The Employees Provident Fund Organisation would be able to pledge their provident fund to buy houses and use their accounts to pay equated monthly instalments (EMIs) from next fiscal and is proposed to be launched in the next fiscal 2017-18 and the scheme will enable subscribers to pledge their PF accumulations to buy homes and pay home loans EMIs through their EPF account.
Under the scheme, the retirement fund body will act as facilitator for its subscribers so that they can buy affordable homes for themselves during their service period. The body has no plans to buy land or build houses for their subscribers.
Under the proposed scheme, there will be a tripartite agreement between member, bank/housing agency and EPFO for pledging future PF contributions as EMI payment.
The benefits (Low cost housing scheme) under the scheme of Ministry of Housing and Urban Poverty Alleviation may be extended to the beneficiaries of the scheme, but, It is in preliminary discussion stage.