Every member of the Employees Provident Fund Organization (EPFO) is allocated a unique UAN number which is linked with one or more PF accounts. A PF account is a unique account number that is allocated when the PF member joins a company or an organization. PF accounts can be closed in a number of ways as denoted below.
Table of Contents
- Closing a PF Account Online
- Transferring a PF account from one company to another company
- PF Advance / PF Loans
Closing a PF Account Online
An EPF account cannot be opened and closed like a normal Bank account.
It can be closed only when the
- PF member has left the job and is no longer employed anywhere (or)
- PF member has been without a job for more than 2 months
In both the scenarios above, the Employees Provident Fund Organization allows you to withdraw the PF amount from both the EPF and EPS (Employees Pension Scheme) accounts!
And now with UAN being issued for all employees it is very difficult to close EPF accounts as every new Employer will ask for the UAN from your previous Employer as it’s mandatory.
Transferring a PF account from one company to another company
When you are switching jobs you can transfer the PF accounts from one company to another company via the UAN portal. Except for one of the scenarios all the other transfers are automatic as the PF accounts will be linked with UAN
PF Advance / PF Loans
Employees Provident Fund Organization allows you to withdraw some amount from your PF account for various purposes like Marriage, Education, Medical Treatment, Construction of a House, and buying of a house or flat. This method of withdrawal is known as PF Advances and this is another way of putting the money in your PF account to good use