New Delhi:
The retirement fund body EPFO said on Thursday that applicants seeking online return from Provident Funds do not have to upload the image of the canceled check and their bank accounts are not required to verify by employers.
The move expects a fast-track claim settlement process for about eight crore members and ensures ease of doing business for employers.
Currently, a member of the provident Fund Organization (EPFO) of the employees, applying to withdraw the fund from the online PF accounts, requires uploading the image or attached photo copy of the check leaf of the check leaf of the passbook of the seeded bank account with the UAN (Universal Account Number) or PF number. Employers also need to approve the details of the bank account of the applicant.
The Labor Ministry said in a statement that the EPFO has become completely disputed with the need to upload the image of the check leaf or attached bank passbook.
Both these steps have been away to ensure ‘ease of living’ for EPF members and ‘ease of doing business’ for employers. These measures will greatly establish the process of disposal of the claim and reduce the complaints related to the claim rejects.
These requirements were initially given rest on the basis of pilot for some KYC-updated members. Since the launch of the pilot on May 28, 2024, 1.7 crore EPF members have benefited before this move. After the successful pilot, the EPFO has now increased this rest for all members, the ministry said.
Since the bank account is already verified with the details of EPF members at the time of plantation of bank accounts with UAN, this additional document is not necessary, saying, saying, it, it will eliminate the possibility of rejecting claims due to poor-quality/appreated upload and will reduce the complaints connected.
During the financial year 2024-25, 1.3 crore members presented requests to sow their bank accounts and after matching with the concerned Bank/NPCI are to be approved by the employer through DSC/E-Sign. It is observed that about 36,000 requests are being raised by members on a daily basis and banks take an average of 3 days to complete verification.
However, after the verification of the bank account, the average time taken by the employer to approve the process is approximately 13 days, resulting in the employer’s level at the level of the employer and the resulting member delays the beading of the bank account for the member.
Of the 7.74 crore members who are currently contributing every month, already 4.83 crore members have sown their bank accounts with UAN 14.95 lakhs, pending at the level of employers.
Since the approval of employers is not required, it will immediately benefit more than 14.95 lakh members, whose approval is pending with employers.
According to the statement, the simplified process will also facilitate those who want to change their new bank account by entering their new bank account by entering the number of their new bank account with the IFSC code.
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