NPS Vatsalya: A Secure Future for Your Child (9,705 minors enrolled)

NPS Vatsalya is a new pension scheme for children designed to promote long-term financial stability and early saving habits. Parents can contribute as little as Rs 1,000 per month, with no upper limit. The scheme has received strong response with over 9,000 minors enrolled.

CONTENTS: NPS Vatsalya: A Secure Future for Your Child

• NPS Vatsalya launched for children.
• NPS Vatsalya launch receives strong response.
• NPS Vatsalya offers flexible contribution options.
• NPS Vatsalya is for minors under 18.
• NPS Vatsalya can be opened online or in-person.
• Proof of identity and address needed for NPS Vatsalya.
• Apply online for NPS Vatsalya.
• ICICI Bank offers NPS Vatsalya.
• Axis Bank opens NPS Vatsalya accounts.
• Central Bank of India
• Invest in NPS Vatsalya (BOM)
• eNPS is fastest way to open NPS Vatsalya.

NPS Vatsalya: A Secure Future for Your Child

The government has unveiled the National Pension System Vatsalya (NPS Vatsalya) scheme aimed at children, which seeks to promote long-term financial stability and foster early saving habits. This innovative pension plan for minors was announced during the Union Budget 2024–25 on July 23, 2024.

NPS Vatsalya: A Secure Future for Your Child According to a press release from the Pension Fund Regulatory and Development Authority (PFRDA) on September 20, 2024, the NPS Vatsalya launch received an exceptional response, with 9,705 minors enrolling through various Points of Presence (PoPs) and the e-NPS portal. Of these, 2,197 accounts were opened via the e-NPS portal alone. The launch event was live-streamed on the Ministry of Finance and PFRDA’s YouTube channels, garnering over 15,723 views.

NPS Vatsalya: A Secure Future for Your Child A Press Information Bureau (PIB) release on September 20 stated that under the NPS Vatsalya scheme, parents can contribute as little as Rs 1,000 per month, with no upper limit, helping to cultivate disciplined savings habits in their children. The plan is designed for parents to manage the account until the child turns 18, at which point ownership can be transferred to the child.

Upon maturity, the account can either be converted into a standard NPS account or moved to another non-NPS plan. NPS Vatsalya is part of the government’s goal to ensure financial well-being, providing a secure financial future with the potential for significant wealth accumulation through compounding.

The NPS Vatsalya plan allows all minors up to the age of 18 to open an account. The account is created in the minor’s name, with the guardian managing it until the child reaches adulthood, making the minor the sole beneficiary throughout the process.

Accounts can be opened through registered Points of Presence (PoPs) affiliated with the Pension Fund Regulatory and Development Authority (PFRDA), which include major banks, India Post, and pension funds. Both in-person and online options are available for setting up accounts. For those preferring the online route, the NPS Trust’s eNPS platform provides a convenient and secure way to open and manage accounts. A full list of registered PoPs is available on the PFRDA website.

NPS Vatsalya: A Secure Future for Your Child For proof of the minor’s date of birth, documents such as a Birth Certificate, School Leaving Certificate, Matriculation Certificate, PAN, or Passport are accepted. The guardian must provide KYC documents, including proof of identity and address, such as Aadhaar, Driving License, Passport, Voter ID, NREGA Job Card, or National Population Register documents. Additionally, the guardian must submit their PAN or a Form 60 declaration as per Rule 114B. If the guardian is an NRI or OCI, an NRE/NRO bank account (solo or joint) in the minor’s name is required.

Click on ‘Apply Online,’ then choose your preferred CRA. Proceed by filling in the required details. CAMS and K-fin Technology will display a separate pop-up based on the applicant’s Date of Birth to input the minor’s details. For Protean, select ‘Applicant Type – NPS Vatsalya.’

According to an ICICI Bank press release, customers can visit any ICICI Bank business center to register for the NPS Vatsalya scheme.

Sriram H., Head of Deposit Products at ICICI Bank, stated, “All ICICI Bank business centers nationwide are now equipped to open NPS Vatsalya accounts, which support long-term wealth creation, ensuring a financial corpus is ready for the minor by the time they reach adulthood.”

NPS Vatsalya: A Secure Future for Your Child At the launch event in Delhi, Finance Minister Nirmala Sitharaman presented a symbolic Permanent Retirement Account Number (PRAN) to Ms. Lamba Karnam Aaditri from Hyderabad, who was chosen by Axis Bank. As part of the initiative, Axis Bank opened a total of 17 NPS Vatsalya accounts and provided symbolic PRANs to the children.

Senior bank officials, Ms. Baishakhi Banerjee, Regional Branch Banking Head for South 1, and Rakesh Bhojnagarwala, Regional Branch Banking Head for West 2, handed over symbolic PRANs and opened NPS Vatsalya accounts for approximately 16 children in Bangalore and Ahmedabad, according to an Axis Bank press release.

Central Bank of India

To invest in NPS Vatsalya, click here

According to the NPS Trust website, “The online platform (eNPS) is the fastest method to open an NPS Vatsalya account. This system enables you to create an NPS Vatsalya account and make future contributions. You can select from the following CRAs:

– Protean
– KFintech
– CAMS NPS.

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