The Employees Provident Fund Organization (EPFO) has introduced a major update, allowing members to withdraw their PF funds not only through ATMs but also via UPI. This move is aimed at enhancing convenience for account holders.

EPFO Approves New Withdrawal Methods

The Ministry of Labor and Employment has approved a recommendation from the National Payments Corporation of India (NPCI) to enable PF withdrawals through UPI. Ministry Secretary Sumita Dawra stated that by the end of May or June 2025, EPFO members will be able to access their PF balance directly on UPI platforms and withdraw up to ₹1 lakh if eligible. Additionally, users will have the option to transfer PF funds to their preferred bank accounts seamlessly.

Auto-Claim Service for Faster Processing

Under the new system, claims up to ₹1 lakh will be automated, significantly reducing the processing time. Currently, PF claims take approximately three days to be processed, but with UPI integration, withdrawals could be instant. Account holders can link their EPFO accounts with UPI apps like Google Pay, PhonePe, and Paytm, streamlining the entire process.

Government’s Effort to Simplify Rules

Sumita Dawra emphasized that EPFO has been working on digitizing all its processes to ensure smoother transactions. Over 120 databases have been consolidated to enhance the efficiency of PF withdrawals, and currently, 95% of claims are already automated. Efforts are ongoing to simplify the process further.

Special Benefits for Pensioners

In addition to PF withdrawal changes, the government has expanded facilities for pensioners. Since December 2024, approximately 78 lakh pensioners have been granted the ability to withdraw their deposits from any bank branch, removing previous restrictions that limited withdrawals to specific banks.

With these new advancements, EPFO aims to provide greater accessibility and efficiency for its members, making fund withdrawals quicker and more convenient than ever before.