Pension Fund Regulatory and Development Authority
The Pension Fund Regulatory and Development Authority (PFRDA) has recently issued detailed guidelines for the onboarding of new subscribers under the National Pension System (NPS) and has also introduced a new Subscriber Registration Form (SRF), this information was given by the regulator in a circular, giving detailed information about its process.
The Pension Fund Regulatory and Development Authority (PFRDA) has made a major change in the rules for adding new members to the National Pension System (NPS). Now the onboarding process and KYC verification for new subscribers has been made easy, transparent and completely digital. Along with this, PFRDA has also released a new Subscriber Registration Form (SRF), so that any person or employee who wants to join NPS gets a smooth experience from beginning to end.
It will be easy to join NPS
According to the new rules, any person can now choose one of the two models under NPS. All-citizen model or corporate model. Apart from this, the scheme can also be selected under Multiple Scheme Framework (MSF). During onboarding, the individual will have to provide personal information, complete the KYC process and give necessary consents. In this entire process, Points of Presence (PoPs) i.e. banks or authorized agents play the main role, while Central Recordkeeping Agencies (CRAs) handle the data records and technical process.
Both digital and physical methods available
- PFRDA has said that onboarding in NPS can now be done in two ways.
- Digital Mode: Registration can be done by yourself or with the help of someone through online portal or app.
- Physical Mode: Subscriber Registration Form (SRF) has to be filled by visiting the nearest PoP branch.
Many easy options for KYC
Under the new rules, KYC i.e. Know Your Customer verification has now been made easier. This can be done in two ways. Face-to-face or non-face-to-face (online). In face-to-face KYC, the PoP officer does the verification by directly seeing the documents or the identity is confirmed through a live video call. Apart from this, options of Aadhaar-based biometric e-KYC or digital KYC are also available. In non-face-to-face KYC, identity can be verified based on Aadhaar OTP, offline QR code, DigiLocker, CKYC number, or even bank records.
Facility for disabled and rural users also
PFRDA has directed that all PoPs should ensure that persons with disabilities or users living in rural areas also get equal facilities. For this, alternative identification option and support in local language will be provided in video KYC. Apart from this, PoPs have also been asked to provide information about the benefits of NPS, investment options and KYC related rules to the subscribers in simple language. This change will not only make it easier to join NPS, but will also increase transparency and security in the process. By providing flexibility in both digital and physical modes, lakhs of new investors will be able to join this government pension scheme.