Understanding PF Name Change, Interest, and Inoperative Accounts: Expert Insights

Dear All,

I have a query related to PF. If an employee who is a member of the PF scheme changes his name, what should be done in this case? What are the processes and forms that need to be filled to change his name in the account?

Secondly, in the case where an employee has resigned and will not withdraw his provident fund, i.e., it remains unclaimed, will they receive interest on this amount every year?

Regards,
Ranjeet

For name change, there seems to be no separate form under the EPF Act. Therefore, one has to apply for changing the name through the employer with relevant proof, namely, a gazette notification. Additionally, a revised nomination form (EPF form 2) must be sent.

If a person who has resigned does not transfer their PF account to their new account or does not withdraw their accumulations, they will receive interest yearly. However, if the account remains inoperative for more than 36 months, they will stop receiving interest for the period exceeding three years.

Regards,

Madhu.T.K

[QUOTE=Shilpi Chowdhury; 1544834]

Dear Mr. Madhu T.K.,

Thanks for providing such knowledgeable information on the new name in PF and amount.

Also, please advise who is going to pay the interest, whether the organization or the PF office? How much interest would the left employee get?

Thank you.

PF interest is paid by the Employees' Provident Fund organization and not by the employer.

Regards,

Madhu.T.K

The rate of interest is subject to change, and the present rate is 9.5%. In case of a former employee, the same rate of interest is applicable. However, if the account remains inoperative for more than 36 months, the individual ceases to receive interest for the period beyond 36 months.

Regards, Madhu.T.K

Dear Madhu,

Thank you for the valuable information. I was not aware that interest on PF amount stops after three years if it is not operative or transferred.

Thanks again!

Nishu