PFRDA has now started using technology to distribute NPS which has failed to take of till now. Now they have started offering this product online by tying up with ICICIdirect.com to distribute this product through e channel. Anyone having account with ICICI Direct can apply for this product online and even invest in the form of SIP.
One can start an SIP (Systematic Investment Plan) (by signing in an ECS mandate form with ICICIdirect.com) for as low as 500 a month and also track the net asset values online. However ICICI direct will levy nominal charges i.e. Rs. 40 for opening an account and Rs. 20 for every subsequent transaction.
Also as a strategy for the off-line model (of business) to promote NPS, PFRDA has decided to put distributors (who run "points-of-presence"), on notice for non-performance and de-register them if they fail to take measures to improve sales.
Further details of opening NPS for all ICICI Direct customers as well as FAQ's will be published in my next post.
