Skip to main content

How to open an NPS Account with Aadhaar and e-Signature

 

NPS account opening 100% paper-less


PFRDA makes NPS account opening 100% paper-less

Pensions regulator PFRDA has taken a big step to make NPS account opening completely paperless. This means you as a potential subscriber do not need to submit any paper physically anywhere to open a NPS account if you do Aadhaar based registration and eSign feature. This will provide a big boost to the government's Digital India initiative. Many financial product investor feel submitting forms and documents are tedious. This slows down the process, besides introducing friction in the experience.



Let us look at what PFRDA has done. In a circular dated Dec. 15, the regulator has directed that in case Points of Presence (PoP) integrate the eSign-online electronic signature service within their applications for NPS account opening, then there is no need by subscribers/POP to send the physical application form to Central Recordkeeping Agency (CRA).


It was way back in 2013 that PFRDA had allowed acceptance of e-KYC (electronic Know Your Customer) as a valid process for KYC verification. But despite making most of the account opening processes online, there was still the requirement to print the filled form, paste photograph, affix signature and submit the form physically to the CRA. The form was to be sent within 90 days from the date of allotment of PRAN to CRA or else the PRAN was 'frozen' temporarily. PFRDA's Dec. 15 circular now opens the possibility for e-Signature process enabled POPs to dispense with the requirement  of physical submission of application form. Now, a large number of Indians will be able to open NPS accounts, the regulator hopes.


So, check out with your chosen PoP service provider about the new integration option. 


This is how registration using Aadhaar works. We will tell you about the eSign feature as well.

  • You must have an 'Aadhaar number' (with a mobile number registered with Aadhaar)
  • Your KYC in NPS will be done using Aadhaar through One Time Password (OTP) authentication
  • OTP for the purpose of authentication will be sent to the mobile number registered with the Aadhaar
  • Your demographic details and photo will be fetched from Aadhaar database and populated in online form
  • You need to fill up all the mandatory details online
  • You would be required to upload your scanned signature (in *.jpeg/*.jpg format having file size between 4kb - 12kb) as part of the registration process

In case, you wish to replace the photo obtained from Aadhaar, you may upload a scanned photograph

You will be routed to a payment gateway for making the payment towards your NPS account from Debit/ Credit card or Internet Banking


In addition, NRI subscribers should

  • Select the Bank Account Status i.e., Non-Repatriable account or Repatriable account
  • Provide the NRE/NRO bank account details and upload scanned copy of passport
  • Select the preferred address for communication i.e., Overseas Address or Permanent Address (communication at overseas address would entail extra charges)

Now after Permanent Retirement Account Number (PRAN) is allotted, subscriber can use eSign option. For Tier I PRANs generated through Aadhaar, you have option to eSign the document by following the below mentioned steps:

1. Select 'eSign' option in the eSign/Print & Courier page

2. OTP for the purpose of authentication will be sent to your mobile number registered with the Aadhaar

3. After Authentication of Aadhaar, Registration form will be successfully eSigned

4. Once a document is eSigned, you need not send the physical copy of form to CRA

5. eSign charge ?5 plus service tax

In case your PoP doesnt integrate the eSign feature in their application, you can still print and courier the form.

In case you dont have Aadhaar also, you have to use the registraion process using PAN (where the verification is done by the bank).




------------------------------------
Invest Rs 1,50,000 and Save Tax upto Rs 46,350 under Section 80C. Get Great Returns by Investing in Best Performing ELSS Funds

Top 4 Tax Saver Mutual Funds for 2017 - 2018

Best 4 ELSS Mutual Funds to invest in India for 2017

1. DSP BlackRock Tax Saver Fund

2. Invesco India Tax Plan

3. Tata India Tax Savings Fund

4. BNP Paribas Long Term Equity Fund



Invest in Best Performing 2017 Tax Saver Mutual Funds Online

Invest Best Tax Saver Mutual Funds Online

Download Top Tax Saver Mutual Funds Application Forms


For further information contact Prajna Capital on 94 8300 8300

------------------------------------

Leave your comment with mail ID and we will answer them

OR

You can write to us at

PrajnaCapital [at] Gmail [dot] Com

OR

Call us on 94 8300 8300

------------------------------------

 

