EPFO members will soon be able to withdraw money from their PF accounts using ATMs or UPI. To do this, they need to link their bank accounts to their PF account. This feature is expected to start in the next one to two months.
A senior source said that the Ministry of Labor is working on a plan. In this plan, part of the PF money will stay in the account, while the rest can be withdrawn using UPI or ATM cards. Right now, there are some software issues, which are being fixed.
The Ministry of Labor believes that the money in the PF account belongs to the member. Members should be able to withdraw a certain amount without restrictions if needed. Once the software issues are solved, members will be able to use the approved funds through UPI and ATM.
Changes in Auto Claim Settlement
Earlier, only withdrawals up to ₹1 lakh were approved directly. Amounts above ₹1 lakh needed manual verification, which made the process slow. Now, under the new system, claims will be settled electronically within three days of filing, without human intervention.
Faster Claim Settlements
Withdrawal claims have increased since auto settlement started. In 2023-24, 89.52 lakh claims were settled. In 2024-25, 2.34 crore claims were settled, a 161% increase. In the first two and a half months of the current year, 76.52 lakh claims have already been settled.
Other Key Changes
- KYC and member information correction process is now simpler.
- UAN allocation and activation using face authentication is available on the Umang app.
- No need to upload cheque or verified bank passbook for claim settlement.
- Employer and EPFO approval for claim transfer is removed.