Maternity capital in 2020, its changes and ways to get it

Maternity capital - this significant assistance from the state began to be issued not so long ago, in 2007. But during this time, all young families were able to appreciate the benefits and the opportunities that the special program provides in matters of caring for the child and family.

You can get a large amount of money for your second child and subsequent children. There are restrictions on the use of mat capital, but there are many options for its use. The main thing is that any use of money is in the interests of the child and improves the quality of life for him.

How much assistance do parents receive for having children? Initially, this amount was 250 thousand, for 2007 it was invaluable help. Every year the amount has increased and now also corresponds to real-time needs, prices .

Before you make plans for benefits or decide how to use government-issued money, you need to know the rules and requirements. When can you use maternity capital, how can you use it wisely and without violating the law?

To whom is it issued?

This financial assistance is provided by the state at the birth of a second or third child. Parents should use benefits only based on the interests and needs of their children. But not every mother will be able to receive benefits; it is allocated only under certain conditions. Who can count on cash benefits?

To receive a sum of money, you must have Russian citizenship and give birth to a second child (third, fourth). Benefits are also given to those who adopt children. The state also considers it necessary to help such parents.
If a child is adopted by a single man, he can also rightfully count on receiving mat capital. But you need to adopt a second child and subsequent ones.
When a mother is deprived of maternal rights or she dies and the child remains with the father, then such a family will also be provided with assistance from the state. In this case, the father may not have Russian citizenship; this is permitted by law.
A minor child up to the age of 23 can also receive maternity capital, subject to full-time education.

In this case, his parents do not have the right to receive financial assistance.

Changes in legislation in 2020

The above methods of using maternity capital will remain without any changes in 2020. To date, no amendments have been proposed to increase the use of maternity capital.

The most pressing issue for 2020 is the end of this program, scheduled for December 31, 2020. This issue caused heated debate on the Internet and at the level of the Russian Government.

The government has already raised the issue of a likely increase in the terms of state subsidies for families with two children by five years until 2023. This proposal was submitted for discussion by the Ministry of Labor of the Russian Federation.

The issue of extending the maternity capital program after 2020 has been resolved until 2021. The program has been extended by Vladimir Putin.

How to register

Mat capital is issued by the Pension Fund . To receive money, transfer it to a loan, and use it for permitted purposes, you need to write an application to the Pension Fund. It is written to the Foundation branch at the place of registration. Based on this application, a Certificate will be issued. Some documents are also attached to the application:

Applicant's passport.
Birth certificate of the second child (third, fourth).
Marriage certificate. If it is terminated, a divorce certificate must be attached to the application.
SNILS of both the applicant and the child are attached.

If you need to get help with the adoption of a child, a certificate of the court's decision on the issue of adoption is submitted along with the application for maternity capital.

A parent who does not have Russian citizenship can also apply for mat capital.
In this case, the children must have citizenship and it must be confirmed with an appropriate certificate. Copies of all listed documents are submitted with the application; the original does not need to be submitted.
How does a minor child receive mat capital? Children can use the right to financial assistance from the state if their parents died or were deprived of parental rights .

In this case, the assistance is issued to the child himself. If there are several children in a family, mat capital is divided between them in the same amount, issued until the children reach 23 years of age. The applicant may currently be outside the country, in which case he sends all documents by mail.

Controversial issues

The most frequently arising controversial issues (according to the review of the RF Armed Forces):

citizenship of parents and children - it must be unambiguously Russian for the mother and all children;
repayment of debt, purchase of housing using borrowed funds - allowed only for two types of agreements: credit (including mortgage) and loan;
the acquisition of a housing share in the right of common shared ownership using MSK funds is permitted by law;
ownership rights in housing purchased with MSK funds arise for all family members in equal shares, including children;
Directing money for education is allowed to pay for paid educational services. As well as other costs associated with obtaining education, the list of which is established by the Government of the Russian Federation. The rules for allocating money for these purposes are also determined by the government.

Important! Funds can also be used for maintenance and childcare in kindergarten, as well as for accommodation (payment of housing, utilities) for a student child in a university or college dormitory.

the right to maternity capital in the event of the death of one of the children - arises if the parents have documents confirming the fact of the birth of these children.

Attention! Does not apply to stillborn children.

guardianship - such legal relations do not give the right to maternity capital, nor do they provide the right to dispose of MSC funds;
territorial location of objects, organizations where MSC funds are directed - the housing being purchased, the land plot on which construction is planned, the educational organization must be located only within the Russian Federation;
the number of loans, the repayment of which is carried out with MSK funds - the law does not limit them, so maternity capital can be redirected to repay an unlimited number of loans;
withdrawal of a previously submitted application for the transfer of funds to the funded part of the pension is permissible only before the date of assignment of the pension;
payment for means of social adaptation of disabled children is provided only in the form of compensation for expenses already incurred by the applicant. Subject to documentary evidence of social and medical necessity and actual incurrence of such costs.