Popular posts from this blog

Franklin India High Growth Companies Fund

Franklin India High Growth Companies Fund Online One of the key developments that the Street is keenly waiting for is a cut in interest rates by Reserve Bank of India . With demand rising gradually, a rate cut is expected to boost earnings growth for companies. In such a situation, schemes which invest in high growth companies are best suited, especially when seen from a long-term perspective. One such scheme is Franklin India High Growth Companies Fund. Fund managers Anand Radhakrishnan, Roshi Jain and Srikesh Nair strictly follow valuation parameters when it comes to choosing stocks.Valuation parameters, such as enterprise value, price-to-earnings growth ratio, forward price-to-sales ratio and discounted earnings per share, play a critical role in selecting companies for investments. Taking into account these parameters, the fund managers invest in companies which are poised for high growth in their respective sectors. This approach has been in favour of the scheme and it has perform...
Read more

Avoid NFOs

  Don't get taken in by the flurry of new fund offers. You will be better off sticking to the tried and tested schemes.   For the past one year, to cash in on the bull run in equities, mutual fund houses have gone on a new fund offer (NFO) overdrive. But experts are unanimous in their advice: avoid NFOs . While past performance is not an indicator of how a fund will fare in the future, it does tell the investor how skilful the fund manager is. This crucial information is missing in an NFO. Not only is there no track record to judge an NFO by, many NFOs are similar to funds that already exist. If the new fund is similar to existing funds, you are better off investing in the latter. Around 67% of the new launches in 2014 were closed-end products. Investing in the NFO of a closed-end fund is doubly risky. In case the fund's performance is lacklustre, a closed-end fund does not allow you to exit. Even though closed-end funds are listed on the stock...
Read more

Debt Mutual Fund Dividends are Taxable

DDT is deducted when a non-equity fund declares dividends. Equity and balanced fund dividends are tax-free The AMC is correct to deduct the dividend distribution tax (DDT) as it is mandated by tax laws. DDT in mutual funds is deducted every time a non-equity fund declares dividends. Equity fund and balanced fund dividends are tax-free . It is possible that you have invested in a non-equity fund for the first time or have received the dividend under a non-equity fund for the first time. That is why this is the first occasion when you have come across DDT.   The rate at which non-equity schemes deduct DDT has also gone up after the July 2014 budget. This is due to a change in calculation methodology. Earlier, if the fund has to declare a dividend of R 100, it used to make a provision for R 128.3, paying R 28.3 to the taxman and distributing the balance to the investor. This allowed the investor to bear less tax since the effective tax rate was 22.07 per ce...
Read more

Atal Pension Yojana contribution Tax Benefit for spouse

Contributions to Atal Pension Yojana (APY) are eligible for the same tax benefits as the NPS. This means that the contributions can be claimed under Section 80CCD (1B). The current limit for Section 80CCD (1B) is   Rs   50,000, over and above the   Rs   1.5 lakh limit under Section 80C. Section 80 CCD (1) is a different one, meant to cover employers' contribution towards NPS . You cannot get tax benefit by investing in the name of your spouse under Section 80 CCD . ------------------------------ ----------------- Invest Rs 1,50,000 and Save Tax under Section 80C. Get Great Returns by Investing in Best Performing ELSS Mutual Funds Top 10 Tax Saver Mutual Funds to invest in India for 2016 Best 10 ELSS Mutual Funds in India for 2016 1. BNP Paribas Long Term Equity Fund 2. Axis Tax Saver Fund 3. Religare Tax Plan 4. DSP BlackRock Tax Saver Fund 5. Franklin India TaxShield 6. ICICI Prudential Long Term Equity Fund 7. IDFC Tax Advantage (ELSS) Fund 8. Birla Sun Life Tax Relief 96 9. ...
Read more

Mutual Fund Exit Load Changes

Download Tax Saving Mutual Fund Application Forms Invest In Tax Saving Mutual Funds Online Buy Gold Mutual Funds Leave a missed Call on 94 8300 8300 Mutual Fund Exit Load Changes AMCs don't communicate about any change in exit load directly with investors, but do update on their website   The exit load applicable to your investments is the load which existed at the time when you invested in the particular fund. Any subsequent changes in the exit load will not be applicable to your investments.   However, Asset Management Companies ( AMCs ) periodically publish addendums in the newspapers, which state any change in exit loads of specific schemes managed by them. Such changes are also posted on their websites. However, a direct communication to an investor is not made, considering the costs involved in doing so. In their own interests, investors should not only track the performance of the funds they i...
Read more
Related Posts Plugin for WordPress, Blogger...
Invest in Tax Saving Mutual Funds Download Any Applications
Transact Mutual Funds Online Invest Online
Buy Gold Mutual Funds Invest Now