PFRDA circular PFRDA/2023/SUP-PoP/05 · 18 Jul 2023
Official title
Guidelines for Operational Activities - to be followed by Point of Presence (PoPs- NPS-lite)
Summary
Check the official recordThe Pension Fund Regulatory and Development Authority (PFRDA) has updated the operational guidelines for Points of Presence (PoP-NPS-Lite). The amendment revises the compensation structure for delayed transactions. PoP-NPS-Lite entities are now required to pay compensation to subscribers at a rate of the repo rate plus 2% per annum of the transaction amount, or the rate determined by the employer/aggregator, whichever is higher. The repo rate used is that declared by the RBI Monetary Policy Committee prevalent on the date of contribution receipt. This specific compensation provision becomes effective on 1 August 2023, while other guidelines issued in March 2022 remain in effect.
What you must do
Key dates
Who is affected
[Image omitted. See the official document.]
PENSION FUND REGULATORY AND DEVELOPMENT AUTHORITY
CIRCULAR
CIR No.:PFRDA/2023/SUP-PoP/05
Date: 18th July 2023
To,
All Points of Presence (PoPs-NPS-Lite)
Dear Sir / Madam,
Subject: Guidelines for Operational Activities - to be followed by Point of Presence (PoPs-NPS-lite)
Please refer to Circular No PFRDA/2022/06/SUP-POP/01 dated 16th March 2022 on Guidelines for Operational Activities -to be followed Point of Presence (PoPs-NPS-lite)
[I] Introductory Para is replaced as under:
In exercise of the powers conferred under Section 14 of Pension Fund Regulatory and Development Authority Act, 2013 (hereinafter referred to as PFRDA Act, 2013) read with the Pension Fund Regulatory and Development Authority (Point of Presence) Regulations, 2018 (as amended) more particularly Regulation 41 and 42, the following guidelines are being issued. These guidelines shall supersede the earlier guidelines dated 1st January 2016 issued for compliance by all Points of Presence registered under Regulation 3(1)(iv) - NPS-Lite-Swavalamban scheme (hereinafter referred to as ‘PoP-NPS-Lite’). Notwithstanding such supersession, anything done or any action taken under or in terms of the said guidelines, shall be deemed to be valid and have effect, for the period, when such guidelines was in force and remains applicable. The present guidelines may be modified by the Authority from time to time depending upon the service requirements/amendments in the law, if any. These guidelines along with amendments shall be deemed to be effective from
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बी-14/ए, छत्रपति शिवाजी भवन, कुतुब संस्थागत क्षेत्र, कटवारिया सराय, नई दिल्ली-110016 दूरभाष : 011-26517501, 26517503, 26133730, फैक्स : 011-26517507, वेबसाइट : www.pfrda.org.in B-14/A, Chhatrapati Shivaji Bhawan, Qutub Institutional Area, Katwaria Sarai, New Delhi-110016 Phone : 011-26517501, 26517503, 26133730, Fax : 011-26517507, Website : www.pfrda.org.in
1st April, 2022, save such provisions which are expressly to take effect from such date as has been specifically mentioned hereunder.
[II] Para 4(i) shall be substituted as below:
PoP-NPS-Lite shall pay compensation to subscribers @ repo rate + 2% p.a. of the transaction amount, which will be the contribution amount (in case of deposit) or exit proceeds (in case of exit/ withdrawal claim), rounded off to next integer value, or as per rate determined by the employer/ aggregator for their employees/ associates, whichever is higher, for the period of delay. The repo rate applicable shall be as declared by RBI Monetary Policy Committee from time to time and as prevalent on date of receipt of contribution.
(Gurminder Kaur) General Manager
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