A NPS or National Pension Scheme subscriber places a withdrawal or partial withdrawal request by mentioning the required details including the bank account number and IFSC code into which the withdrawal proceeds are to be credited. NPS: What is ‘penny drop’ processThrough ‘penny drop’ process, central recordkeeping agencies check the active status of savings bank account and match the name in bank account number with the name in PRAN (Permanent Retirement Account Number) or as per the documents submitted. Re 1 may be credited in the savings account of the NPS beneficiary as part of penny drop process. In case the penny drop fails at the time of processing, the subscribers will be informed to correct the bank account number and resubmit the application for withdrawal. 2.40 + taxThe above charges include Re 1 credited in the SBA of the beneficiary as part of penny drop process.

Source: Mint July 26, 2021 12:22 UTC