For salaried employees in India, Provident Fund (PF) is not just a retirement fund but also an essential support in times of career transition or emergency. But, sometimes it becomes very difficult to withdraw PF money at the time of need.
According to the Employees’ Provident Fund Organisation (EPFO), the process of withdrawing PF is quite easy. You just fill the correct form, keep your KYC updated and the money should be received within 7–15 working days. But, usually the process is not so easy. Sometimes people have to wait for months.
Why is there a delay in withdrawing PF money?
According to Para 69 of the EPF Scheme, 1952, funds should be released on time if all documents are in order. But in reality, many people have to wait for months. The reason? Even a minor mistake in Aadhaar, PAN, bank account or employer’s records can halt the entire process.
According to experts, if there is a discrepancy in Aadhaar, bank details or exit date, the claim process does not proceed. The most common problem is that the employer has not updated the exit date on the EPFO portal.
There is confusion while filling the form
There are three main forms for withdrawing PF:
- Form 19 – For withdrawing PF money
- Form 10C – If service is less than 10 years and pension is to be withdrawn
- Form 10D – If the service is more than 10 years and monthly pension is required
- Form 15G/15H – For TDS exemption
Many people often do not know whether they should withdraw a lump sum or start a pension. Many times people above 60 years of age fill Form 10C, whereas they should fill 10D. Although EPFO has now launched Composite Claim Form, so that multiple claims can be made in a single form. But confusion still persists, especially for those who are not adept at financial documentation.
Technical difficulties and compliance burden
To claim PF, you have to fulfill some important conditions:
- KYC (Aadhaar, PAN, Bank Account) is complete
- e-Nomination should be filed (now mandatory)
- The employer has updated the exit date on the EPFO portal
If any one of these is not done, then the claim cannot be filed. Apart from this, technical problems on the portal – IFSC mistakes, file format errors, Aadhaar authentication failure are common. Especially, when the digital signature of the employer is required, and he is reluctant, then the process can get stuck for a long time.
In such a situation, just filling the form is not enough. It is also important to attach the correct documents, get attestation from the employer and choose the form according to the correct category. Many people fill the wrong form, some do not know that their UAN is not active, or the bank details have not been verified.
What to do if PF claim gets stuck?
- Register complaint on EPFO Grievance Portal
- Contact Regional PF Commissioner
- If necessary, take the legal route, like a writ petition in the High Court
Pay attention to these things before claiming PF
- Check KYC and e-Nomination status on EPFO portal
- Confirm with the employer that the exit date has been updated
- Verify Aadhaar, PAN and bank account details
- If you do not understand the form then choose Composite Claim Form
- Fill 15G/15H if you are eligible for TDS exemption
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