Under the National Pension System scheme, you have to invest for a long period in working life. 60% of the total accumulated amount in NPS can be withdrawn lump sum at the time of retirement, while 40% amount goes to the pension scheme.
National Pension System This is a contributory pension scheme run by the government, so that income can be ensured even after retirement. Under this scheme, you have to invest for a long period in working life. At the time of retirement, you can withdraw 60 percent of the total amount deposited in NPS in lump sum, while the remaining 40 percent amount goes to the pension scheme. There is no limit for investment in NPS.
The higher the amount of 40% annuity, the better will be your pension in old age. But sometimes due to some reasons your account and PRAN (Permanent Retirement Account Number) are deactivated or frozen. If you are having trouble logging into your NPS account online, it could be that your account is also frozen. Know here why this happens and what is the way to activate it again?
Reason for account deactivation
Actually you can put money in NPS in two ways. The first is Tier-1 and the second is Tier-2. Tier-1 is a retirement account, while Tier-2 is a voluntary account. You have to invest Rs.500 in Tier 1 while opening the account. After this, 1000 rupees have to be inserted in Tier 2. You have to make this contribution in every financial year. But if for some reason you are not able to deposit the minimum amount annually in your account, then your account is deactivated.
How to activate
- To reactivate the frozen account, you have to fill the UOS-S10-A form. You get this form from the post office. Or you can take this form from where your NPS is running.
- You can also download the form online. For this you have to click on a link. Link is- https://npscra.nsdl.co.in/download/non-government-sector/all-citizens-of-india/forms/UoS-S10A-Unfreezing%20of%20PRAN.pdf
- A copy of the PRAN card of the subscriber has to be attached along with the form. Along with this, you have to deposit 500 rupees in the account and also have to pay a penalty of 100 rupees.
- After submitting the application, your account is verified by the officials of the office. After this your application is processed and PRAN is activated.
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