EPFO has started making significant changes in its operations. Currently, employees have to follow a long process to withdraw money from their PF accounts. However, soon they will be able to withdraw PF funds using UPI options like PhonePe and Paytm, as well as ATMs. Preparations are underway to introduce this facility soon.
According to Financial Express, EPFO has already created a plan for this initiative and is in discussions with the National Payments Corporation of India to implement it. If everything goes smoothly, this UPI-based withdrawal facility may become available within the next two to three months. Once launched, it will benefit around seven crore EPFO members.
With UPI integration, EPFO members will be able to receive their claimed PF amount directly into digital wallets, making the withdrawal process faster and more convenient.
Currently, employees have to wait for about seven days to access their PF funds. However, after UPI integration, withdrawals will be processed within hours or even minutes, allowing instant transfers to employees’ accounts.
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Another advantage of the EPFO-UPI facility is that the chances of claim rejections will be significantly reduced, ensuring more transparency in transactions. However, EPFO has not yet made any official announcement about this feature. More details will be available once EPFO issues a formal notification.
Along with UPI withdrawals, EPFO is also launching an ATM withdrawal facility. This initiative, called EPFO 3.0, aims to improve user experience, provide easier access to savings, and reduce paperwork.
The EPFO ATM facility will work like a debit card. Users will need to link their Universal Account Number, verify an OTP, and then withdraw cash.
One major advantage of this system is that employees will no longer need employer approval to withdraw their PF funds. They will be able to access their money directly through ATMs, making the process much more convenient.