The Employees’ Provident Fund Organization (EPFO) has recently made several decisions to help EPF subscribers and EPS pensioners.
Starting January 1, 2025, pensioners will be able to withdraw their pensions from any bank branch across the country.
Additionally, EPFO has raised the auto claim limit for advance claims.
Pensioners Can Withdraw from Any Bank
According to the Ministry of Labor, after the government was formed for a third consecutive term under Prime Minister Narendra Modi, EPFO approved a new Centralized Pension Payment System on September 4, 2024.
This system will allow 77 lakh pensioners to access their pensions from any bank branch in India, making it easier for those who return to their hometowns after retirement.
Increased Auto Claim Limit and Easier Withdrawals
EPFO has increased the auto claim limit for partial withdrawals from Rs 50,000 to Rs 1 lakh. This facility applies to situations like illness, housing, education, and marriage.
The settlement time for these claims has also improved, now taking only 3-4 days instead of 10 days, benefiting around 7.5 crore EPF account holders.
In a significant rule change, EPFO has eliminated the need to upload images of canceled cheques or bank passbooks for claim settlements.
Subscribers who meet all validation conditions can now process claims without these uploads, speeding up online settlements.
Additionally, the rules for short-term withdrawals have been simplified.
Members who contribute to EPFO for less than 6 months will also be eligible for withdrawal benefits, aiding 7 lakh EPS subscribers and 23 lakh members impacted by changes in the Family Pension Scheme.
