Economics · Financial Sector and Pension Schemes

What is the primary advantage of operating a Tier-II account under the National Pension System (NPS)?

Verified Solution4 OptionsUpdated: October 2026👁️1 View

1It is exclusively reserved for government employees and cannot be utilized by private sector individuals.
2It strictly locks in funds and restricts withdrawals until retirement to ensure long-term compulsory savings.
3It offers flexibility with investments and withdrawals at any time, provided the subscriber has an active Tier-I account.✓
4It allows the subscriber to receive only a monthly pension after retirement with zero withdrawal flexibility.

Correct answer

It offers flexibility with investments and withdrawals at any time, provided the subscriber has an active Tier-I account.

Save this question and verified answer as a clean study sheet with live clickable link.

👥

Challenge your peer aspirants on WhatsApp or Telegram to solve this question!

Online Test Series

Practice full-length mock tests with real exam timers, instant score analysis, and all-India ranking.

Chapter Practice

Want more practice questions on Financial Sector and Pension Schemes?

Solve complete topic-wise tests with detailed solutions on GkGet.

Recommended practice questions in Economics · Financial Sector and Pension Schemes

The Dandi March, also known as the Salt Satyagraha, was led by which influential leader?

Which act formally granted independence to India, marking the end of British rule?

Who was the key figure in establishing the Indian National Congress?

Related Practice Questions