If any refusal occurs on the part of the Pension Fund to exercise the right to MSC, citizens have the right to appeal such decisions and actions (actions/inactions). In this case, the claim is filed in ordinary civil proceedings. There is a corresponding clarification on this matter by the RF Armed Forces.

Application consideration period

The Pension Fund must consider the application for the issuance of mat capital within a month, then a decision is issued on the request. A notification with the decision is sent to the address of the child’s parents who submitted the application. How long will it take for the notification to arrive? After the Pension Fund makes a decision, no more than 5 days should come before the applicant learns about it.

ATTENTION! The Pension Fund prepares and transmits the Certificate; it can be obtained from the regional office. You can receive the Certificate in person or by mail when it is issued by your regional office.

The period for using maternity capital is not limited. But the child must be born after 2007. At any time, you can write an application for help with the birth of a child, for the issuance of a Certificate, even if he is already in school.

Additional payment for purchasing housing in this way

In a typical apartment purchase, there are two parties – the seller and the buyer. If this form of family support is used, a third party is added. This is the Pension Fund, which transfers all or part of the necessary funds.

Therefore, such transactions have a number of design features.

Firstly, you will need to defer payment for about a month and a half. That is, for the period necessary to verify documents and transfer money.
Secondly, these are the nuances in filling out the purchase and sale agreement.

A typical contract contains the following clauses:

date and place of imprisonment.
Information about participants. For individuals this is the full name and passport data, for organizations - the full name and details, full name and data of the representative.
Description of the apartment: cadastral number, address, location, number of rooms, living and total area, etc.
Cost of the apartment.
Term and method of payment.

And in this case the following are also added:

that payment is in full or additional payment is provided at the expense of subsidies.
Certificate number, full name of the person to whom it was issued, date of issue and branch of the Pension Fund.
What part of the cost will be paid with the buyer's funds?
Payment method is non-cash only. The seller's account must be specified.

This agreement is submitted to the Pension Fund of the Russian Federation along with an application with a request to send funds to pay for it. It is reviewed within a month, so it is advisable to compile it correctly immediately.

Otherwise you will have to reapply. Specific requirements and its sample can be found in the territorial department of the fund. Forms may vary slightly from department to department.

Then the agreement is registered in Rosreestr.

Important: The apartment remains pledged to the seller until the PF transfers the money to him. After this, the burden can be removed.

Read our articles about selling an apartment with maternity capital, as well as whether it is possible to buy a second apartment if you already have one and whether it can be spent on renovating the apartment and how to do it.

Purposes of use

Buying a home

Assistance for the birth of a second and subsequent children is provided to the entire family to improve its well-being. It is understood that parents will spend funds taking into account the interests of their children, first and foremost, improving their lives. But capital can only be used for certain purposes; there are some restrictions and rules in this matter.

ATTENTION! You cannot cash out money or withdraw capital from an ATM; they are used only for non-cash payments.

It is allowed to use such a large amount to improve living conditions. Several specific options are implied:

You can use these funds to repay a mortgage loan that was taken out earlier. The mortgage is repaid in full or at least the interest on it. The loan must be taken out for an apartment for the family.
You can also use the capital to take out a new mortgage. It is important that the funds help improve living conditions for children.
Money is allocated for a mortgage not only for an apartment, but also for the construction of an individual house. You can build a house with the help of a construction company, or you can do it yourself, paying for building materials.

It is also allowed, with the help of capital money, to become a participant in shared construction or a member of a housing cooperative by paying a fee. If parents wish to send mat capital funds for a mortgage, they are required to provide the Fund with several important documents:

This is a civil passport.
Capital certificate.
Mortgage agreement.
Contract for the purchase of living space.
The obligation to allocate a share for the child in an apartment purchased with a mortgage.

The Pension Fund may not transfer money to the mortgage account for several reasons. Due to the fact that the applicant did not submit all the documents or he was deprived of parental rights after the Certificate was issued. Also, the reason for refusal will be the commission of a crime by an adult against a minor.

IMPORTANT! Guardianship authorities have the right to impose restrictions on the use of maternity capital issued to the guardian.

Education

Using this capital, you can give your child a good education, pay for kindergarten or college, this is decided by the parents, taking into account the interests of the child. If it is decided to transfer funds for educational purposes, the Pension Fund should be notified about this. Since cash is not issued, it is necessary to correctly carry out the procedure for paying for the services of an educational institution.

