Govt to Introduce UPI-Based EPF Withdrawals for Faster Access
Employees often face difficulties in withdrawing their EPF savings due to frequent claim rejections. In 2023, one in three EPF final settlement claims was denied, according to the 2024 EPF annual report.
UPI Withdrawals for Instant Access
To streamline the process, the government is set to introduce EPF withdrawals via UPI platforms like GPay, PhonePe, and Paytm. The Employees` Provident Fund Organisation (EPFO) is collaborating with the National Payments Corporation of India (NPCI) to implement this feature, with a rollout expected by May or June 2025.
EPFO 3.0 and ATM Withdrawals
Additionally, EPFO 3.0 will enable ATM withdrawals, allowing subscribers to access their savings like a regular bank account. This initiative is set to launch by June 2025, as confirmed by Union Labour Minister Mansukh Mandaviya.
Key Benefits
- Instant Fund Access: Reduces withdrawal time from 23 days to minutes.
- Greater Convenience: Seamless transactions via UPI and ATMs.
- Enhanced Transparency: A more efficient and secure withdrawal process.
With these advancements, EPF members can soon experience faster and more accessible fund withdrawals, improving financial ease for millions of employees.
