EPFO: You will soon be able to withdraw money from EPF account through UPI, Mandaviya says testing complete — Details

The Employees Provident Fund Organisation (EPFO) will soon enable the direct transfer of provident fund into member accounts through Unified Payment Interface (UPI), Union Labour Minister Mansukh Mandaviya said on Tuesday.

According to Mandaviya, testing of the facility has been completed and is part of various initiatives the retirement fund body has undertaken to improve the quality and delivery of service.

“We have completed the testing of the facility where members can withdraw EPF (employees' provident fund) through the use of the UPI payment gateway. The withdrawn amount will be directly transferred into the bank account of the member,” Mandaviya told reporters.

EPF access through UPI: What we know

• According to Mandaviya, the project includes freezing a certain proportion of the EPF account, with a large chunk made available for withdrawal through the member's bank account via UPI.
• Subscribers will be able to see the eligible EPF balance available to transfer into their seeded bank accounts.
• They will be allowed to use their linked UPI PIN to complete the transaction, ensuring a secure transfer of money into their bank accounts.
• Once the money is transferred into bank accounts, members can use it as they wish, such as making electronic payments or withdrawing cash at bank ATMs with debit cards.

EPFO to extend auto-settlement of claims

Earlier this week, Ramesh Krishnamurthi, Central Provident Fund Commissioner at the EPFO, told reporters that the organization plans to extend its auto-settlement process to include final provident fund withdrawal claims and automate the transfer of accounts when members change employers.

Mandaviya confirmed the move for the organisation, which has more than 7 crore members.

Expansion of the auto-settlement feature would include final withdrawal claims, as per present rules, which allow partial or advance withdrawals up to ₹5 lakh through auto mode. For the current process, the deadline to complete auto-settlement is three days from the date of filing.

The EPFO's auto-settlement mode has processed more than 3.52 crore claims for amounts up to ₹5 lakh as of 25 February 2026 (FY25-26). It had, in June last year, increased the auto-settlement threshold from ₹1 lakh to ₹5 lakh to minimize manual oversight and shorten processing windows.

EPFO initiative to use WhatsApp for outreach

Mandaviya said that the EPFO has taken the initiative to use WhatsApp for enhancing outreach and streamlining member services. The reason for choosing the medium is to reach mobile users. Here's how it will work:

• Members can type 'Hello' to EPFO's registered WhatsApp number, which is verified by a green tick mark for safety and assurance, to initiate the conversation with EPFO.
• They can also choose to receive messages from EPFO on their registered mobile number.
• All communication will be in the local/vernacular language, enabling members to engage with EPFO more comfortably in their language.
• Members will have 24/7 access, and the automated systems can handle repetitive queries around the clock.

Expected to be launched in a month, the initiative will focus on members eligible under Pradhan Mantri Viksit Bharat Rozgar Yojana (PMVBRY), who have pending gaps, such as non-completion of Aadhaar Authentication via UIDAI's Face Authentication technology (FAT) or non-enablement of DBT for their Aadhaar-linked bank account. Such Members will receive targeted support for resolution on WhatsApp itself.

It will also focus on members who require guided facilitation to enable quick, seamless access to essential EPFO services, such as viewing PF balances, the last five transactions, claim status, etc.

EPFO to reduce litigation, ensure timely resolution

The minister also informed that the EPFO has undertaken a focused, mission-mode initiative to reduce litigation and ensure the timely resolution of pending cases across various legal forums.

It launched a dedicated mission mode drive to dispose of cases pending before consumer courts. Under the ‘Nidhi Aapke Nikat (NAN)’ programme, cases were identified in advance and expedited.

“As a result, the number of pending consumer cases declined significantly from 4,936 as of April 1, 2024, to 2,646 as of March 31, 2026,” he said.

EPFO is also proactively identifying cases pending before consumer courts and reaching out to citizens through ‘Nidhi Aapke Nikat’ to facilitate faster grievance redressal. The overall pendency of litigation cases decreased from 31,036 as of 1 April 2025 to 27,639 cases as of 1 April 2026, reflecting a reduction of 3,397 cases. This reduction marks the lowest ever level of litigation pendency in EPFO.

Special emphasis was placed on reducing long-pending cases.

(With inputs from PTI)

Disclaimer: This story is for educational purposes only. The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before making any investment decisions.