The Nigerian Pension regulatory body, the National Pension Commission, has announced the opening of the Retirement Savings Account (RSA) Transfer window. The body said that the launch date for the RSA Transfer system is scheduled for Monday, 16 November 2020.
The RSA Transfer system will enable RSA holders to transfer their accounts from one Pension Fund Administrator (PFA) to another in line with Section 13 of Pension Reform Act, 2014.
Section 13 of the Pension Reform Act (2014) specifies that an employee may, not more than once in a year, transfer his Retirement Savings Account (RSA) from one Pension Fund Administrator (PFA) to another.
This provision is intended to facilitate full and equitable pension assets portability within the pension industry, as well as to enhance healthy competition amongst the PFAs.
The Commission stated in its press release that “it had successfully developed the RSA Transfer Application, a robust electronic platform that would enable seamless RSA transfers. In Addition, the commission had conducted extensive workshops for licensed Pension Operators and State Pension Bureaus in readiness for this epoch-making event.”
What You Need To Know As An RSA Holder
- RSA Transfers are free
- RSA transfer can only be done once in a year
- A retiree is eligible to transfer his/her RSA from one PFA to another provided they are on Programmed withdrawal
How Does It Work?
Follow these 5 basic steps to carry out the transfer:
- Data Recapture with the current PFA: Ensure that your details have been recaptured and updated on the ECRS by your current PFA (i.e. the PFA that currently manages your RSA) before submitting a transfer request.
- Submission of RSA Transfer Request to Receiving PFA: Approach the PFA that you intend to move your RSA to and submit the transfer request by providing the following:
- Surname
- RSA PIN
- Current Phone Number
- Email Address
- Validation of Identity: You will be required to provide your fingerprint to the receiving PFA for the authentication of your identity on the National Identity Management Commission’s (NIMC) database. Thereafter, the receiving PFA will issue a printed confirmation slip, which should be signed by you as proof that your transfer has been submitted.
- Transfer of RSA and funds to receiving PFA: Your current PFA will transfer all the funds in your RSA to your new PFA at the end of the applicable transfer quarter. The process is closely monitored by PenCom.
- Notification to RSA Holder: You will be notified by PenCom and the receiving PFA when your RSA has been transferred.
All these are also contained in a tweet from PenCom.
