Patna: The Employees’ Provident Fund Organisation (EPFO) has introduced a faster and more transparent claim settlement system, allowing eligible members to receive their provident fund (PF) claims within three working days. The move is expected to benefit around 2 million EPFO members in Bihar by reducing waiting time for withdrawals.
The revised process also introduces stricter accountability for delays. Officials responsible for claim processing may face action if settlements are delayed beyond 20 days without valid reasons.
Faster Access to PF Funds
According to Regional Provident Fund Commissioner Hemant Kumar, members whose Universal Account Number (UAN) is linked with Aadhaar, whose bank accounts are verified, and whose Know Your Customer (KYC) details are fully updated will be eligible for faster claim processing.
Eligible members can withdraw PF savings for approved purposes, including medical treatment, education, marriage, house construction and unemployment, under the revised system.
Officials to Be Held Accountable
The EPFO has stated that claim settlements should ordinarily be completed within three working days for eligible applications.
If a claim remains pending for more than 20 days without a valid reason, the concerned official may be held accountable. In such cases, a penal interest of 12 per cent may be imposed on the responsible official. However, claims requiring additional scrutiny may follow a different process.
Auto-Settlement Limit Increased
As part of the reforms, the EPFO has increased the limit for auto-settlement of claims from Rs 1 lakh to Rs 5 lakh.
The higher threshold is expected to enable more claims to be processed automatically, reducing manual verification and paperwork while speeding up payments for eligible members.
Around 2 Million Members in Bihar to Benefit
Bihar has an estimated 2 million EPFO members. With the implementation of the revised claim settlement system, a significant number of account holders are expected to receive their PF payments more quickly, provided their Aadhaar linkage, bank verification and KYC formalities are complete.
The changes are aimed at improving service delivery, reducing processing delays and making provident fund withdrawals more efficient for eligible subscribers.
