National Pension Scheme – Revised Guidelines in respect of Contribution Collection and Service Charges for opening NPS accounts for NRIs
PFRDA
CIRCULAR
PFRDA/2016/CORP/23/1
January 12, 2016
To,
All Points of Presence, Central Recordkeeping Agency,
Subject: Revised Guidelines in respect of Contribution Collection and Service Charges for opening NPS accounts for NRIs.
With a view to promote NPS among Non-Resident Indians (NRIs), through Points of Presence (POPs) the following changes have been made in the service charge structure and contribution collection.
- Service Charges structure applicable to POPs for NPS accounts for NRIs sourced and serviced abroad :
|
Intermediary |
Charge Head | Service Charges |
Method of Collection |
|
POP |
Initial Subscriber Registration | USD 8 or Equivalent in local currency. | To be Collected upfront |
| Initial Contribution & all Subsequent Contribution | USD 1, or Equivalent in local currency or 1%, whichever is higher subject to maximum of USD 8 or Equivalent in local currency | ||
| All Non-Financial Transaction | USD 1 or Equivalent in local currency |
- Charges for all other intermediaries remain the same.
- For NPS account of NPIs sourced domestically but serviced abroad, i.e. contribution and other non-financial transactions being done abroad by the POP, the charge for overseas servicing would apply.
- For NPS account of NRI sourced overseas but serviced in India i.e. contribution and other non-financial transaction being done in India, the charge for domestic servicing under the existing All Citizen Model would apply.
- The contribution amounts shall be paid by the NRIs either by inward remittance through normal banking channels or out of funds held in their own NRE/FCNR/NRO account.
Contribution structure for NPS Accounts when serviced abroad would be as under:
|
Particulars |
Tier I |
Tier II |
|
Minimum Contribution at the time of account opening |
Rs. 6,000/- |
Rs. 2,000/- |
|
Minimum amount per contribution |
Rs. 2,000/- |
Rs. 2,000/- |
|
Minimum contribution in a financial year |
Rs. 6,000/- |
Rs. 2,000/- |
|
Minimum frequency of contributions per financial year |
1 |
1 |
While servicing these accounts domestically, the contribution criteria will remain the same as applicable to the existing NPS A/cs under the All Citizen Model.
- Once the NRI status of the subscriber changes to Resident status, the subscriber will inform the same to CRA/POP for updating the same in the CRA system.
Yours faithfully,
(Akhilesh Kumar)
Deputy General Manager
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