Key facts and recommendations for new law 21.248 (untaxed retrieval of 10% of your AFP funds in Chile)

According to the recent development in Chile, the new constitutional reform will allow you to access a maximum of 10% of your AFP funds. The statute will be be published as law in the official newspaper (“Diario Official”) by Wednesday 29thor Thursday 30thof July, 2020. As soon as the publication takes place, the same day it will become law and you can immediately submit your individual request online to your associated AFP.

We have gathered the key information for you and summarized the important points below:

  1. Funds can be withdrawn tax-free, at zero cost and no deduction of administration costs associated. You are able to access 10% of your AFP pension fund (up to a maximum of 150 UF, the minimum amount is 35 UF). According to the value of the UF on Tuesday 28thof July 2020, this equates to a minimum of $1 million up to a maximum of $4.3 million Chilean pesos.

If your current total funds accumulated is less than 35 UF, you can access the full value of your AFP fund.


Total AFP funds in your account*

You can request*

Payment details

Payment conditions

Up to $ 1.000.000

Full value of your current AFP balance

1 payment

Within 10 working days after your initial request

Between $ 1.000.000 and $ 10.000.000

$ 1.000.000*

1 payment

Within 10 working days after your initial request

Between $ 10.000.000 and $ 43.000.000

10% of your AFP funds

2 payments

First payment:

Within 10 working days after your initial request


Second payment:

Within 30 working days after your first payment

More than $ 43.000.000

$ 4.300.000*

2 payments

First payment:

Within 10 working days after your initial request


Second payment:

Within 30 working days after your first payment

* Calculated amounts according to UF value by July 28th 2020 ($28.671,14)


Here is a link to the law.


  1. Anyone who currently pays and/or has paid into the Chilean AFP system is entitled to access their pension fund.

This includes foreigners with pending visa status, people already in retirement and people who have already left the country. Our current understanding is that making this 10% withdrawal does not impact a subsequent full fund retrieval under the Chilean law 18.156 for professional technical foreigners (assuming the fulfillment of the requirements). There is no mention of an impact on law 18.156 in the new law.


  1. From the point of publication in the “Diario Official”, the request can be submitted online at your AFP (apparently from Thursday 30thof June 2020 onwards). According to law 21.248 you have 365 days to access your money (until 30/7/2021). From Monday 2ndof August 2020 onwards you can also submit your request by phone or in person at your associated AFP office (due to Covid-Situation, we recommend you use the online option).


  1. Total payout will take place within 40 working days, divided into two partial payments (each maximum of 75 UF). If yourtotal AFP balance is less than 35 UF, you will receive your moneyin one transfer. The timing for the first payment is 5 to 10 working days after your initial request. The second payment will take place at a maximum of 30 working days after the first payment.


  1. Please be aware that the 10% AFP withdrawal is a once only request. If you ask for less than the maximum, you cannot access the remaining percentage later on under the same conditions (untaxed, zero cost). We believe that the form may be a bit misleading and so if you would like to make a maximum withdrawal – make this very clear by entering 100%.


  1. The process is free of charge and does not require any intermediary. You only need your Chilean ID (RUT/Carnet) and its serial number to start the request.

No online key or password is needed to start the request. In any case it is recommended that you check your total AFP balance yourself before you begin the process.

Be aware of people (scammers) who offer to deal with this process in your name. Never trust someone orhand over your personal access information by phone. This can easily be done by yourself. You should also expect huge online traffic and maybe breakdowns at the AFP websites as the companies have to prepare for the traffic increase with very short notice.


Next steps (how to prepare for the 10% retrieval)


  • Check online which AFP you are associated with (link)

  • Get your RUT-Card (as you need the serial number) or NIC (número de identificación para Cotización) which is the temporary number assigned by the AFP until your RUT-Card is issued

  • Choose the payment method: preferentially into your bank account in Chile or by cheque (“vale vista” that you cash at Sencillito/Servipag). You can also choose to have the fundspaid into your secondary (Cuenta 2) investment account at yourAFP (the amount will be exempt from their commission/fee) orto the“Caja de compensación” in Chile.

  • The online form needs some personal information such asyour phone number, address and email.

  • You should receive official notice (by phone/email) from your AFP about the amount payable and status of your request within 3 working days of submission