EPFO eyes auto-credit of inactive PF accounts
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New Delhi: Employees’ Provident Fund Organisation (EPFO) is reportedly preparing to roll out an automated system to settle unclaimed funds in inactive provident fund accounts, potentially unlocking around Rs5,200 crore.
Under the proposed mechanism, balances in such accounts will be credited directly to subscribers’ Aadhaar-linked bank accounts, eliminating the need to file claims. In the first phase, about 25 per cent of Aadhaar-verified inactive accounts are expected to be processed. The move is likely to cover nearly 8 lakh accounts. The Central Board of Trustees has already approved automatic settlement for inactive accounts with balances of up to Rs1,000, enabling direct transfers to registered bank accounts. An official announcement from EPFO is awaited. As of February 2026, EPFO had around 31 lakh inactive accounts with unclaimed deposits totalling Rs10,181 crore, including several accounts that are over two decades old.
