EPFO Rules: Interest will continue to be received on the old EPF account, but it will be for a limited time only. According to EPFO rules, if there is no contribution in an EPF account for 36 months i.e. 3 years and the employee is not working, then that account is declared inactive.
EPFO Rules: The Employees Provident Fund Organization (EPFO) keeps providing various facilities to its members, so that people can easily take advantage of it. From checking balance to transferring account, the facility is provided by EPFO. If you change the company, then it is necessary to transfer PF to the new employer (new company), but think what will happen if you do not do this work?
Do you think that even after not transferring PF, interest will still be available on the PF account of the old company? Here let us tell you that interest on old inactive EPF account is available only for a few years. After the time limit is over, interest will stop. Let us know what is the rule.
What will happen if PF is not transferred?
EPF is considered to be one of the most reliable retirement saving options in the country. It offers tax exemption as well as better interest rates. But if you have not transferred the old EPF account to the new company after changing jobs, then it can be a loss for you. Most people think that interest will continue to be received in the old account even without transfer, but this is not so, it happens only for a fixed time.
PF account transfer has to be done by oneself
When an employee joins a new job, the EPF account is not transferred automatically. The employee himself has to go to the EPF website and complete the transfer process. If the account is not transferred, the old account remains as it is. However, the Universal Account Number (UAN) remains the same. There is no change in it.
Till when will interest be available on the old account?
Interest will continue to be received on the old EPF account, but it will be for a limited time only. According to EPFO rules, if there is no contribution in an EPF account for 36 months or 3 years and the employee is not working, then that account is declared inoperative. In such a situation, interest stops.
What are the problems?
If the contribution in the old account is stopped, you cannot avail the benefit of compounding interest. Along with this, if the Aadhaar, bank and PAN information is not updated in the account, then there will be problems in withdrawing money and other services.
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