What Has Changed in NPS Online Registration Rules for New Applicants?
The Pension Fund Regulatory and Development Authority has tightened the online registration process for the National Pension System by making digital authentication compulsory for all new subscribers. As per the latest guidelines, individuals registering for NPS online must now complete their application using either a mobile based One Time Password or an e-Sign facility.
New Delhi, January 5: The Pension Fund Regulatory and Development Authority has tightened the online registration process for the National Pension System by making digital authentication compulsory for all new subscribers. As per the latest guidelines, individuals registering for NPS online must now complete their application using either a mobile based One Time Password or an e-Sign facility.
The move amends an earlier circular issued in June 2020 and is aimed at improving data security and ensuring that subscriber consent is clearly recorded. Under the revised rules, an NPS account will not be activated unless the applicant completes this final authentication step at the end of the digital journey. Pension Reform: PFRDA Allows Banks To Set Up Pension Funds To Promote Sustainable Growth of NPS.
Why PFRDA Has Made OTP and e-Sign Mandatory
According to the regulator, the updated process ensures that the person whose details are being used is the one authorizing the registration. By insisting on OTP or e-Sign verification, PFRDA wants to prevent unauthorized or fraudulent account creation and remove any ambiguity around consent and declarations submitted online. PhonePe, Bharat Connect Launch Contribution to National Pension System, Enabling Millions of Users To Plan Personal Retirement via App.
This new framework replaces the earlier system where such validation was not uniformly enforced across platforms, strengthening trust in the paperless onboarding process.
Instructions Issued to Banks and Service Providers
PFRDA has directed all Central Recordkeeping Agencies and Points of Presence, including banks and other financial institutions, to update their systems. These entities must integrate OTP and e-Sign authentication into their NPS registration portals to comply with the new rules.
For applicants, this means they must have access to the mobile number provided during registration or a valid e-Sign facility to successfully complete the process.
What Is the National Pension System
The National Pension System is a voluntary, defined contribution retirement savings scheme regulated by PFRDA. It allows individuals to build a long term retirement corpus, which is later used to provide regular income through annuities after retirement.
To register under the revised norms, resident Indians need documents such as PAN, photograph, address proof and bank account details. NRIs and OCI cardholders must additionally provide their Indian passport or OCI card along with NRE or NRO account information.
While the rule adds an extra step at the end of online registration, it is expected to make the process clearer and more secure. By standardising OTP and e-Sign authentication, PFRDA continues its push towards a fully digital and transparent pension ecosystem, offering better protection for subscribers and their retirement savings.
(The above story first appeared on LatestLY on Jan 05, 2026 07:06 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).