Pension News

PenCom Resumes Transfer Window Process

The National Pension Commission (PenCom) has resumed the process for the completion of the opening of Transfer Window which was initially scheduled to start in July 2020 but was suspended earlier in the year due to the Coronavirus pandemic. This was disclosed by PenCom Head of Corporate Communication, Mr Peter Aghahowa, who made this known in a statement in Abuja on Thursday 13 August 2020.

The Transfer Window will allow Retirement Savings Account (RSA) holders, who are not satisfied with the services of their Pension Fund Administrator (PFA) to move to another. PenCom has been working on the Transfer Window for a while, preparatory to the opening of the transfer window, PenCom developed and deployed the Enhanced Contributor Registration System (ECRS) in September 2019.

He said the opening of the transfer window would facilitate full and equitable pension assets portability within the pension industry, enhance ethical competition amongst the PFAs and improve service delivery to RSA holders. He also said that the commission was optimistic that all necessary preparations would take place to enable opening of the RSA Transfer Window by the end of the year, December 2020.

Extract from the statement;

“Section 13 of the Pension Reform Act, 2014 allows Contributors to move their Retirement Savings Account through a transfer window from one Pension Fund Administrator to another, provided that it is not more than once in a year.”

“Furthermore, the Commission has developed the RSA Transfer System, a robust electronic platform that would enable seamless RSA transfers. Pension Fund Administrators would be able to utilize the RTS platform for the submission of RSA transfer requests.”

“The full deployment of the platform would however entail extensive training of the PFA’s relevant personnel and simulation of the processes, industry-wide. The Commission was unable to carry out these activities as planned due to the nationwide lockdown because of the COVID-19 pandemic.”

“Subsequent to the easing of the lockdown by the Federal Government and the lifting of the ban on interstate travels between the end of June and July, 2020, the preparations for a comprehensive training plan was concluded. The Commission said it is currently holding workshops on the RTS for the Pension Operators, which would run from August 10 to 28, 2020.”

“It is also expected that in line with the plan, Operators will participate in an industry simulation of transfer processes and simulations in September 2020.”

Read PenCom Press Release on the Transfer Window here

error: Content is protected.