducting any transfer fee, as well as the date to which the transferred amount relates and on which the transfer was made.
The Insurer or the Fund Management Company that receives the transfer must communicate its acceptance, conveying the proposal of the new conditions to be contracted.
The start date of a transferred PPR will always be that of the initial contract and all of the reinforcements will keep its original dates.
Can I transfer my balance from PPR Coverflex Real Seguros E or other to PPR Digital?
No, this product does not accept deliveries via transfers from other PPRs.