EPFO Update: With EPFO ​​3.0, withdrawing PF funds will now be as easy as using a bank account. UPI will also be available, reducing paperwork and speeding up settlements.

EPFO 3.0: With the introduction of EPFO ​​3.0, accessing your PF (Provident Fund) account will be much easier than before. One of its most significant features is that you will be able to withdraw your PF funds through ATM and UPI. This means that you no longer have to visit a bank or EPFO ​​office to withdraw funds.

The aim of this digital transformation is to make your access to the savings in your PF account faster and easier so that you do not have to run around in times of emergency.

The whole system will be as simple as the bank

Under EPFO ​​3.0, subscribers will be issued a PF ATM card. This will allow them to withdraw cash at any ATM by entering their PIN or OTP. Similarly, you can link your UPI ID to your PF account. This will then allow you to transfer funds directly to your bank account through the EPFO ​​portal or the Umang app.

To avail ATM and UPI withdrawals, EPFO ​​members must meet certain requirements. All users must have a working Universal Account Number (UAN). Furthermore, the mobile number linked to the UAN must be active. Members must also ensure that their UAN is fully KYC-compliant, including linking it to Aadhaar, PAN, bank account details, and IFSC code.

Cash withdrawal limit

Members are only allowed to withdraw 50 to 75 percent of their total PF balance using ATM or UPI. This restriction is to ensure that a portion of savings is preserved for future needs or emergencies. Partial withdrawals can be made five times for marriage and ten times for education. Furthermore, up to 75 percent of the funds can be withdrawn one month after losing a job. Another feature is that the auto-settlement limit has been increased from ₹1 lakh to ₹5 lakh, without any manual verification.

Why is there a delay in the process?

EPFO 3.0 is targeted to be activated in April. A new mobile application may also be launched during this period, allowing cash withdrawals using UPI. Partnerships have been established with 32 public and private banks. It is reported that some technical challenges in UPI-EPFO and ATM linkage are delaying this, and work is ongoing. It is expected that it will be fully launched by mid-year.

PC: ABPNews