EPF Members May Soon Withdraw Funds From ATMs: Key Details Here

The Employees' Deposit Linked Insurance (EDLI) scheme provides a maximum insurance benefit of Rs 7 lakh to the legal heirs of deceased EPFO members

Labour Secretary Sumita Dawra informed ANI that Employees' Provident Fund Organisation (EPFO) members may soon be able to withdraw funds from ATMs. She added that the Ministry of Labour and Employment is upgrading its IT infrastructure to provide improved services to India's workforce.

Dawra told ANI, "Claimants, beneficiaries, or insured individuals will be able to conveniently access their claims through ATMs." Media reports suggest that withdrawals will be limited to 50 per cent of the total PF balance.

EPFO members may soon be able to withdraw their claim amounts directly via ATMs. While EPFO allows bank accounts to be linked with PF accounts, it is still unclear whether this linkage will be used for ATM withdrawals or if a separate mechanism will be introduced.

In the case of a member's death, beneficiaries may be eligible to use the ATM withdrawal facility. To access this, beneficiaries might need to link their bank accounts to the deceased member's EPF account, though official confirmation on this process is still awaited.

The Employees' Deposit Linked Insurance (EDLI) scheme provides a maximum insurance benefit of Rs 7 lakh to the legal heirs of deceased EPFO members. According to the Labour Secretary, insurance claims can also be withdrawn via ATM. This means that nominees and legal heirs will be able to utilize the ATM withdrawal feature, provided they link their bank accounts to the deceased member's EPF account for claim settlement.

The Labour Secretary stated, "We are settling claims quickly and are working to make the process easier to improve the ease of living."

"Systems are evolving, and every two to three months, you will notice significant improvements. I believe there will be a major enhancement by January 2025," the Labour Secretary told ANI. However, a specific timeline for the changes has not yet been disclosed.

As per an ET Now report, the EPFO has suggested that this feature could be rolled out between May and June 2025.