Once an NPS account is opened, the Central Record Keeping Agency (CRA) is responsible for recordkeeping, administration and customer service functions for all NPS subscribers. Presently, there are two CRAs namely NSDL CRA and KFin Technologies CRA which are both appointed by PFRDA. CRAs have the responsibility to develop new functionalities or utilities, establish new processes, offer multiple models of interface for the uploading offices in order to provide maximum flexibility in terms of operation for the benefit of the subscribers as an ongoing exercise to fulfill their obligations which ultimately benefit the Subscribers.
Some of the functionalities recently developed and introduced by CRAs are as below. Knowing them will help NPS subscribers to make the best use of their NPS account.
I. Functionalities released by NSDL CRA recently
Virtual ID for D-Remit facility via mobile app
Subscribers can now create Virtual ID for Direct Remittance (D-Remit) through NPS Mobile App instead of being redirected to eNPS portal. This is in addition to the option available on eNPS portal for creation of Virtual ID.
Paperless registration through eNPS
Subscriber registration through eNPS is a completely paperless journey now through OTP Authentication/eSign.
NPS Tax Saver Scheme
Tier II Tax Saver Scheme (TTS) extended to all central government employees who have joined employment prior to 01.01.2004 based on self-declaration.
To facilitate and ease the subscriber registration for government subscribers, an additional option has been introduced for central government subscribers to open an account online through eNPS Portal. Employees under NPS can open accounts on the basis of Aadhaar or KYC Verification by Nodal Office as verification and Authorization of request by Nodal Office is mandatory.
II. Functionalities released by KFin Technologies CRA recently
Upfront Disclosure of Charges
In the Statement of Transaction (SoT), now there will be disclosure of Subscribers’ Charges upfront. In line with the Sumit Bose Committee recommendations on making ‘upfront disclosure’ to the investors regarding costs and commissions, various NPS charges such as CRA charges, PF charges, Custodian charges, NPST charges and Investment Management Fee are included in subscriber’s SOT.
Know Your PRAN in eNPS
In order to facilitate the Subscribers to retrieve their PRANs, ‘Know Your PRAN’ option has been enabled in eNPS website. The user needs to enter PAN, Date of Birth and Captcha and an OTP will be sent to the registered mobile number and email ID. On successful authentication of OTP, PRAN and Subscriber name will be shown to the User.
Some common functionalities made available recently by both CRAs are as follows:
NPS withdrawal – Revision of threshold limit
• Subscribers can opt for 100% lump-sum amount if corpus is less than or equal to Rs 5 lakhs in case of superannuation exit.
• Subscribers can opt for 100% lump-sum amount if corpus is less than or equal to Rs 2.5 lakhs in case of premature exit.
• In case of an unfortunate event of death of Govt Subscriber, nominee(s) can opt for 100% lump-sum amount if corpus is less than or equal to Rs 5 lakhs.
• In case of an unfortunate event of death of Non Govt Subscriber, nominee(s) can opt for 100% lump-sum amount of corpus.
Increase in age of entry
The entry age for NPS has been revised to 18-70 years from 18-65 years.
Extension of age limit for NPS contribution
NPS Subscribers can now contribute till 75 years of age.