Employees’ Provident Fund Organisation (EPFO) is preparing to launch a major digital upgrade, allowing instant Provident Fund (PF) withdrawals via Unified Payments Interface (UPI) and ATMs starting June 2025.
This initiative, part of the EPFO 3.0 platform, aims to streamline fund access, eliminating the lengthy claim approval process that currently delays withdrawals by several days or weeks.
The move is expected to benefit over 9 crore EPF members, offering faster financial accessibility during emergencies.
EPFO 3.0: A Digital Transformation
EPFO has developed the next-generation IT-backed platform, EPFO 3.0, to modernize PF management. The upgrade will introduce:
- Instant PF withdrawals via UPI and ATMs, allowing members to access funds without paperwork or long waiting periods.
- Automated claim settlements, reducing processing time from weeks to just three days.
- Digital corrections for account details, enabling users to update name, date of birth, and contact information online.
- Expanded withdrawal purposes, allowing employees to use PF savings for additional life events beyond medical emergencies, housing, education, and marriage.
How Instant PF Withdrawals Will Work
Currently, withdrawing PF funds requires submitting online claims and waiting for approval from EPFO field offices.
Under EPFO 3.0, members will be able to:
- Withdraw up to ₹1 lakh instantly via UPI or ATMs, making funds readily available for emergencies.
- Check PF balances directly on UPI platforms and transfer funds to their bank accounts without delays.
- Use PF withdrawal cards, similar to ATM cards, linked to their EPF accounts for seamless transactions.
Government and NPCI Approval
The initiative has received approval from the National Payments Corporation of India (NPCI) and is being implemented with the support of the Ministry of Labour and Employment.
Sumita Dawra, Secretary at the Ministry of Labour and Employment, stated that EPFO has integrated over 120 databases, significantly improving claim processing efficiency.
Impact on Pensioners
In addition to PF withdrawals, pensioners under the Employees’ Pension Scheme (EPS) of 1995 will be able to access their pensions from any bank branch across India starting January 1, 2025.
This eliminates the need for transferring Pension Payment Orders (PPOs) when relocating or changing banks.
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