EPFO update: Key task ends by March 31, banking services to start in June

EPFO Instant Money: With money being withdrawn via UPI, there will be a reduction in claim rejections and an increase in transaction transparency. Your funds can be directly transferred to the digital wallet in this process. Transactions will be simplified as funds will go to the UPI wallet rather than the bank account.

EPFO Update: This news is useful for you if you belong to the salaried class and have a monthly deduction of PF. Indeed, the government is taking steps to simplify the PF withdrawal process for EPFO members. Following this, funds placed in the EPF can be withdrawn directly via UPI. Once this facility is implemented, EPFO members can get their PF money in a digital wallet within minutes. This will simplify and eliminate the hassle of the money-withdrawing process.

What advantage does withdrawal via UPI offer?

One advantage of establishing this facility will be the rapid receipt of funds. At the moment, withdrawing PF requires seven days. However, via UPI, funds can be withdrawn within a few hours or even minutes. Secondly, there can be fewer rejections of claims. Using UPI for withdrawals will cut down the number of rejected claims and enhance transaction transparency. In addition to this, you can transfer your money directly into the digital wallet. Transactions will be simplified since funds will go into the UPI wallet rather than the bank account. Nevertheless, EPFO has yet to issue an official statement regarding this matter.

As reported by the media, the government intends to implement the EPFO ​​3.0 program

ATM cards from EPFO. This card allows for direct withdrawal of the deposited amount in the PF account from the ATM. This card will function like a debit card. To extract money from it, one must connect the UAN, confirm the OTP, and then proceed with the cash withdrawal. Reports indicate that there will be a facility for withdrawing money without employer approval. The new facility aims to facilitate PF withdrawal and reduce the reliance on paperwork.

Significant regulations for EPF money withdrawal

At present, there are certain rules and conditions regarding PF withdrawal. Money can only be withdrawn for certain special needs. The first of these is a medical emergency. EPF can be taken out if funds are required for the treatment of yourself, your spouse, your children, or your parents. In the same way, after five years of a house being built, you can withdraw up to a year’s worth of salary for buying a house, constructing one, or carrying out repairs on the property. It is also possible to pay off your home loan by making a withdrawal from your PF account. If you require funds for your marriage or that of your siblings or children, you can withdraw 50% of the EPF amount after serving for 7 years.

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