Govt to Allow PF Withdrawals Through UPI & ATM, Major Update

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The Employees’ Provident Fund Organization (EPFO) is finally set to announce a major relief for employees withdrawing their PF money. The government is making a push to ensure a scheme that would ease the process of PF withdrawal via UPI and ATM for millions of EPF account holders out there. 

What Is PF Withdrawal Plan? 

Currently, the EPFO portal, UMANG app, or an employee can file a request through their employer for employees to withdraw their PF money; meanwhile, the process does take a few days. For further easing up the PF withdrawal process, the government will link EPFO members for UPI (Unified Payments Interface) and ATM withdrawals.  

With This New Scheme, The Employees Will Be Enable To 

  • Withdraw PF money instantly at ATM just like withdrawing cash from a bank account.  
  • Transfer via UPI transactions and have quick access to funds.  
  • Get emergency funds without lengthy paperwork and processing.  

How Would UPI And ATM Withdrawal Of PF Work?

Banking networks shall align with the EPFO accounts to enable the withdrawal of funds from ATMs and UPI. This includes:  

  1. Linking Aadhaar and UAN with Bank Accounts: Employees are to ensure that their Universal Account Number (UAN) and Aadhaar are linked with the bank accounts.  
  2. EPFO Virtual Debit Cards: An option for ATM withdrawal by means of virtual debit cards linked to EPF accounts is being explored.  
  3. UPI Integration: It is a working policy that employees sufficiently transfer PF money directly to their bank account via UPI apps, including Google Pay, PhonePe, and Paytm.  

Benefits From The New PF Withdrawal System  

The introduction of ATM- and UPI-based PF withdrawals will provide several advantages:  

  • Quick Access to PF Money: Funds will not stay for days awaiting processing; they are in hand instantly.  
  • Way Convenient for Transactions: Employees could withdraw money at any time and from anywhere.  
  • Increased Security: Restricted access through UPI and ATM makes the withdrawals safe and reasonable.  
  • Sound Financial Decision: Employees could choose to use UPI and withdraw only their requirement instead of one-time lump-sum withdrawal.  

Conclusion 

This would indeed be a huge step towards the government in making PF withdrawals seamless and instant. However, the launch date is still awaited; nevertheless, this is most likely to benefit EPF account holders significantly in terms of immediate access to their hard-earned savings whenever they need it.

Also Read: Bank Account Rules Guideline: Important Update For All Bank Account Holders, know The Rules

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