NPS Update: From April 1, the Pension Fund Regulatory and Development Authority (PFRDA) will make changes to the login process for National Pension System (NPS) accounts. In this initiative, two-factor authentication is being implemented to enhance customer protection within the NPS ecosystem.
Nodal offices in the federal and state governments, as well as autonomous bodies involved with pensions, currently use a password-based login system.
Aadhaar-based authentication will be required from April 1.
The existing user ID and password-based login process will be integrated with this.
According to PFRDA, the new login process aims to address concerns about unauthorised access and security threats.
As part of Aadhaar’s two-factor authentication system, fingerprints undergo additional verification layers.
Users must follow these steps to access NPS accounts under the new authentication system:
A government-run investment scheme, NPS, allows subscribers to allocate funds among a variety of asset classes.
In addition to serving as both a pension account and a voluntary savings account, the NPS offers two types of accounts, Tier 1 and Tier 2.
According to the PFRDA, subscribers under the NPS may withdraw a maximum of 25% of their contributions from their pension accounts, excluding the employer’s contribution.