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Withdrawal of EPF up to 90 percent allowed for Buying Homes

Withdrawal of EPF up to 90 percent allowed for Buying Homes

The Government vide Notification No. G.S.R.351 (E) dated 12th April, 2017 [Click to See ] has inserted a paragraph 68BD in Employees’ Provident Funds (EPF) Scheme, 1952 for withdrawal from the Employees’ Provident Fund (EPF) for purchasing dwelling house or flat or construction of a dwelling house.

The withdrawal amount from the Provident Fund shall not exceed ninety per cent of the employer’s share of contribution and interest thereon and employee’s share of contribution and interest thereon.

The Scheme envisages that a member can authorise monthly installment for the repayment, wholly or partly, of any outstanding principal or interest of a loan obtained in the name of the member or spouse of the member or jointly by the member and the spouse.

The payment can be made on behalf of the member to a housing agency or primary lending agency or bank concerned, etc.

The subscriber should be a member of a cooperative society or a society registered for housing purpose under any law for the time being in force and such society has at least ten members of the Fund.

The above information was given in Parliament on 27.12.2017 by the Minister of State for Labour and Employment Shri Santhosh Kumar Ganagwar.

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