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What to do if my LIC policy ECS fails

If you had activated the ECS or direct debit payment mode on your LIC policy, the premium will be debited from your bank account on a specified ECS date. But unfortunately, the ECS for your policy may fail due to reasons like insufficient funds in your bank account. If your ECS has failed, your next ECS due will not also be debited from your bank account until you pay your pending due to the current ECS failure.

                For paying the due amount of your failed ECS, you shall pay the outstanding due with any late fees and bank charges by visiting any of the LIC’s branch offices. It’s not necessary that you have to go to your home branch office. You shall pay it as Cash or Cheque towards – Life Insurance Corporation of India. Once you had paid the pending due at any of the counters, your next due ECS would go normal.

                Consider if you are paying premium for your LIC policy on monthly premium payment mode through ECS from your bank account and your policy premium due date is 13th of every month. In this case, your monthly ECS date would be 15th of every month. So, your policy premium would be deducted from your bank account on 15th of every month or if 15th is a bank holiday, then premium would be deducted on the next working day. If the ECS has failed for a particular month, then you shall pay your pending dues within 28th of the same month without any late, since 15 days of late fee free grace period are given for all the LIC policies with monthly premium payment mode. Still, you will have to pay the bank charges of Rs.125 for the ECS failure. If you are paying the pending due post 28th of the month, you will have to pay the next month due in addition with the current month due. So totally, you have to pay 2 month due at once along with the late fee for the current month due and the bank charges.

 



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