The EPFO may introduce ATM withdrawals for its members from January 2026! According to reports, the EPFO’s highest decision-making body (CBT) is expected to approve the ATM withdrawal facility at its meeting in the second week of October. This revolutionary move will provide millions of employees with unprecedented access to funds in case of an emergency, eliminating the hassle of filing online claims and long waits.
ATM Withdrawal Facility
The ATM withdrawal facility is a highly simplified and user-friendly solution for accessing PF funds. This will save employees a significant amount of time and provide them with immediate financial relief.
What will change in the process
With the implementation of this new facility, employees will no longer need to submit online claims to withdraw funds. They will be able to easily withdraw a portion of their PF funds by visiting any ATM. Speaking to Moneycontrol, a CBT member stated that the EPFO’s IT infrastructure is fully prepared for ATM-like transactions. However, there will be a limit on ATM withdrawals, which is currently under discussion.
Special PF Card to be Issued
According to sources, the EPFO may issue a special card to its members. This special card will allow them to withdraw a set portion of their funds from ATMs.
Discussions with the RBI and Easy Access to Funds
The Labor Ministry has held extensive discussions with the RBI as well as banks to implement this unique facility. A senior Labor Ministry official stated that the government desires to provide people with better and easier access to their PF accounts, and the ATM facility is seen as a key requirement in this direction.
Automated Claim Settlement
The EPFO has already increased the Automated Claim Settlement limit from ₹1 lakh to ₹5 lakh to facilitate easier access to funds for members. In this process, the system verifies the eligibility of claims using digital verification and algorithms based on KYC details.
Experts believe that allowing EPFO withdrawals through ATMs will make it extremely convenient for members to access funds in case of an emergency, as withdrawals currently often involve procedural delays and paperwork. The EPFO currently has 78 million registered members with total deposits of over ₹28 lakh crore, indicating the widespread appeal of this facility.