What is the process to withdraw from NPS on attainment of 60 yrs of age?

Process for withdrawal: (At least 30 days before attainment of 60 yrs of age)

  • Login in Protean CRA site https://cra-nsdl.com/CRA/ KFintech CRA https://nps.kfintech.com/ and fill up online withdrawal form.
  • Take the printout.
  • Affix latest color photograph and sign across the photograph
  • Signature needs to be done in front of ICICI Securities official. ICICI Securities official needs to declare it on the form by putting stamp & signing on the withdrawal form as stated in the form
  • Subscriber also have to obtain signature of the Authorized Signatory and affixation of Corporate Rubber stamp on the withdrawal form (if applicable)
  • Witness signature as mentioned in the form is also

6.required. (Use of black ink only on the form)

Documents to be submitted along with the form are mentioned below:

  • Original PRAN card
  • Cancelled cheque (as per the bank details filled up in withdrawal form)
  • Self-attested age proof (as per details in withdrawal form)- Original & Signature Verification by ICICI Securities official is required
  • Self-attested address proof (as per details in withdrawal form)- Original & Signature Verification by ICICI Securities official is required
  • Self-attested identity proof (as per details in withdrawal form)- Original & Signature Verification by ICICI Securities official is required

Duly filled form & documents to be sent at below mentioned

address ICICI Securities Ltd, NPS Operations Dept, Shree Sawan Knowledge Park, Plot No. D-507, T.Ts Ind Area, M.I.D.C, Turbhe, Opp. Juinagar Railway Station, Navi Mumbai – 400705

Note : In case the total corpus is up to ₹ 5 lakh then complete withdrawal has to be selected

Is partial withdrawal allowed from NPS tier 1 account?

Yes, partial withdrawal is allowed after lock-in of 3 years as specified by PFRDA.

What is the transmission process to be followed by a nominee in case of death of the NPS account holder?

Following documents are required to be submitted from the nominee/claimant along with the completely filled Withdrawal forms:

i. Original PRAN card

ii. Advanced stamped receipt to be duly filled and cross-signed on the Revenue stamp by the Claimant.

iii. KYC documents (address and photo-id proof)

iv. ‘Cancelled Cheque’ (having claimant’s Name, Bank Account Number and IFS Code) or ‘Bank Certificate’ on Bank Letterhead having claimant’s name, Bank Account Number and IFS Code required to be submitted as bank proof. ‘Copy of Bank Passbook’ can be accepted, however, it should have claimant’s photograph, Name and Bank IFS Code on it and should be self-attested by the claimant.

v. Original Death Certificate issued by the Registrar of birth and death

After obtaining required documents, POP needs to capture the online Withdrawal request. Once authorized by the checker ID, POP will send the Withdrawal form & supporting documents with covering letter to CRA for storage purpose.

What is the transmission process in case of death of NPS account holder who has not selected a nominee?

It is advisable that the NPS subscribers register their nominee(s) in their NPS accounts.

PFRDA has come out with exit and withdrawal regulations which shall govern the exit and withdrawal options from National Pension System. The legal heir(s)/nominee(s) has an option to receive 100% of the NPS pension wealth of the deceased NPS account holder in lump sum or they may opt for buying annuity from the Annuity Service Provider.

The nominee(s) or legal heir(s), as the case may be, will have to fill-in Form 303 (in BLACK INK) and has to submit along with the under mentioned documents to POP:

  • Original Death certificate of NPS account holder (Subscriber).
  • ORIGINAL copy of PRAN card and if the same is not available then the subscriber has to submit the notarized Affidavit for non-submission of PRAN card by the claimant (format as stated by CRA- NSDL)
  • In case of No Nominee: Certified photocopy of family member's certificate issued by Executive Magistrate.
  • Legal Heir Certificate (if applicable).
  • Cancelled Cheque or Bank Certificate of the claimant/s and Nominee(s).
  • Pre-signed receipt (signature across on Re.1 Revenue stamp) acknowledging the receipt of proceed. Kindly note each nominee/legal heir has to pre-sign the receipt.
  • Self-certified photo copy of additional Proof of Identity document (PAN card, Aadhaar, Passport etc) and Proof of Address (PAN card, Aadhaar, Passport etc). (Refer instruction 4 of the said form).

What is annuity?

An annuity is a financial instrument which provides a regular payment of a certain amount of money on monthly/quarterly/annual basis for the chosen period for a given purchase price or pension wealth. In simple terms it is a financial instrument which offers monthly/quarterly/annual pension at a specified rate for the period chosen by you.

Who are the Annuity Service Providers (ASP) for NPS?

Indian Life Insurance companies which are licensed by Insurance Regulatory and Development Authority of India (IRDAI) are empanelled by PFRDA to act as Annuity Service Provider’s to provide annuity services to the subscribers of NPS. To view Annuity Service Providers empanelled with PFRDA you may click on below mentioned link

http://www.npstrust.org.in/content/list-annuity-service-providers-asps-empanelled-pfrda

ASP empanelment is ongoing process and list may be updated accordingly

What are different types of annuities provided for monthly pension to NPS subscriber?

The following are the generic annuities that are offered by Annuity Service Providers to the subscribers of NPS. However, some of the ASP’s may offer some variants which have slightly different or combination type of annuities.

  • Pension (Annuity) payable for life at a uniform rate to the annuitant only.
  • Pension (Annuity) payable for 5, 10, 15 or 20 years certain and thereafter as long as you are alive.
  • Pension (Annuity) for life with return of purchase price on death of the annuitant (Policyholder).
  • Pension (Annuity) payable for life increasing at a simple rate of 3% p.a.
  • Pension (Annuity) for life with a provision of 50% of the annuity payable to spouse during his/her lifetime on death of the annuitant.
  • Pension (Annuity) for life with a provision of 100% of the annuity payable to spouse during his/her lifetime on death of the annuitant.
  • Pension (Annuity) for life with a provision of 100% of the annuity payable to spouse during his/her lifetime on death of the annuitant and with return of purchase price on death of the spouse. If the spouse predeceases the annuitant, payment of annuity will cease after the death of the annuitant 7.and purchase price is paid to the nominee.

What are the factors that determine the annuity income when you buy an annuity?

The factors that determine annuity income are

  • Pension wealth/retirement corpus invested in annuity (Higher investment in annuity will result in higher pension)
  • Type of annuity variant chosen

How is annuity or monthly pension paid?

Annuity Service provide would transfer funds to Subscriber’s bank account registered under NPS.