The Pension Fund Regulatory and Development Authority (PFRDA) is set to introduce changes to the login process for National Pension System (NPS) accounts from April 1. This initiative revolves around the implementation of two-factor authentication process aimed at enhancing the protection of customers within the NPS ecosystem.
Transition to Aadhaar-based authentication
Presently, nodal offices across central and state governments, in addition to pension-related autonomous bodies, rely on password-based login mechanisms for
NPS transactions.
However, users will be required to undergo Aadhaar-based login authentication from April 1.
This will be integrated with the existing user ID and password-based login process.
PFRDA said that this new login process seeks to address concerns related to unauthorised access and potential security threats within the NPS framework.
Aadhaar's two-factor authentication system introduces additional layers of verification to certify the authenticity of fingerprints.
How to use the new service?
To access
NPS accounts under the new authentication system, users must follow these steps:
Visit the NPS website and opt for the 'Login with PRAIN/IPIN' option.
Click on the PRAIN/IPIN tab to open a new window.
Log in using username and password.
Complete the Captcha verification process.
The window will prompt Aadhaar authentication and send an OTP to the registered mobile number.
Enter the OTP received to complete the authentication process.Decoding NPS
The NPS, a government-run investment scheme, allows subscribers to allocate funds across various asset classes.
With two types of accounts, Tier 1 and Tier 2, catering to different investment preferences, the NPS serves as both a pension account and a voluntary savings account.
The
PFRDA has recently outlined new provisions for the withdrawal of pensions under the NPS. These rules stipulate that subscribers can withdraw no more than 25% of their contributions from their individual pension accounts, excluding the employer's contribution.
