Every employee sets aside a portion of their salary for retirement so they don't face financial problems later. This is called pension. The National Pension System (NPS) is considered the best option for this. Now, the process of opening an NPS account has become even easier. The Pension Fund Regulatory and Development Authority (PFRDA) has launched the "NPS Tatkal" feature. Therefore, opening a new NPS account and depositing the initial contribution will be possible through UPI.

Know on which app this facility is available

The NPS instant feature is currently available on the BHIM UPI app and is expected to be rolled out to other major UPI apps in the future. Currently, five major banking partners, including SBI, HDFC Bank, ICICI Bank, Axis Bank, and IDFC First Bank, have signed up for the service.

The biggest feature of this process is that it uses the existing KYC information of your UPI linked bank account, so you don't need to upload any separate documents.

How to open NPS account through BHIM UPI

First, open the BHIM UPI app on your mobile. Then, go to the Financial Services or Investments section. Select the NPS Tatkal option. Select your bank account linked to UPI. The KYC information received from the bank will be verified.

Then, provide your PAN and email address. Enter the nominee's name, relationship, and age. Select the Active or Auto Choice option for your investment. Enter the initial amount to be deposited into your NPS account. Then, enter your UPI PIN to complete the payment.

Once the payment is successful, a message stating "Registration Successful" will appear on your screen. Your PRAN (Permanent Retirement Account Number) will then be generated. This number will be sent to your mobile number and email address.

The NPS Tatkal
feature has made the account opening process faster and more digital. Because the KYC information held by the bank is used, the need for traditional documents and lengthy registration processes is reduced.

PC: Navbharat Times