What is PF (Provident Fund)?
PF (Provident Fund) is a savings scheme where a small part of your salary is saved every month. Your company also adds money to it. Over time, this amount grows into a big savings fund, mainly for retirement.
But the good news is – you can use this money before retirement for important things like:
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Buying a home
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Building a house
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Repaying home loan EMIs
How to Use PF for Home Loan or EMI Payment?
You can withdraw some amount from your PF account to:
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Pay a part of your home loan (like down payment)
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Pay your monthly EMIs directly to the bank
This is allowed by the EPFO (Employees’ Provident Fund Organisation) under certain rules.
Conditions to Use PF for Home Loan / EMI:
For Home Loan Repayment or EMI:
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You should have completed at least 10 years of service.
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You should be a member of a registered housing society or builder group.
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The flat/house should be in your name or jointly with spouse.
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You can use the PF amount to repay the loan to a bank, housing society, or government body.
How Much Can You Withdraw?
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You can withdraw up to 90% of your PF balance (Employee + Employer share).
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This amount can go directly to your home loan lender or bank.
Documents/Steps Needed:
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Form 31 – PF Advance Claim
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Loan statement or bank letter confirming EMI or loan details
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PAN/Aadhaar/Bank details in UAN portal
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The EPFO may also ask for a Declaration Form from your builder/bank
You can apply online through the UAN portal (https://unifiedportal-mem.epfindia.gov.in/).
EMI Payment through PF – How it Works?
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EPFO will transfer the money directly to your loan account (bank or lender).
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It can cover a lump sum or multiple EMIs, depending on your PF balance.
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You cannot request monthly EMI help forever – it’s usually a one-time or limited-time help.
Using PF for home loan EMI is a smart option if you are short on money and have a decent PF balance. But remember:
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It reduces your retirement savings.
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Use it only when necessary and for genuine needs.
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