If you have served or are serving in the Indian Armed Forces and are nearing your retirement age, you may be entitled to a Lumpsum retirement amount as a part of your Pension, Gratuity, Provident fund, Commutation, Leave Encashment and other benefits. This amount can be a valuable source of income and security for your life after retirement. However, it can also expose you to various risks and threats from scammers, frauds, and money lenders who may try to cheat you or exploit you. Therefore, it is important to take some immediate steps to protect your lumpsum retirement amount and use it wisely.


Keep your personal and money info secret.

Scammers and fraudsters may try to contact you through phone calls, emails, messages, or social media and pretend to be from your bank, pension fund, tax department, or other authorities. They may ask you for your account details, PIN, OTP, Aadhaar number, PAN number, or other sensitive information. They may also offer you attractive schemes, investments, loans, or prizes and ask you to pay some fees or taxes to claim them. Do not fall for these traps and do not share any information with them. Always verify the identity and authenticity of the caller or sender before responding to them. If you suspect any fraud, report it to the police or the concerned authorities immediately.

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Think before you act

One of the challenges that you may face after receiving your lumpsum retirement amount is dealing with people who may approach you to borrow money from you. These people may be your relatives, friends, neighbours, or connections who may have genuine or doubtful reasons for asking for money. They may also be persistent, persuasive, or emotional in their requests.

To protect your lumpsum amount from people who want to borrow money, follow these tips: set clear rules and agreements before lending money, and write them down; say no to requests that you don’t like or that may harm your money security and don’t feel guilty or rude; get legal or police help if borrowers harass, threaten, or hurt you, and don’t let them scare or blackmail you. These tips will help you avoid trouble and keep your money safe.

Be Smart and Safe with Your Investments

Do not invest your Lumpsum money in any scheme or product that promises high returns or guarantees without doing proper research and analysis. Always consult a trusted and qualified financial advisor before making any financial decision or ask your inmates, seniors etc. Do not let anyone influence or manipulate you into doing something that you are not comfortable with or that may harm your financial security. Pro Tip: Don’t invest your money in the Stock Market and crypto exchanges without research and don’t trust people who force or persuade you to join Any Network Marketing scheme in the name of passive Income.

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Avoid idle or cash money

Keeping your Lumpsum money idle or in cash can reduce its value over time due to inflation and other factors. It can also make it vulnerable to theft, loss, or damage. Therefore, it is advisable to deposit your money in a safe and reliable bank account that offers you interest, liquidity, and security. You can also diversify your money into different instruments such as fixed deposits, mutual funds, bonds, or stocks, depending on your risk appetite, time horizon, and financial goals.

However, do not invest your money in anything that you do not understand or that is beyond your risk tolerance. Always balance your portfolio between growth and safety and review it periodically to make adjustments as per your changing needs and market conditions.


Spend less, save more

Getting a big amount of money when you retire can make you want to buy things that are costly, fancy, or nice for yourself or your family and friends. While it is important to enjoy your retirement and fulfil your wishes, you also need to be careful and smart with your money. Do not spend your Lumpsum money on things that you do not need or that do not add value to your life. Instead, spend your money on things that enhance your health, happiness, and well-being. For example, you can spend your money on travel, education, hobbies, charity, or other meaningful pursuits.

You can also keep some money for when you need it, like when something bad happens or when you have to pay for something later. Remember, your lumpsum retirement amount is a hard-earned reward for your years of service. Treat it with respect and care and use it wisely.

Lock money in bank FD for 46 days via App

If you are not sure what to do with your lumpsum retirement amount and need some time to plan and execute your investment strategy, you can consider putting your money in a fixed deposit (FD) in the bank through a concerning Bank app for 46 days. (not 45 because a single day makes a difference of 1.4% in interest rate) This option has several benefits, such as:

  • Safety: Your money will be safe and secure in the bank, and you will not have to worry about losing it or exposing it to any risk.
  • Handy: You can easily create and manage your FD through an online app like YONO, or i-Mobile, without having to visit the bank or fill out any paperwork. You can also access your FD anytime and anywhere through the app, and monitor its performance and maturity.
  • Good interest: You can earn a decent interest rate on your FD, which will be higher than the savings account rate. You can also choose the interest payout frequency, whether monthly, quarterly, or at maturity. You can also reinvest the interest to earn more returns.


In conclusion, securing your lumpsum retirement amount is a crucial task that requires careful planning and execution. You need to be aware of the various risks and threats that may try to harm your money and take steps to prevent them. You also need to be smart and safe with your investments and use your money wisely to achieve your financial goals and secure your post-retirement life. By following the tips given in this article, you can protect your lumpsum retirement amount and enjoy its benefits. Remember, your money is your hard-earned reward for your service to the nation and you deserve to keep it safe and secure.

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