Module: General Practice
Q172: Regarding the "NPS Vatsalya" scheme introduced to promote financial inclusion for minors, identify the INCORRECT statement.
The account can be opened for any minor citizen of India.
The minimum annual contribution required to keep the account active is ₹5,000.
Upon attaining 18 years of age, the account seamlessly converts into a regular NPS Tier-1 account.
The account is operated by the guardian until the minor becomes a major.
The minimum annual contribution required to keep the account active is ₹5,000.
Upon attaining 18 years of age, the account seamlessly converts into a regular NPS Tier-1 account.
The account is operated by the guardian until the minor becomes a major.
✅ Correct Answer: B
Statement 2 is INCORRECT.
The minimum contribution for NPS Vatsalya is ₹1,000 per annum, NOT ₹5,000.
The other statements are correct: it is eligible for any minor (Statement 1), it converts to a standard NPS account at 18 (Statement 3), and the guardian manages it until the child is 18 (Statement 4). The goal is to leverage the power of compounding for retirement planning from childhood.
The minimum contribution for NPS Vatsalya is ₹1,000 per annum, NOT ₹5,000.
The other statements are correct: it is eligible for any minor (Statement 1), it converts to a standard NPS account at 18 (Statement 3), and the guardian manages it until the child is 18 (Statement 4). The goal is to leverage the power of compounding for retirement planning from childhood.