EPFO: The Employees Provident Fund Organization (EPFO) has implemented several new rules to enhance convenience for employees, ensuring they do not face any difficulties in accessing their provident fund benefits. Among the most significant changes is the introduction of an auto-mode settlement facility for advance claims related to medical, education, marriage, and housing purposes. This facility is available to over 6 crore PF account holders, providing a much-needed financial cushion in emergencies.
Faster Processing Times for Claims
Previously, it could take 15 to 20 days to process a claim through the EPFO, as various details such as member eligibility, documents, KYC status, and bank account information needed to be verified. However, with the new automated system, claims are now processed within 3 to 4 days. The system expedites scrutiny and approval, allowing for quicker access to funds when needed.
Eligibility for Claiming Funds
The auto-mode for claim settlement was initially introduced in April 2020, specifically for cases of illness. However, the scope of this facility has now been expanded to cover a wider range of situations. EPF members can now withdraw funds not only for medical emergencies but also for education, marriage, and purchasing a home. Additionally, funds can be withdrawn for the marriage of a sibling within the family.
Increased Withdrawal Limits
The EPFO has also increased the advance fund withdrawal limit. Members can now withdraw up to ₹1 lakh from their EPF account through the auto-settlement mode, a significant increase from the previous limit of ₹50,000. This withdrawal can be processed entirely online, without the need for additional approvals, and the funds are typically credited to the member’s account within three days. However, members must ensure that their KYC details, eligibility for the claim, and bank account information are up-to-date.
Step-by-Step Process for Withdrawing Funds
To withdraw funds, members need to follow these steps:
- Log in to the EPFO portal using their UAN and password.
- Navigate to the ‘Claim’ section under online services, verify their bank account, and proceed with the online claim.
- On the new page, select PF Advance Form 31 and choose the relevant PF account.
- Enter the reason for withdrawing funds, the amount required, and the member’s address.
- Upload a scanned copy of a cheque or passbook.
- Provide consent and verify the claim using Aadhaar.
- Once the claim is processed, it will be sent to the employer for approval.
- Members can check the status of their claim under the online service section of the portal.
With these enhancements, EPFO aims to provide faster and more efficient service to its members, ensuring that they have quick access to funds during times of need.
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