Now, open NPS account using OTP-based authentication

The Pension Fund Regulatory and Development Authority (PFRDA) on June 29 said National Pension System (NPS) accounts can be opened using One Time Password (OTP) based authentication.

"This process would ensure seamless account opening, end to end digitisation and optimizing of investment returns by deposit of contributions in a faster way," PFRDA said.

In this process, the customers of banks (registered as POPs- Points of Presence), who wish to open NPS account through internet banking of the respective banks, can open NPS Accounts using OTP received on their registered mobile number.

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However, for opening of NPS accounts through non internet banking digital mode, through POPs (Banks as well as Non - Bank POPs), OTP received on their registered mobile number and email can be used for paperless NPS account opening.

After completion of KYC, POPs have to submit the NPS Subscriber's data/information to Central Record Keeping Agencies (CRAs) along with  photo and image of signature with an undertaking that the KYC/AML guidelines/rules have been duly complied with.

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POPs and CRAs have been advised by PFRDA to provide the required functionality of OTP-based authentication.