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The EPFO is in talks with the National Payment Corporation of India (NPCI) to roll out the feature on UPI-platforms in the next 2-3 months, according to a report.
The EPFO has reportedly prepared a blueprint to implement the facility of EPF withdrawal via UPI.
The Employees’ Provident Fund Organisation (EPFO) is planning to roll out a facility for subscribers to withdraw the Employees’ Provident Fund (EPF) claims via the Unified Payments Interface (UPI). The option will help subscribers ensure the smooth transfer of funds.
According to a Financial Express report citing an official source, the EPFO is in talks with the National Payment Corporation of India (NPCI) to roll out the feature on UPI platforms, including GPay, PhonePe and Paytm, in the next 2-3 months.
The EPFO has also prepared a blueprint to implement the plan, it added.
Currently, EPFO members withdraw their funds through bank account transfers, which might take a few days for processing. The new system will enable UPI-based transactions, allowing instant fund transfers into the member’s linked UPI ID.
This move will particularly benefit employees who need quick access to their PF savings during financial emergencies.
In the current financial year 2024-25 so far, the EPFO has already settled over 50 million claims with over 7.4 crore subscribers, disbursing more than Rs 2.05 lakh crore.
How Will the UPI EPF Facility Help?
– Transactions via UPI will be settled instantly instead of the usual 2-3 working days.
– It will eliminate the need for extensive banking details and verification.
– After the UPI facility, EPFO subscribers will be able to use digital payment apps like PhonePe, GPay, BHIM, and Paytm for direct credit.
– No need to wait for bank NEFT or RTGS transfers; the withdrawal amount will be credited in real-time.
