Want to withdraw money from your provident funds through UPI? Testing starts: Here are 3 things you should know | Report

EPFO is testing a UPI withdrawal facility. This will allow subscribers to withdraw their balance more conveniently. Here are 3 things you should know.

Provident fund withdrawals could soon become easier through UPI. The Employees’ Provident Fund Organisation (EPFO) has started testing this facility with banks.

An official told Moneycontrol that the launch was expected by the end of December. Here are 3 things subscribers should know about these developments.

UPI withdrawals

The proposed facility will allow subscribers to withdraw provident fund money through UPI. EPFO plans to connect the UAN portal with subscribers’ UPI accounts. This aims to simplify the withdrawal process.

However, testing has begun, and the launch remains expected. Subscribers should distinguish the planned service from the currently available withdrawal process.

New app

EPFO is expected to introduce an app linked to subscribers’ bank accounts. Moneycontrol earlier reported that it would also connect with BHIM and other UPI apps. Currently, subscribers submit withdrawal claims online through the UAN portal.

After processing the claim, EPFO transfers the amount into their bank account. Subscribers can then access that money through their bank. The proposed system aims to integrate these services more closely to enable easier withdrawals.

Withdrawals to have limits

Subscribers could withdraw up to 75% of their eligible balance through UPI. This facility will remain subject to conditions. Under current rules, at least 25% must remain in the provident fund account. Eligible short-term needs include education, marriage, and housing expenses.