According to the Pension Fund Regulatory and Development Authority (PFRDA), certain adjustments have been made in the National Pension System (NPS) e-nomination process flow for Government/Corporate Sector subscribers. Existing NPS customers can use “e-enrolment” using their login credentials to update their enrollment in their PRAN. Subscribers can also choose to physically submit the application for modification of enrollment to the concerned Nodal Officers, Corporate or Points of Presence (POP). In a circular issued on August 25, 2022, PFRDA stated that if the Nodal Office does not take action against the enrollment request within the given 30 days, it will be approved in the CRA system. The revised e-nomination process flow will be effective from October 1, 2022.
PFRDA announces availability e-nomination Service for NPS customers in the notification dated September 3, 2020. For the purpose of amending the enrollment in the PRAN of the customers as recorded by the appropriate CRA, the e-nomination requests for the customers associated with the Government or any identified corporate should be approved. Concerned Nodal Office or Identified Corporate. “A large number of e-nomination requests of members are pending, which are attributed to non-authorization by the concerned nodal office/corporate,” the PFRDA said.
The PFRDA has said in a circular that it has been decided in the interest of the subscribers that once the nomination request is initiated by the subscriber, the Nodal Office will be given an option to accept or reject the nomination request. If the Nodal Office has not initiated any action against the request within a period of 30 days, the request will be accepted in the CRA system. The revised process flow will also be applicable to the existing e-nominations, which are still unauthorized.”
As per regulation 32. Nomination as prescribed by PFRDA “Notwithstanding anything contained in these regulations or any other law, a subscriber at the time of joining the National Pension System is required to make a nomination in the specified Form, for one or more persons to receive that amount.” which in the event of his death may stand to his credit in the accumulated money or fund, before the amount due or payable has not been paid to the nominee or the nominee, as the case may be shall, on the death of the subscriber, be entitled to receive all monies, excluding all other persons, who have so remained unpaid.”
Subscribers should additionally include an online statement that states the following in the e-nomination “I understand and consent to the nomination now being made by me shall be prima facie void if it is in accordance with Regulation 32 of PFRDA (Exit and Withdrawal)”. ) Regulations, 2015 and Amendment”.
According to PFRDA “If you are making Enrollment You will not be charged at the time of registering for PRAN. However, subsequent request for enrollment updation will be treated as service request and you will be charged an amount of Rs. 20/- plus applicable service tax for each request.”
As per the guidelines laid down by PFRDA “You need to appoint a nominee in the prescribed section of the opening form while opening the NPS account. You can appoint up to 3 nominees for your NPS Tier I and NPS Tier II account. In such a case you have to specify the percentage of your savings that you want to allocate to each nominee. The share percentage of all the nominees should be 100% collectively.”
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