Started settling claims at 8.25% interest rate for FY24: EPFO

The posts mentioned about the settlement of claims at the higher rate of interest, while stating that the accounts of continuing members will soon be credited with the interest for FY24.

Assuring members of no loss of interest due to the delay in crediting of interest, the retirement fund body said members are not at loss on account of declaration of rate of interest after the end of financial year as difference in rate of interest is paid to them, if the declared rate is higher than the previous year.

“The interest at the revised rates, since notified, is being paid to the current and outgoing members in their final PF settlements. Accordingly, 23,04,516 claims have been settled disbursing an amount of Rs. 9260,40,35,488 to the members inclusive of the latest interest rate declared @ 8.25% per annum,” it said.

In February, the EPFO had announced 8.25 per cent for financial year 2023-24 for its over 29 crore total subscribers, out of which around 6.8 crore are active contributing subscribers. This is the highest rate of interest for EPF subscribers in the last three years.

After maintaining the interest rate at 8.5 per cent both in 2019-20 and 2020-21, the EPFO had cut the interest rate in 2021-22 to 8.1 per cent, the lowest in four decades. It then hiked it marginally to 8.15 per cent in 2022-23.