EPFO To Launch Instant Provident Fund Advance Withdrawal Facility Via BHIM App

(MENAFN- KNN India) New Delhi, Jan 10 (KNN) The Employees' Provident Fund Organisation (EPFO) is set to introduce an instantaneous advance withdrawal facility for its over 30 crore subscribers through the BHIM app within the next two to three months.

The move, part of EPFO's broader digital overhaul, aims to provide members with faster and more flexible access to their provident fund corpus, which currently stands at over Rs 26 lakh crore, TOI reported.

Under the new facility, EPFO members will be able to submit advance claims for permissible purposes such as health, education, or special circumstances directly via the BHIM app.

Once a claim is filed, it will be verified and authenticated by EPFO at the backend. Upon approval, the sanctioned amount will be instantly credited to the member's UPI-linked bank account through State Bank of India.

Initially, the instant withdrawal facility will be limited to the BHIM app, but officials indicated it could be extended to other UPI-based fintech applications in the future.

To prevent misuse and in line with RBI limits on UPI transactions, there will be caps on withdrawal amounts, particularly in the initial phase. The exact limits are yet to be decided.

At present, online advance claims under Rs 5 lakh are settled in at least three working days, while larger amounts or claims requiring manual intervention take longer.

The new instant withdrawal facility aims to significantly reduce these timelines, offering members a near real-time disbursement option.

This initiative is expected to enhance convenience for EPFO members while strengthening the organisation's digital infrastructure.

(KNN Bureau)

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