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As per the PFRDA exit guidelines, Nominee / Claimant can settle the eNPS death claim through NPS Trust. The Nominee / Claimant is required to follow below steps: a) Nominee/Claimant has to get a Bank's KYC Confirmation (Bank Certificate) on bank's letterhead containing the photo and signature of the Nominee/Claimant. The Nominee / Claimant needs to obtain this certificate from his/her Bank. b) The Bank's letter needs to be signed with seal by the designated bank official where Nominee / Claimant has the bank account and where Nominee / Claimant would like to receive the lump sum and/ or annuity and submit the same to NPS Trust. c) Nominee/Claimant is required submit duly filled-up Death Withdrawal Form alongwith supporting documents such as [such as Death Certificate, KYC Documents (Id Proof & Address Proof) and other required documents]. The Death Withdrawal Form is available on CRA website  www.npscra.nsdl.co.in . under Forms Section. or click here d) The above mentio...

NPS Annuity After Death – What Happens to the Corpus? Question: “If an NPS subscriber dies, what happens to the accumulated amount? Will the nominee/legal heir get the full 100% corpus or is it compulsory to buy annuity? Also, is the amount received tax-free?” Answer: As per PFRDA (Exits & Withdrawals under NPS) Regulations, 2015 & amendments , the rules differ slightly depending on the type of NPS account. Let’s break it down: ✅ For Subscribers from Government Sector : If the accumulated corpus is up to ₹5 lakhs , the entire amount is paid as a lump sum to the nominee/legal heir. If the accumulated corpus is more than ₹5 lakhs , then: 80% of the corpus must be used to purchase a default annuity from an Annuity Service Provider (ASP). 20% of the corpus can be withdrawn as a lump sum . ✅ For Subscribers from All Citizen & Corporate Sector : In case of death, 100% of the accumulated corpus is payable to the nominee/legal heir as a lump sum . T...

Has Your KYC Status Changed? Here's What You Need to Know From 1st April 2024 , major changes to the KYC (Know Your Customer) process have been implemented based on SEBI’s circular SEBI/HO/MIRSD/FATF/P/CIR/2023/0144 dated 11th August 2023. These changes affect how KYC Registration Agencies (KRAs) verify investor information, and they can impact your ability to invest in mutual funds. What Has Changed? Under the new rules, KRAs must verify the following attributes of your KYC against official government databases: PAN (including PAN–Aadhaar linkage as per Rule 114 AAA of the Income Tax Rules, 1962) Name Address Mobile Number and Email ID If all these attributes are verified, your KYC will be marked as KYC Validated . Otherwise, your status could be KYC Registered or KYC On Hold . KYC Status Categories The KRAs have updated investor KYC statuses based on the verification results: KYC Validated – All four attributes verified successfully. KYC Registe...

  Procedure for Transmission of Units on Death of a Unitholder Transmission of Units is a process whereby units held by a deceased unitholder are transferred either to the nominee or to the legal heirs of the deceased unitholder as the case may be. The detailed guidelines for Transmission of Units under various situations / scenarios and the forms/formats and supporting documents to be submitted by the claimants under each scenario is explained below. 1.  Deletion of names of the deceased unit holders in case of death of 2nd and/or 3rd Holder : i. Request Form (Form T1) from surviving unitholder(s) requesting for Deletion of Name of Deceased 2nd and/or 3rd Holder. ii. Death Certificate in original or photocopy of the death certificate self-attested and attested by a notary public/gazette officer in original. Fresh Bank Mandate Form along with cancelled cheque of the new bank account (only if there is a change in existing bank mandate) iii. Fresh Nomination Form ...