Individual ARN holders/ EUIN holders are required to apply for renewal of ARN/ EUIN on or six months prior to expiry of validity period of ARN/ EUIN.
1) If the renewal application is submitted prior to the expiry of validity period of ARN/ EUIN and the same is found in order, there would be continuity in the validity period of ARN/ EUIN, post renewal.
Example
ARN Expiry date: JAN 25, 2017.
ARN Renewal Form Submitted: DEC 20, 2016
In this case the Card holder will get ARN Extended by 3 Years from the expiry of current ARN. He / She will not miss the continuity.
2) If the renewal application is submitted after the expiry of ARN/ EUIN, validity of renewed ARN/ EUIN would commence from the date of submission of renewal application and would be valid up to the validity date mentioned on the NISM passing certificate/ CPE Certificate, in case of individual/ senior citizens/ employees.
Example
ARN Expiry date: JAN 25, 2017
ARN Renewal Form Submitted: FEB 25, 2017
NISM CPE Certificate Expiry date: JAN 25 2020.
In this case ARN Validity will start from FEB 25, 2017 and will end on JAN 25, 2020
Upfront / trail commission accrued till the date of expiry of ARN will be released in the next payment cycle.
The payment of all upfront / trail commission accrued after the date of expiry of ARN, will be suspended from the date of expiry of the ARN.
Any business done after the expiry of ARN and before renewal of ARN will be treated as invalid business and no upfront / trail is payable on such business.
If the ARN is renewed within six months from the date of expiry of ARN, then the suspended upfront / trail commission will be released.
If the ARN is renewed after six months from the date of expiry of ARN, then suspended upfront / trail commission, as mentioned at point no. 2 above, will not be paid and the same will be forfeited/ written off. Upfront and trail commission on business done after the renewal of the ARN can be released.
| Sno | Example Cases | AMC Action |
|---|---|---|
| 1 | ARN expired on 30th June 2016 (Commission payable as on 30th June 2016) | Upfront, SIP, Trail paid in the next payment cycle |
| 2 | ARN not valid due to non renewal i.e. from July 1, 2016 | All types of commission accrued from July 1, 2016 to be suspended. Any business done during the period ARN was not valid due to non renewal, will not be entitled to receive any commission. As such, no commission should be accrued in respect of the same |
| 3 | ARN Renewed within 6 months of expiry date (i.e. by 31st Dec 2016) | Suspended Commission will be released. To clarify, this will not include any commission for the business done during the period when the ARN was invalid due to non renewal i.e. business done during the period July 1, 2016 till the date of renewal of ARN, in the instant case. |
| 4 | ARN Renewed after 6 months of expiry date (post 31st December 2016) | All commission including trail, in respect of business procured prior to expiry of ARN i.e. 30th June, 2016 and suspended due to non renewal, is forfeited/ written off (Please refer the above note). Upfront and Trail Commission payable only on the business canvassed subsequent to renewal of ARN. |