How To Pay Home Loan EMIs From Provident Fund Deposits?

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Subscribers of the retirement fund body have been allowed to make down payment and pay EMIs from their EPF accounts to buy homes. The subscribers of the Employees Provident Fund Organisation (EPFO) will be able to withdraw up to 90 per cent of their accumulations in their PF account for the purchase of homes.

Here are some details on how the home loan EMIs can be paid from provident fund deposits.

68 BD

The EPFO has amended the scheme by inserting a new paragraph - 68 BD - to the Employees' Provident Funds (EPF) Scheme, 1952, to enable a subscriber to make down payment to buy homes and pay EMIs through the EPF account. Under the new provision, an EPF subscriber being a member of a co-operative or housing society with at least 10 members can withdraw up to 90 per cent from the fund for the purchase of a dwelling house or flat or construction of a dwelling house and acquisition of the site. This is likely to be a big boon for those looking at buying a house or a home. How To Check EPF Balance Through Mobile SMS?


It also provides that monthly installments for repayments of any outstanding payment or interest may also be paid from the amount to the government, housing agency, primary lending agency and banks concerned.

Who can avail the offer?

The withdrawal facility from the PF account will be available to only those PF members who fulfill the conditions prescribed. One, the member applying under this window should have contributed to the fund for at least three years. However, it is pertinent to note that in three years time it is very difficult that one would have accumulated really large sums of money in the EPF. EPF Nomination: Know The Rules

Once in a lifetime

In any case, the facility will be available only once to every member during his or her lifetime. So, hat this means that you cannot apply twice. The rule applies to all those who together with their subscriber spouse have at least Rs 20,000 in their accounts. Six Updates In The Employees Provident Fund You Should Know 

Read more about: epf, emi, home loan
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