Pension

Legislation allows increasing future pensions using capital funds. This is also done with the help of the Pension Fund, to which the corresponding application must be sent.

These are the main goals for which assistance from the state can be directed at this time. But the government plans to expand opportunities in the future; we need to monitor changes in legislation. Perhaps soon it will be possible to treat a child with the help of capital and send him on a good rest.

ATTENTION! The amount of benefits from the regional budget can also be added to the amount of maternity capital, if this is provided for by local legislation.

At the regional level, they adopt their own list of purposes for using mat capital; in some areas it is even allowed to buy land or cars for this money. Regional capital is sometimes issued with the birth of a third child, in which case the application for money under the program must indicate the number of children in the family.

How to avoid falling for scammers

In order to avoid becoming a victim of maternity capital fraud, much less an accomplice, you must comply with several requirements: All transactions with maternity capital must be carried out personally by the owner of the certificate through the territorial body of the pension fund. You cannot issue a power of attorney to use the certificate or believe promises to cash out MSC by bypassing the Pension Fund.

Mortgage loans that you plan to repay with maternity capital should be taken only from banking organizations that have the appropriate licenses. Loans “for maternal capital” in consumer credit cooperatives are a potential risk of losing MSK funds and being involved in a cash-out scam. Since 2020, loans from microfinance organizations are prohibited from being repaid with maternity capital.

It is necessary to strictly comply with all requirements established by law for holders of MSK certificates. For example, if you have paid off your mortgage loan with maternity capital, do not forget to register the property in the name of all family members, including minors, within six months after payment.

If you are offered to cash out maternity capital using the illegal schemes presented in our article, do not hesitate to contact the Pension Fund or directly to law enforcement agencies.

To make sure that going to court is truly justified, it is better to first consult with lawyers. Since the vast majority of claims, due to their groundlessness, remain unsatisfied.

In addition, you can contact the Pension Fund in writing for clarification of unclear legal issues. A detailed written response will be sent in response.

If, even after receiving the PF’s response, some nuances of obtaining an MSK certificate or disposing of MSK funds are still not clear, you can contact the specialists on our website for detailed advice.

When to use

The program for providing such assistance began operating in 2007. After this year, at the birth or adoption of the second and subsequent children, maternity capital is issued, aimed at improving the lives of children and the family as a whole.
It is assumed that parents use the money within three years, but even after this time they can manage the finances (if they have not been used) .
You can buy an apartment or build a house, pay for university education. Parents may also not use the funds until their child reaches adulthood, in which case the Certificate is transferred to him, and he decides where to send the funds.

For the law, it is only important that the capital is issued to a child born after 2007 and is used for permitted purposes. If you do not contact the country’s Pension Fund immediately, this can be done even after ten years, for example. While the program is in effect, many families can count on it.

ATTENTION! Every year the amount is indexed; if at the time the law was adopted it was 250 thousand rubles, then in 2016 it was almost doubled.

Conditions for using maternity capital to purchase an apartment

What conditions for maternity capital exist for purchasing an apartment?

They are indicated in Decree of the Government of the Russian Federation dated December 12, 2007 N 862:

the property must be located in Russia.
Comply with sanitary standards.
Housing must be shared ownership of all family members.
The apartment (or house) must be separate.
Payment must be made by non-cash method.

Important: If at least one of these conditions is not met, the transaction will not be registered or will be declared illegal and terminated.

When can and should you use this form of family support?

In most cases, it can only be used after the second child turns 3 years old.

These are the following options:

purchase of an apartment or house entirely using funds from the certificate. This option is relevant mainly for residents of small settlements.
Buying a home partly using allocated funds, and partly from your own, in which payment is made immediately.
Payment of one of the installments when purchasing a home.
Purchasing an apartment in a new building under an equity participation agreement.
Participation in a housing cooperative.
Construction, landscaping and reconstruction.

Even if the family already has a purchased apartment, you can invest these funds to buy another one. But for this, some additional conditions must be met.

Read more about how to use the certificate to buy a home here.

Until the child turns 3 years old

Before the age of 3 years, there are only 2 options for using funds:

payment of the first installment when purchasing real estate with a mortgage. It can be covered by funds in whole or in part.
Repayment of existing loan obligations. The subsidy can be used to pay principal or interest.

Attention! This loan must be issued for the purchase of real estate. Other loans, even if they are actually used to purchase an apartment, cannot be repaid using this subsidy. You also cannot spend it on fines, penalties, etc.

Find out whether you can buy an apartment with maternity capital here.