7th Pay Commission: Pension will be credited easily in your Account, Government introduced new formula
There is ideal information for the pensioners of the imperative and state government. The Finance Ministry is shifting it from BSR code to IFSC to digitize the pension system. For this, opinion became sought from all banks till December 15, 2019. But no financial institution has responded. Now the ministry has said that it will method this difficulty further.
RBI already prepared
The finance ministry had additionally taken RBI in this loop, which has already agreed to this proposal. According to the cutting-edge letter from the finance ministry, their IFSC code has been sought from all banks and treasuries.
What is the matter
BSR (Basic Statistical Return) code is a 7 digit code that RBI allots to every bank. The first 3 digits constitute the bank, whilst the remaining four digits constitute the financial institution branch. This code is given to report TDS and TCS returns. At the equal time, IFSC (Indian Financial System Code) is the precise code of each financial institution. This is wanted in electronic money switch. In the pension system, the entire system turns into on-line after its implementation.
Digitization of the pension system
In this, the Electronic Pension Payment Order (PPO) may be issued to pensioners. With this, complete facts about the account of any pensioner may be easily shared between the Bank (Bank), Central Pension Accounting Office (CPAO) and Pension and Accounts Office (PAO).
Effect on pensioners
According to experts, within the modern system, half the work related to pension is online while 1/2 the work is manual. When a worker retires from this electronic process, his pension fixation could be expedited, which currently takes 2 to three months.
What is the arrangement
General Secretary of All India Account and Audit Committee HS Tiwari said that now the pension of a retiree worker wanders to his financial institution account in many places. In the case of important employees, the head workplace first approaches it and sends it to the PAO. From there pension papers go to CPAO and then transfer to the bank. Then the bank releases the pension. These are despatched in PDF format.
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