The National Pension Scheme was launched in 2004 as a government-funded pension scheme. Initially, only central government employees could be a part of this pension scheme. In 2009, this scheme was extended to all the sections of society. Pension Fund Regulatory and Development Authority (PFRDA) is responsible for the regulation of this pension scheme. This scheme promotes sustainable and voluntary contributions to the pension fund system in India.
Every member who invests in NPS is allotted PRAN (Permanent Retirement Account Number). But what is PRAN and why do we need it?
Permanent Retirement Account Number is popularly known as PRAN. Like PAN, even PRAN is a combination of 12 unique characters. As the name suggests, it is a permanent number which stays the same throughout your life and can be accessed from any location in India. All the savings invested in the NPS are reflected in this account. With PRAN, you can access two types of personal accounts. These accounts are:Tier I account:
Amount from this account can be withdrawn anytime and this account is not eligible for tax exemptions. It is a simple savings facility which operates on a voluntary basis. This account was made public on 1st December 2009. If you already have the Tier I account, then you can easily
Application for PRAN can be made via NSDL (National Securities Depository Limited). NSDL acts as the Central Recordkeeping Agency (CRA) for the National Pension Scheme. Once you have all the required documents in place, you can apply for PRAN by submitting the documents to the POP-SP (Point of Presence – Service Providers).
If you are from the corporate sector and wish to subscribe to the NPS scheme, then you need to fill form CS-S1 and submit it to your corporate company. During the time of registration, you need to pay a minimum amount of Rs 500 for Tier I account and Rs 1000 for Tier II account.
You can find the application for the allotment of PRAN at this link: https://www.npscra.nsdl.co.in/download/government-sector/central-government/forms/S1_Subscriber%20Registration%20form.pdf
As you can see, this application form is divided into various sections asking different pieces of information. It is important that you fill the complete form and furnish correct details only.
The last page of the application form consists of instructions. You need to follow these instructions while filing the PRAN application form.
If you are a registered user of an old pension scheme and applying for PRAN, then you need to provide the same details which you furnished while applying for the old pension scheme. If you are an existing subscriber of the scheme, then you need to submit a new application to register yourself with CRA.
You can apply for PRAN via two modes:Online mode:
Any central or state government employee who is already registered with the Central Record Keeping Agency can apply for PRAN (Permanent Retirement Account Number) online. You can apply for PRAN by visiting the official website of NSDL (National Securities Depository Limited) by clicking on the link: https://nsdl.co.in/.
To apply for PRAN, you need to fill the online application form, link to which is mentioned above. You can find detailed information on how you can fill the form in the same section.
Once you have filled in the application, you need to submit the form to your Administrative Officer/Nodal officer who would then forward your application to Central Record Keeping Agency (CRA). People who are already registered with CRA and DDO can directly apply for the allotment of PRAN.
People who do not have access to the internet can opt for this mode. Follow the steps mentioned below to apply for PRAN via this mode.
Central Recordkeeping agency
NSDL e-governance Infrastructure Limited
1st floor, Times Tower
Kamala Mills Compound, Senapati Bapat Marg, Lower Parel
Mumbai – 400013
Ideally, you should receive your PRAN within 15 to 20 days once you have submitted your application. In spite of this, if you want to check the status of your PRAN application, follow the steps mentioned below:
You will see a screen similar to the one mentioned above.
It is important that your updated information is present with the CRA. If you have recently changed your mobile number, residence, or email address and wish to update your PRAN details, then follow the steps mentioned below:
All forms related to PRAN like the application form, change/update form, re-issue form are available at the NSDL portal which can be accessed from this link: www.npscra.nsdl.co.in/
Yes, applications for both the account can be filled and submitted simultaneously. However, if you already have a Tier I account, then you can easily apply for the Tier II account.
Aadhaar and PAN are mandatory documents for opening an NPS account. Both your documents should contain your updated details. Additionally, your bank account should be linked to PAN. Once you have all the documents in place, you can register for an NPS account by filling the registration form and submitting it to any Service-Provider – Points of Presence.
Once your NPS account is opened, CRA (Central Recordkeeping Agency) emails you a ‘Welcome Kit’. This welcome kit will contain your PRAN number, a PRAN card which will contain details related to the subscriber, and a booklet explaining the importance and usage.
Yes, CRA (Central Recordkeeping Agency) will notify you upon the generation of your PRAN. You will receive notification either via an SMS on the number registered with CRA or via email on the email address registered with CRA. The notification sent by the CRA will only contain the last four digits of your account number.
No, it is illegal to hold two PRAN (Permanent Retirement Account Number). However, you can hold one account of each Tier I and Tier II account. If in case, you have two PRANs, you need to inform CRA about the same. You need to send in a deactivation request of any one of the PRAN to CRA.
To deactivate your second PRAN, you need to send the de-activation to Point of Preference (PoP) / Point of Preference – Service Providers (PoP- SP). You can file for de-activation of the account that you want to close. The amount invested in this account will be merged with the active NPS account. Once the amount is transferred, your account will be closed.
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