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    Question

    In the National Pension System (NPS), partial withdrawal

    is allowed under certain conditions. A subscriber contributes for 3 years and withdraws ₹12,500. This reflects:
    A Complete withdrawal permitted anytime Correct Answer Incorrect Answer
    B Partial withdrawal allowed after 3 years Correct Answer Incorrect Answer
    C No withdrawal until 10 years Correct Answer Incorrect Answer
    D Only lump-sum at retirement Correct Answer Incorrect Answer
    E None of the above Correct Answer Incorrect Answer

    Solution

    NPS allows partial withdrawals (up to 25% of contributions) for specific needs (education, marriage, medical). Condition: after 3 years of subscription. Multiple withdrawals are allowed but capped. Full exit is permitted only at 60 years (or earlier with restrictions).

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