Untitled Page
All-India Toll Free number1800 22 22 441800 208 2244 All-India Toll Free number for PMJDY Scheme1800 22 22 43
  Consent form for Aadhar and mobile Seeding new
Dedicated Number for NRI+918025302510 Link your Aadhaar Number new Update your FATCA/CRS Details new
 
 
facebaook twitter Instagram   YouTube
Govt. Saving Schemes
National Pension System
Features
 
 
 
NPS has been introduced by Pension Fund Regulatory and Development Authority (PFRDA) to promote old age income security to all citizens of India including workers of the unorganized sector with effect from May 1, 2009. Union Bank has been authorized to collect funds under NPS from subscribers. All branches will work under one branch (which is called Point of Presence).
 
Features of NPS:
  1. A) Every individual subscriber will be issued a Permanent Retirement Account Number (PRAN) card and having 12 digit unique numbers.
  2. B) Under NPS account, two sub-accounts – Tier I & II are provided. Tier I account is mandatory and the subscriber has option to opt for Tier II account opening and operation. The following are the salient features of these sub-accounts:
    • Tier-I account: A non-withdraw able retirement account which can be withdrawn only upon meeting the exit conditions prescribed under NPS.
    • Tier-II account: This is a voluntary savings facility available as an add-on to any Tier-1 account holder. Subscribers will be free to withdraw their savings from this account whenever they wish.
 
Minimum Annual Contribution Requirements under NPS:
Below is complete information on the minimum contribution requirements:
S. No.   Tier I Tier II
1 Minimum Contribution at the time of account opening Rs. 500 Rs. 1000
2 Minimum amount per contribution Rs. 500 Rs. 250
3 Minimum total contribution in the year Rs. 1000 Nil
4 Minimum frequency of contributions 1 per year Nil
 
Fund Management Schemes:
The NPS offers two approaches to invest subscriber’s money:
  • Active choice –Here the individual would decide on the asset classes in which the contributed funds are to be invested and their percentages (Asset Class E-Equity(maximum of 50%), Asset Class C-Corporate Debt Securities, and Asset Class G-Government Securities)
  • Auto choice - Lifecycle Fund- This is the default option under NPS and wherein the management of investment of funds is done automatically based on the age profile of the subscriber.
Subscriber has control on the choice of investment made and the fund manager who manages the investments. Subscribers can switch over from one investment option to another or from one fund manager to another subject to certain regulatory constraints.
 
Pension Fund Managers (PFM’s):
The funds contributed by the Subscribers are invested by the PFRDA registered Pension Fund Managers (PFM’s). At present, Subscriber has option to select any one of the following 7 pension funds:
  • ICICI Prudential Pension Funds Management Company Ltd.
  • IDFC Pension Fund Management Company Ltd.
  • Kotak Mahindra Pension Fund Ltd.
  • Reliance capital Pension Fund Ltd.
  • SBI Pension Funds Pvt Ltd.
  • UTI Retirement Solutions Ltd.
  • HDFC Pension Management Co. Ltd.
 
Tax Benefits:
The amount contributed is entitled for deduction from gross total income upto Rs.1.50 lakh (along with other prescribed investments) as per section 80C (as per the provisions of the Income Tax Act, 1961 as amended from time to time).
An additional deduction for the investment up to Rs 50000 in NPS (Tier 1 account) has been introduced under sub section 80 CCD (1B) for the year 2016-17. This is over and above the deductions of Rs 1.5 lakhs available under sec 80CCE
 
Withdrawal:
Tier 1:

Before attaining 60 years - withdrawal permitted upto 20%. Minimum 80% of the pension wealth shall be invested for purchase of life annuity from IRDA regulated life Insurance company.

On attaining 60 years- withdrawal subject to minimum 40% of the pension wealth invested for purchase of a life annuity from IRDA regulated Life Insurance Company.

Death : In case of death full pension wealth shall be available to the nominee. A nominee cannot continue the account.

Tier 2:

There is no minimum balance requirement; amount can be withdrawn any time.

 

Other Facilities:
  1. Account can be transferred from one POP to another.
  2. Provision for Change in subscriber details, investment scheme, fund manager etc.
  3. Printed statement available.
Note: Power of Attorney in case of NRI Subscriber is not available.
 
Branches:: More than 3000 branches are authorised for NPS all over India. Branches list attached for reference. Customer can come to any authorised branch of Union Bank of India and open NPS account with us.
 
NPS All Branches LIST
 

For any information/suggestion/Complaint, please write at gbdcomplaints@unionbankofindia.com

I am a defense pensioner dependent on your sector 29, NOIDA branch drawing pension for more than 12 years.
Untitled Page