Now, open NPS account through internet banking using OTP on registered mobile number

New Delhi: Pension Fund Regulatory and Development Authority (PFRDA) on Monday introduced one-time password (OTP) facility for opening the National Pension System (NPS) scheme through internet banking.

However, the customers of banks (registered as POPs – Points of Presence), willing to open NPS account through internet banking of the respective banks, can open such accounts using OTP received on their registered mobile number.

For opening of NPS accounts through non-internet banking digital mode through POPs (banks as well as non-bank POPs), OTP received on their registered mobile number and e-mail can be used for paperless NPS account opening.

Post completion of KYC (Know Your Customer), POPs have to submit the NPS subscriber’s data/information to Central Record Keeping Agencies (CRAs) along with customer’s photo and image of signature with an undertaking that the KYC/AML guidelines/rules have been duly complied with.

POPs and CRAs have been advised by PFRDA to provide the required functionality of OTP based authentication, PFRDA said.

The National Pension System aimed at providing adequate retirement income to every citizen, ensuring financial security. It encourages people to start contributing towards the old age saving.

NPS has been designed to enable the subscribers to make optimum decisions regarding their future through systematic savings during their employment. NPS seeks to inculcate the habit of saving for retirement amongst the citizens.

Initially launched for Central Government employees, later it was offered to employees of various State Governments, corporate, and individuals belonging to unorganized sector and economically disadvantaged sections (NPS-Lite).

With PTI Inputs