NPS Withdrawal Rules Changed: Ten Things To Know

NPS Withdrawal Rules Changed: Ten Things To Know

Unlike the popular perception that the investment in a government-conceived and promoted national pension system (NPS) is locked until the subscriber makes an exit from the scheme, there are some exceptions made from time to time to allow the subscribers to withdraw a part of the accumulated funds. Currently, the withdrawal limit is 25%, and can be made for a host of reasons that include critical illness, marriage of children and the purchase/construction of house. Recently, the pension fund regulator PFRDA allowed the NPS (National Pension System) subscribers to withdraw the money for purposes that include higher education and investment in new business. NPS is government’s flagship social security programme.

NPS Withdrawals. Ten Things To know

9. The subscriber shall be allowed to withdraw only a maximum of three times during the entire tenure of subscription under the NPS. The request for withdrawal shall be submitted by the subscriber to the central record keeping agency or the NPS trust for processing through their nodal office.

10. When a subscriber is suffering from any illness, specified in sub clause (d), the request may be submitted through any family member of such subscriber.

Source by:-ndtv

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