- Advertisement -
New NPS Account Closure Rules : PFRDA has issued new guidelines for subscribers who have given up their Indian citizenship and do not have an Overseas Citizen of India (OCI) card.
These guidelines have been issued on April 21, 2025. As per the new rules, such subscribers will have to inform the NPS Trust about the change in their status and their NPS account will be closed.
Add rightsofemployees.com as a Preferred Source
Renunciation of Indian citizenship means that a person voluntarily gives up his Indian citizenship. This usually happens when a person acquires citizenship of another country, as India does not allow dual citizenship. Under this process, a person has to obtain a certificate of renunciation of Indian citizenship.
An NPS account can be opened by any Indian citizen between the ages of 18 and 70. Apart from this, persons who have renounced Indian citizenship and OCI cardholders can also open an NPS account if they follow the guidelines issued by PFRDA.
NPS account closing process
If a person gives up Indian citizenship and does not have an OCI card, he or she needs to take the following steps:
- Inform the NPS Trust: Firstly, the subscriber needs to inform the NPS Trust about the change in his status and also submit the relevant certificate.
- Closing an NPS account: Once the information is received, the NPS Trust will close the account. The accumulated pension amount will be transferred to the subscriber’s Non-Resident Ordinary (NRO) account, as per the Foreign Exchange Management Act (FEMA).
The following documents will be required to close an NPS account:
To close the account, a signed promissory note will be required confirming that you have renounced Indian citizenship and do not have an OCI card. After all the documents are verified, the account closure process will be done by the NPS Trust and the Central Recordkeeping Agency (CRA). After this, your entire pension amount will be transferred to your NRO account.
The process of closing an NPS account has become more clear now. If you have given up Indian citizenship and do not have an OCI card, you should immediately inform the NPS Trust and you can close your account by submitting the required documents and the amount will be safely transferred to your NRO account.
Add rightsofemployees.com as a Preferred Source
- Advertisement -
