What are the rules for premature exit from NPS?

General
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What are the rules for premature exit from NPS?

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Premature or early exits are allowed on completion of the 5th year in NPS but a lumpsum withdrawal is limited to a maximum of 20% of the total amount.

A premature exit from NPS is permitted subject to the following conditions:

  1. Only 20% of the total corpus can be withdrawn
  2. The remaining 80% has to be used to purchase a life annuity from any PFRDA empaneled Life Insurance Company
  3. If Corpus < Rs. 2.5 Lac, complete withdrawal may be opted
  4. The NPS account will be closed post withdrawal