EPFO Rules: Your EPF account can be closed automatically! Full money will be trapped, definitely know about your work

 

People often have many questions regarding EPFO ​​rules- Employees Provident Fund (EPF). Like when can they withdraw their money. What are the pros and cons of withdrawing money.

EPFO rules: There are often many questions in people's mind regarding Employees Provident Fund (EPF). Like when can they withdraw their money. What are the pros and cons of withdrawing money. How to transfer EPF account. But, do you know that your PF account can also be closed automatically. If this happens, the money deposited in your PF can get stuck. That is why it is important that you must know the rules of EPFO.

WHEN DOES YOUR EPF ACCOUNT GET CLOSED?

If your old company is closed and you did not transfer or withdraw the money to the new company, then the account can be closed. However, for this, action is taken only if there is no transaction for 36 months. Meaning, the inoperative account (EPF Inactive account) also remains active for a total of 3 years. If there are no transactions for 3 years, your EPF account will be put in the inactive category. After this, you may have to struggle hard to withdraw money from the account. You can withdraw money through KYC with the help of bank. However, interest continues to accrue on your dormant account as well.

What does the EPFO ​​circular say?

The EPFO ​​had said in one of its circulars long ago that it is necessary to take care to settle the claims related to inactive accounts. Care should be taken that the risk of fraud is minimized and the claim is paid to the right claimants.

WHAT IS INACTIVE EPF ACCOUNT?

Provident Fund accounts in which no contribution has been made for more than 36 months. EPFO puts them in the inactive category. However, interest is also available on dormant accounts.

WHO GETS CERTIFIED?

To settle the claim related to Inactive PF account, it is necessary that the employer of the employee should certify that claim. However, employees whose company is closed and there is no one to certify the claim, then such claim can be certified on the basis of bank KYC documents.

WHICH DOCUMENTS WILL BE REQUIRED?

Documents for KYC include PAN Card, Voter Identity Card, Passport, Ration Card, ESI Identity Card, Driving License. Apart from this, any other identity card issued by the government like Aadhaar can also be used for this. After this, the Assistant Provident Fund Commissioner or other officers will be able to approve the withdrawal or transfer from the accounts according to the amount.

WITH WHOSE APPROVAL WILL THE MONEY BE RECEIVED?

If the amount exceeds 50 thousand rupees, the money will be withdrawn or transferred after the approval of the Assistant Provident Fund Commissioner. Similarly, if the amount is more than 25 thousand rupees and less than 50 thousand rupees, the account officer will be able to approve the fund transfer or withdrawal. If the amount is less than 25 thousand rupees, then the dealing assistant can approve it.

FUND OF MORE THAN 30 THOUSAND CRORES INACTIVE

According to EPFO, more than 30 thousand crore rupees are deposited in inactive accounts. If no one comes to claim the money of such accounts, then EPFO ​​puts the money of that account in its account. However, as of now there is no time limit for how long the account should be considered closed.