Tuesday, October 21, 2025

DEFENCE SALARY PACKAGE (dsp) AND DEFENCE PENSION ACCOUNT (DPA) REGARDING



 DEFENCE SALARY  PACKAGE(DSP)  AND DEFENCE PENSION ACCOUNT(DPA)  REGARDING.

Dear veterans, 

We all know that, there is MOU between MOD and Banks for certain benefits for Defence serving  and retired personnel.  Accordingly, most our veterans have converted their Normal Saving Bank account to DSP   

Now, we understand that, there is difference between DSP  and DPA.   DSP for serving  and DPA for retired personnel. 

The rule says that, in DSP a/c  , if the  salary is not credited consecutively  for three months, the benefit will be cancelled automatically.  After discharge, there will be no SALARY credit,  For pensioner, there will be only Pension credit.,. Hence, the DSP account will be automatically cancelled. one should have DEFENCE PENSION ACCOUNT instead of  DSP a/c  to get the benefits.  

A case had been noticed that, one Subedar , retired from service with DSP account  and dies with an Accident, after say one year after discharge. When his wife claimed for the insurance benefit, the Authorities rejected the claim stating that, the pensioner  was not having DEFENCE PENSION ACCOUNT (DPA) . He was having only Salary a/c ,and  there was no Salary credit, the claim is rejected.  So this is the position.

 In view of the above case study,  our Defence pensioners are requested to convert their  existing Normal SB account  to DPA- Defence Pension Account instead of DSP a/c to get the Insurance and other benefits.

All our veterans are requested to note same and pass on this important message to other veterans in their areas.


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DEFENCE SALARY PACKAGE (dsp) AND DEFENCE PENSION ACCOUNT (DPA) REGARDING

 DEFENCE SALARY  PACKAGE(DSP)  AND DEFENCE PENSION ACCOUNT(DPA)  REGARDING. Dear veterans,  We all know that, there is MOU between MOD and B...