National Pension Scheme (NPS) Account Opening Process: How can NPS account be opened online. Know the complete process.
NPS Account Open: National Pension System account is the government retirement savings scheme of the country. Through NPS, subscribers can deposit their savings and get tax exemption. NPS is operated by the Pension Fund Regulatory and Development Authority (PFRDA). If you are also employed and want a fixed pension after retirement, then open an NPS account today. We are telling you how to open an NPS account online…
NPS Website: NPS Website
To open an NPS account, first go to the eNPS website (https://enps.nsdl.com/eNPS/NationalPension-System.html). If you want, you can also visit the website of any authorized bank or financial institution offering NPS service.
NPS Registration: NPS Registration
First of all, click on the ‘registration’ option on the NPS website and then select ‘new registration’. The applicant will need to provide his Aadhaar or PAN number, mobile number and e-mail ID to open an NPS account. Along with this, the applicant will have to choose one of the three central recordkeeping agencies to maintain the NPS account details. After OTP validation, the applicant will also have to enter his personal details.
Documents required to open an NPS account: Documents for NPS Account
After filling the personal details, the applicant will have to submit his latest photograph, signature and cancelled cheque or bank statement as proof of bank account details.
Account selection: Account selection
After this, the applicant has to choose the account type (Tier I or Tier II or both). Tier I is a mandatory account which offers tax benefits but there is a restriction on withdrawal of money. On the other hand, Tier II is a voluntary account which offers more flexibility but does not get tax benefits.
Choice of manager: After this, the applicant has to choose a pension fund manager for his NPS account. Who will invest in different asset classes. Applicants can choose from the fund managers given in the list.
Contribution and activation
Please note that savings can be started in Tier I NPS account with a minimum starting price of Rs 500. Whereas for Tier II account this limit is Rs 1000. After this, the applicant will get a 12-digit Permanent Retirement Account Number (PRAN). After this, the applicant will have to complete e-sign or OTP-based authentication to verify his identity and activate the NPS account.
