Process of GPF Amount Withdrawals

There are a number of purposes listed for which individuals can withdraw their general provident fund (GPF) amount. Specific limits are specified for the each purpose for which the withdrawal is made. Each purpose comes with different eligibility criteria.

GPF Amount Withdrawals Procedure

The purposes for which customers can withdraw their GPF amount are as follow:

  1. Purchase of consumer durables
  2. Obligatory expenses
  3. Education
  4. Illness
  5. Purchase of house site
  6. Housing
  7. Construction / reconstructing
  8. Repayment of outstanding mortgage
  9. Renovation of ancestral home
  10. Overhauling / extensive repairs of motor car
  11. Making deposit to book scooter moped / motor cycle / motor car
  12. Purchase of scooter / motor cycle / motor car or repayment of loan taken to purchase scooter / motor cycle / motor car
  13. Subscription paid for the Group Insurance Scheme
  14. Charges for converting from leasehold to freehold of property allotted / transferred by House Building Co-operative Societies / State Housing Boards / Delhi Development Authority
  15. Without assigning any reason – Rule 15 (1) (Q)

Limits on GPF Withdrawals

  1. For items 1 to 4:
    1. Usually, a half of the credit amount or half year’s salary including DP, whichever is lower
    2. Up to ¾ of the credit amount subject to the sanctioning authority’s discretion
  2. For items 5 to 9:
    1. Up to 90% of credit balance
    2. The government loan already availed plus the amount withdrawn must not exceed the limit set forth under the HBA Rules
  3. For item 10:

    The actual amount of overhauling / repairing or 1/3 of the credit amount, or Rs.10,000, whichever is lower

  4. For item 11:

    The actual amount of registration or 50% of the credit amount or Rs.4,000 for scooter / motor cycle and Rs.22,000 for car, whichever is lower. The maximum limit for cars is Rs.1,10,000 and Rs.20,000 for scooter / motor cycle.

  5. For item 12:

    Rs.20,000 for scooter / moped / motor cycle and Rs.1,10,000 for motor car, but the withdrawn amount is limited to the actual price of the vehicle or 50% of the credit amount on the date on which the application for withdrawal to purchase a vehicle was made, whichever is lower.

  6. For item 13:

    The equivalent sum of one year’s subscription paid towards the Group Insurance Scheme.

  7. For item 14 and 15:

    Up to 90% of the credit balance.

Eligibility for Withdrawing GPF Money

  1. For items 1 to 4:

    Within 10 years prior to the date of superannuation or after completing at least 15 years of service (inclusive of broken periods), whichever comes earlier.

  2. For items 5 to 9:

    Any time during the service.

  3. For item 10:

    Less than three years prior to retirement or after completing at least 28 years of service.

  4. For items 11 and 12:

    Within five years prior to superannuation or after completing at least 15 years of service. In unusual cases, the Department / Secretary of the Ministry might sanction refundable advances to officials who cannot meet the minimum 15-year service requirement by less than six months. Once 15 years of service have been completed, the outstanding advance can be changed into final withdrawal. In case of car, the basic pay of the official, including DP must be at least Rs.15,750, and in case of motor cycle / scooter, it should be at least Rs.6,900.

  5. For item 13:

    All officials who are part of the Group Insurance Scheme, but withdrawal is allowed only in case a subscriber, at any stage, is not in the position to subscribe to the CPF / GPF and Group Insurance at the same time.

  6. For item 14:

    All officials.

  7. For item 15:

    Individuals who are due to retire on superannuation within one year.

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