EPFO subscribers can now pay EMIs from their EPF accounts

After EPFO has amended Employees' Provident Funds Scheme, its subscribers can now make down payment and pay EMIs from their EPF accounts to buy homes. Under the new provision, an EPF subscriber being a member of a co-operative or housing society with at least ten members can withdraw up to 90 percent from the fund for purchase or construction of a dwelling house and acquisition of the site and can pay EMIs for repayments of any outstanding payment or interest. To avail the withdrawal facility, the member should have contributed to the fund for at least three years. The facility will be available only once to every member during his or her lifetime. The rule applies to all those who together with their subscriber spouse have at least Rs 20,000 in their accounts.

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