You have the option to open two sub accounts under the same Permanent Retirement Account Number (PRAN). These sub accounts are called as tiers in NPS:

Tier I: It is also called as pension account. Contributions upto Rs. 50,000 made in this account are eligible for additional deduction from taxable income under section 80CCD (1B). This is over and above limit of Rs 1.5 lakhs- under section 80C. Withdrawals are restricted and subject to terms and conditions.

Tier II: You can invest an additional amount in Tier II NPS account. Subscriber is free to withdraw his entire accrued corpus under Tier II at any point of time. In case you have not contributed even the initial contribution towards Tier II a/c, it will be automatically deactivated as per process. No tax benefits are available in this account. Funds from Tier II can be transferred to Tier I

Models of NPS Accounts

NPS accounts are primarily of two types, Individual NPS account (All Citizens Model) and Corporate NPS account.

All Citizen Model

In an Individual NPS account, the subscriber (Account holder) is the only contributor. All selections pertaining to Scheme preference, Investment choice, Annuity Service Provider, etc. are done by the subscriber alone. Any citizen of India can voluntarily choose to open an Individual NPS account to avail tax benefits on investments and to ensure regular income post retirement. Entry age is from 18 to 70 years.

Corporate Model

In Corporate NPS account, the subscriber and the employer can both contribute to the subscriber's NPS account. A corporate entity will have to register for corporate NPS for the employees to be able to avail corporate NPS benefit. Know more about corporate NPS

Regulator has appointed multiple agencies for different NPS services to ensure better transparency and efficiency.

Pension Fund Regulatory and Development Authority (PFRDA) - PFRDA is a regulator for NPS which was set up by the Government of India on August 23, 2003. PFRDA promotes old age income security by establishing, developing and regulating pension funds and protects the interests of subscribers in schemes of pension funds and related matters.

NPS Trust - This is the Trust body formed for NPS. It is responsible for taking care of the funds under NPS by prudently monitoring / auditing portfolio of Pension Fund Manager on regular basis to ensure subscriber interests.

Central Recordkeeping Agency (CRA) - The regulator PFRDA has appointed K-Fin Technology Private Ltd & NSDL e-Governance Infrastructure Limited to maintain data and records of NPS subscribers. They are responsible for recordkeeping, administration and customer service functions for all subscribers of NPS.

Point of Presence (POP) -HDFC Bank Ltd. is registered with PFRDA as a Point of Presence (POP). We are the first point of interaction between You and the NPS architecture. We shall facilitate the subscriber registration, submission of contributions, request for any modification or exit/withdrawal.

Pension Fund Manager (PFMs) (As on November 21, 2022) -Your contributions are managed by the PFMs who are appointed by PFRDA and are governed by regulatory guidelines. You have complete flexibility to choose any of the following 10 PFMs:

Annuity Service Providers (ASPs) (As on April 28, 2022) -

After completion of 60 years of age, you will have option to select Annuity Plans offered by below mentioned Annuity Service Providers appointed by PFRDA :

NPS has one of the lowest service charges among similar investment products. These charges are regulated by PFRDA.

**Persistency fee is payable to such POPs to which the subscriber is associated for more than 6 months in a financial year

*GST and other levies, as applicable, will be levied as per the existing tax law

*KYC verification charges of eNPS application Rs 125 + taxes

*Processing of Exit / Withdrawal @0.125% of Corpus with Minimum ₹125/- and Max ₹500/- other taxes / regulatory levies applicable from time to time.

NPS Facilities

NPS on mobile Application: A mobile app for NPS Subscribers. You can view your NPS account, scheme holdings, latest Net Asset Value (NAV) and the total value of the schemes through this app. You can view the transaction statement for a particular financial year, as well as details of last five contributions. You can switch among fund managers, asset classes and change the allocation ratio.

You can login to your NPS account using the following links.

Facilities available in Subscriber's login:

View profile details

Transaction Statement

Statement of Holding

Contribution Statement

Transaction through OTP authentication

Contribution

Tier II withdrawal

Scheme Preference change

One Way Switch (from Tier II to Tier I)

Reprint of PRAN Card

Change of contact details

Change of address using Aadhaar authentication

Grievance facility

Various Views

E-PRAN view and download

NAV details

Tier II details

POP (Point Of Presence) details

Facilities outside login:

Contribution

Tier II activation

IPIN reset

HDFC Bank gives you a platform to invest or contribute in your NPS account through SIP (Systematic Investment Plan).Systematic Investment Plan (SIP) is an approach which involves investing a set amount at regular intervals rather than investing a larger lump sum amount in one shot.

1. Using SIP as a mode of investments makes it simple and hassle free

2. SIP allows you the convenience of timely and small investments on a regular basis. Ideal for subscribers looking to invest a specified amount on a regular basis and is lighter on your wallet too

3. Helps you plan for your goals better as with the setting up of SIP you no longer will need to make lump sum payments for your NPS account

4. SIP helps you reap benefits of the 'Power of Compounding' by investing regularly over a long period of time

5. With Rupee Cost Averaging you need not time the market anymore

Please refer to the following T&C for NPS

1. HDFC Bank only facilitates NPS account opening by subscribers. Participation by customers for registration of National Pension System (NPS) is purely voluntary.

2. HDFC Bank shall not be liable for any disputes with respect to the services provided by Central Recordkeeping Agencies “Protean eGov Limited” and "K-Fintech" to customer.

3. While filling details for PAN based registration on HDFC Bank's website, all KYC details must be filled as per Bank records. In case of details in NPS and Bank do not match, the KYC authorization will be declined.

4. On rejection of KYC authorization, subscriber will have to re-apply with correct details or get form and documents verified by Bank Branch and send to CRAs

5. If the minimum annual contribution is not done for Tier 1 or Tier 2 accounts, the accounts are 'freezed' as per guidelines. Funds cannot be transferred from Tier 1 to Tier 2 accounts.

6. An incomplete enrolment will be available for completing later basis the acknowledgement ID. However, the ID will be active only for 15 days.

7. Any Indian Citizen, OCI, NRI between the age of 18 to 70 years can register for NPS account as per PFRDA.

-You cannot have multiple NPS account. If your existing account is not accessible due to any issue, please contact your POP for resolution.

- On clicking on any NPS application link on HDFC Bank website, you will be redirected to the selected CRA's portal. This facility is provided only for the convenience of the customer and HDFC Bank shall not be liable for any disputes with respect to the said service provided by the selected CRA (Protean eGov Limited or K-Fin Pvt. Ltd.) to the customer.