The Pension Fund Regulatory and Development Authority (PFRDA) on August 28, 2024, issued a circular regarding the introduction of NPS Contributions through the Bharat Bill Payment System (BBPS).
It is stated that a new additional channel for the National Pension System (NPS) contributions is now being introduced on BBPS to facilitate easier contributions. Subscribers can make contributions using multiple payment applications such as BHIM, PhonePe etc.
Similar to eNPS and D-Remit, trail commissions to Points of Presence (POPs) will be applicable for contributions made through BBPS for subscribers associated with POPs under the All Citizen Model. BBPS and POP charges (trail Commission), as applicable, will be displayed and collected upfront during the payment process. The charges are to be borne by the subscribers upfront while making contributions.
Initially, BBPS will support lump sum contributions, which will be settled on a T+1 basis where 'T' is the date of making contributions by the subscribers. Any unsettled contributions (failed transactions due to any reason) will be refunded to the subscribers within 5 working days. The option for SIP mandate registration to enable systematic contributions through BBPS will be introduced in due course.
[Circular No: PFRDA/2024/15/SUP-CRA/08]
