Pension New Rules: The rules related to your pension account are going to change from April 1. A circular related to this has also been issued.
Pension New Rules: The Pension Fund Regulatory and Development Authority (PFRDA) has taken a big step to further improve the security of the National Pension System (NPS). PFRDA has started the process of two factor authentication for access to the Central Recordkeeping Agency (CRA). This process will start for common users from April 1. The purpose of this security update is to protect the interests of the customers and stakeholders involved in the NPS ecosystem.
New login system for NPS accounts
After the new step of the regulatory authority, now users will have to go through the process of Aadhaar-based login authentication from April 1, 2024. It has been integrated with the ID and password-based login process of existing users. PFRDA stressed that this new login process is a development and is to safeguard against any un-authorized access and potential threats within the NPS system. Along with this, efforts have to be made to remove the concerns related to this.
Transition process continues
Central Recordkeeping Agencies (CRAs) are continuously working to ensure a smooth transition to this system. Changes in this system are going on through the Standard Operating Procedure (SOP) of the Government Nodal Office. After this process, collaboration will continue with the nodal officers to make the common users aware of the upcoming changes.
Why change the existing NPS and CRA system?
According to the PFRDA circular, nodal offices under the central and state governments, along with pension-related autonomous bodies, currently use password-based login for NPS transactions. Strengthening the authentication and login system with this new upgrade is a better step.
PFRDA wants to create a secure environment for all NPS activities conducted through government offices and autonomous bodies. For this, integration of Aadhaar-based login authentication has been envisaged. If a user enters the wrong password five times continuously, then keeping the security in mind, the NPS account will be immediately blocked. After blocking, the password will have to be reset to recover the NPS account. For this the user will have to answer secret questions or apply for I-PIN.
