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EPFO Allows 75% PF Withdrawal for Emergencies
Members can now withdraw 75% of PF balance for medical, education, housing, unemployment. Minimum membership standardised to 12 months. The move could boost household liquidity.
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The Employees' Provident Fund Organisation has eased partial withdrawal rules, letting members take out up to 75% of their provident fund balance during financial emergencies. The changes, notified last month, standardise the minimum membership requirement at 12 months for most advances.
The new framework consolidates the previous 13 categories of partial withdrawals into three broad groups. The categories now cover essential needs and life events, with housing forming a separate group. For medical treatment, members can withdraw without a fixed limit on the number of times. Education withdrawals are capped at 10 times during membership, marriage at five times.