Withdrawal dates and deadlines for free access

Starting in 2024, Peruvian workers will be able to more easily access their Compensation for Time of Service (CTS) accounts.

The regulation of Law No. 32027, which authorizes the free disposal of 100% of compensation for time of service (CTS), was approved with the objective of helping workers face the current economic crisis. This regulation was formally included in the Supreme Decree published in El Peruano and on the pages of the Presidency of the Council of Ministers and the MTPE on the same day of its approval.

Access to CTS accounts will be possible from Monday, May 27, following the publication of the regulations the previous day, Sunday, May 26. This immediate access is a notable difference compared to AFP withdrawals, where withdrawals of the money can take longer.

Finance expert Jorge Carrillo explained that, unlike AFP funds, workers can use their CTS money the day after the regulation is published, similar to what happened in 2021 and 2022. The law stipulates that, once received withdrawal request by employees, banks must release the funds within a maximum period of two business days, that is, until Wednesday, May 29.

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Deadlines for withdrawing CTS

With the approval of the final regulation by the MTPE, workers will be able to freely dispose of their CTS funds as of Monday, May 27. Banks have until Wednesday, May 29, to make the money available. This measure will be in force until December 31, 2024, which benefits thousands of Peruvian workers.

Congress had considered extending this measure until the end of 2026 through more than ten bills, but it was finally decided to allow access to CTS accounts only until the end of 2024.

Can I withdraw all my CTS?

The new regulations allow workers to freely dispose of 100% of their CTS deposits. This means that employees can withdraw and move all the money accumulated in their CTS accounts, including deposits that will be made in the second part of the year 2024. The CTS is deposited twice a year, and this free access does not require workers are unemployed to use their funds. The justification for this measure is to provide support in the midst of the economic recession, similar to the justification used for the withdrawal of AFP funds.