CRA Charges For NPS, NPS-Vatsalya, UPS, APY Accounts Revised; Check Details
The fees will vary for private sector and government sector NPS subscribers.
The Pension Fund Regulatory and Development Authority (PFRDA) has announced a revision in the Central Recordkeeping Agency (CRA) charges for various pension and savings schemes, including the National Pension System (NPS), NPS-Vatsalya, Unorganised Pension Scheme (UPS), and the Atal Pension Yojana (APY).
The new charges, effective October 1, will be used to maintain subscriber accounts. The fees will vary for private sector and government sector NPS subscribers.
The circular, dated September 15, states, "A central recordkeeping agency may collect service charges plus applicable taxes for providing services to the subscribers of the pension schemes covered under the Act."
Charge structure for govt. sector subscribers of NPS and UPS
Under the new structure, the Permanent Retirement Account Number (PRAN) opening charge will be Rs 18 for an e-PRAN kit and Rs 40 for a physical PRAN card. The annual account maintenance fee has been set at Rs 100 per account, while transaction charges remain nil.
"The annual maintenance charge shall be zero for accounts having nil balance. Also, the e-PRAN kit should be the default option at the time of opening the account," the circular mentioned.
Charge structure for APY and NPS Lite
The PRAN opening charge and the annual maintenance fee will both be Rs 15 per account. There will be no transaction charge.
Charge structure for pvt. sector subscribers of NPS and NPS Vatsalya
The PRAN opening fee is Rs 18 for e-PRAN and Rs 40 for a physical card. Transaction charges are nil. The annual maintenance charge (AMC) depends on the Tier I account balance. Accounts with a balance of up to Rs 1 lakh will have no charges, while balances between Rs 1 lakh and 2 lakh will incur an AMC of Rs 100.
For balances between Rs 2,00,001 and Rs 10 lakh, the charge will be Rs 150, and for Rs 10,00,001 to Rs 25 lakh, it will be Rs 300. Accounts holding Rs 25,00,001 to Rs 50 lakh will pay Rs 400, while balances above Rs 50 lakh will be charged Rs 500 per year.
According to the circular, the CRAs cannot charge more than these amounts. However, CRAs can reduce the charges at any time, or offer lower fees based on agreements with employers, subscribers, or Points of Presence (PoPs).
For private sector NPS accounts, each pension scheme account is charged based on the balance slab.
