Reactivate your NPS account after it becomes inactive: A guide for NPS subscribers

The National Pension System (NPS) is a government-sponsored pension scheme that allows individuals to save for their retirement. It is a flexible and cost-effective way for individuals to plan for their financial future and ensure that they have a steady stream of income during their golden years. However, sometimes, due to various reasons, an NPS account can become inactive. In such a case, NPS subscribers may want to reactivate their account to continue saving for their retirement. Here is how NPS subscribers can reactivate their NPS account after it becomes inactive:

1. Contact the Central Recordkeeping Agency (CRA): The first step for NPS subscribers to reactivate their account is to contact the Central Recordkeeping Agency (CRA). The CRA is responsible for maintaining the records of all NPS accounts and facilitating the activation process. Subscribers can contact the CRA through email, phone, or online through the NPS Trust website.

2. Submit the required documents: To reactivate an NPS account, subscribers will have to submit certain documents to the CRA. These include a reactivation form, proof of identity, proof of address, and any other documents as required by the CRA. It is important to ensure that all the documents are in order and complete before submitting them to the CRA.

Also read: New insurance rules: IRDAI makes KYC mandatory from January 1; check details

3. Make a contribution: After the reactivation process is complete, NPS subscribers will have to make a contribution to their account to reactivate it. The minimum contribution required will depend on the type of NPS account and the subscriber's age.

4. Choose an investment option: Once the account is reactivated, subscribers will have to choose an investment option for their NPS contributions. There are two types of investment options available under the NPS: active and auto. The active option allows subscribers to choose the specific funds in which they want to invest their contributions, while the auto option allocates the contributions across different asset classes based on the subscriber's age and risk appetite.

5. Update personal details: It is also important for NPS subscribers to update their personal details, such as their address, phone number, and email, with the CRA to ensure that they receive all the relevant communication and updates related to their NPS account.