Mangaluru,Feb 16, 2017 : Karnataka Bank today launched “National Pension System” popularly known as NPS at its Corporate Office in Mangaluru on February 16, Thursday.
NPS is introduced by Government of India with an intention to provide old age financial security by way of regular income in the form of Pension. At the earning age, one can contribute to the NPS and start receiving Pension on his attaining the age of 60years to meet his financial needs. Any individual between the age 18 years - 60 years can register his name with the Bank branch to contribute and to get the pension benefit under this scheme. The Investor can avail of the exemption to the extent of Rs.50,000 under Section 80 CCD 1[b] even though he is contributing towards any other pension schemes.
Because of the flexibility and tax exemption feature, it is most suitable to the earning unorganized sector employees.
Speaking on the occasion, P Jayarama Bhat, Managing Director and CEO of the Bank expressed his happiness that Bank is providing another tool to the common public for improving their financial security along with other social security schemes viz. PMJBY, PMSBY, APY. “Karnataka Bank is always in the forefront in serving the customers with social welfare cause. Launching of the National Pension System is one such step towards improving the welfare of the society” he said. He also expressed confidence that this product will be well accepted by the public because of its flexibility in investment and tax exemption feature.
Bank has introduced this scheme at select branches initially and plans to introduce it in a phased manner at all of its branches.