Consumer Issues
EPFO settles 11 lakh claims in July taking FY15 total to 43 lakh

Out of the 43 lakh claims settled by EPFO since April, more than 68% were settled in less than 10 days

 

The Employees' Provident Fund Organisation (EPFO) has settled over 11 lakh claims, including transfer and withdrawal of provident fund, during July.

 

"EPFO has settled more than 11 lakh claims during July 2014. This has taken the cumulative total during this financial year to 43 lakh claims," the retirement fund body said a statement.

 

Of the 43 lakh claims, more than 68% were settled in less than 10 days.

 

Besides, the EPFO also updated 92% of the annual accounts due for the year 2013-14. "This achievement is unprecedented and has happened for the first time in the last 30 years," EPFO added.

 

EPFO has recently issued Universal PF Account Numbers for 4.17 crore contributing members. They have been made available to the employers who in turn have to seed the numbers with KYC details such as bank account, PAN and Aadhaar.

 

As per latest progress review, more than 30 lakh (KYC) data has been seeded so far. EPFO has set 15th September as deadline for completing this task. These 4.17 crore UANs are expected to be operational by 15th October.

 

The UAN will be portable throughout the working career of the members and can be used anywhere in India. Thus, they will not need to apply for transfer of PF account on changing jobs.

 

With a view to making inspections of establishments more transparent, objective and to bring in greater accountability on the part of inspecting staff, a new scheme has been introduced by EPFO.

 

The new system envisages both mandatory and optional inspection of establishments. While mandatory inspections would be applicable in respect of new coverages (companies), establishments registered on ECR portal but not complying and those establishments reported for closure.

 

The optional inspection would be resorted to in such cases where there is a drop in remittance or membership. It is also been decided shall be uploaded on the EPFO's website and thereby placing the same in the public domain for scrutiny.

 

It was also stated that social security agreements have been notified with respect to two more countries -- Finland and Sweden. The agreements are operationalised from 1st August.

 

Under the agreement, employees who are deputed for short term assignments are exempted from making social security contributions in the country in which they are deputed provided they carry Certificate of Coverage (CoC).

 

Facilities also exist for totalisation and portability of social security benefits.

User

COMMENTS

IndianMoney

2 years ago

The EPFO is one of the biggest saving schemes in India and it offers an interest rate of 8.75% per annum.
A meeting is scheduled for August 26th 2014 and one hopes that a hike in interest rates is on.

Mr Jitendra

2 years ago

In India, no one talks about EPFO and its controversial decisions like EPS Pension scheme and the decision not to credit interest to dormant PF accounts. In 2013-14 the Inoperative PF Balance was Rs 26 thousand crores and interest on that amount comes to around Rs 2252 crores which they did not credit. Is Rs 2252 crores not a savings for EPFO? And that Savings can be called as Indirect Income? What is EPFO doing with the Rs 2252 crores that they saved by not giving interest on Inoperative Balance? EPFO chose not to reply to this grievance raised on grievance portal.

jossie

2 years ago

My PD due took me almost three year to get the amount.

Secondly the amount stated by them and on calculation the same is actually different. This thus shows there is no transparency in their interest calculation.(If the interest rate reduced in a Financial Year then the PF interest amount get reduced as I found out since I had to wait for almost three year to get my dues)

No one co-operate since they say that everything is centrallised in Delhi

RBI to reduce 'pre-emptions' to spur efficiency: Rajan

A day after lowering SLR, Rajan said the RBI would reduce the amount of pre-emptions in the system including SLR and make a more effective priority sector lending process

 

Reserve Bank of India governor Dr Raghuram Rajan has said the central bank is all for reducing "pre-emptions" over a longer horizon for more efficiency in the financial system.

 

"The broader, longer term programme of five years, is that we should reduce the amount of pre-emptions we have in the system including statutory liquidity ratio (SLR) and make a more effective priority sector lending (PSL) process," Dr Rajan said during the customary post-policy call with analysts.

 

Rajan drew attention towards the Nachiket Mor committee on PSL and said that the RBI is trying to make the entire process more effective.

 

"These are necessary changes in the system and should not be seen as tied to the monetary cycles," he added.

 

Various stakeholders in the system, including banks, have been expressing reservations about the pre-emptions like the SLR and CRR. In the present scenario, banks have to set invest 22% of their deposits in government securities and 4% gets parked as cash reserve ratio (CRR) without any interest payment.

 

Banks carry out lending on whatever remains, and 40% of the lending as well is mandated to be done to weaker sections of the society under the PSL.

 

Rajan conceded that Tuesday's 0.50% cut in SLR is not going to have any real impact in the immediate future and added that banks will continue carrying excess SLR for the "foreseeable future".

 

The cut in the SLR holding requirement, which has the potential to release an additional Rs40,000 crore into the system, offers banks the flexibility to manage their finances better when the credit demand will go up, he said.

 

"Going forward, we would investigate the conditions in both the credit market as well as the bond market and make appropriate decisions at that point," Rajan said, asserting that banks will continue to be present in the government securities market.

 

When asked about the limit for foreign institutional investors' investments in government securities, Rajan said the RBI is happy with their renewed interest and also acknowledged their preference for longer maturity debt of over three years.

User

ICICI Bank launches special travel card for student going abroad

The Travel Card helps overseas students to pay for application fee, university admission and other course-related fees, hostel fee and day-to-day living expenses, while their parents can reload the card from India

 

ICICI Bank, the country’s largest private sector lender has launched a travel card which enables students going abroad for higher studies to take care of their expenses.

 

“The card offers both students and parents a convenient, safe and hassle-free way to manage their education-related expenses abroad. While it helps the students pay for expenses such as application fee, university admission and other course-related fees, hostel fee and day-to-day living expenses, their parents can reload the card from India. Also, the card allows withdrawal from ATMs across the globe in local currency,” the bank said in a statement.

 

Additionally, card users get the benefit of free comprehensive travel insurance, lost card liability insurance and a replacement card which can be activated easily by calling an international toll-free number in the event of loss/ damage of the primary card.

 

The unique feature of the card is that it is bundled with membership of the International Student Identity Card (ISIC). ISIC is the only internationally accepted proof of full-time student status and offers 40,000 benefits and discounts at 1.2 lakh merchant outlets across 130 countries.

 

ICICI Bank Student Travel Card is available in the dollar, pound, euro, Australian dollar and Canadian dollar. It is valid for three years and can be applied for from any foreign exchange-enabled ICICI Bank branch. Anyone, including non-customers, can apply for this card.

User

COMMENTS

Krishnan Venkat Subramanan

2 years ago

pl note that the travel insurance provided here is alongwith the card which may not be recognised by the Universities abroad. They would like to see a separate insurance cover which has to be mentioned.

IndianMoney

2 years ago

The launching of a travel card is great for students as their parents can easily recharge this card from India.
However along with this travel card make sure you take travel insurance so that if your child suffers a medical emergency abroad the amounts are reimbursed.

R Choksi

2 years ago

Hi,

This is same as any other currency card offered by banks and tour operators such as Thomas Cook. One feature which may not be in other travel cards seems to be 'free travel insurance'.

R Choksi

2 years ago

Hi,

This is same as any other currency card offered by banks and tour operators such as Thomas Cook. One feature which may not be in other travel cards seems to be 'free travel insurance'.

Krishnan Venkat Subramanan

2 years ago

what is new in this travel card. my son has gone abroad about two years back and had taken an IDBI bank World currency card. He has been using the card for managing his expenses, fees etc. As a parent i used to load the card from India for meeting his monthly expenses which is very efficient and easy way at IDBI bank. However students using the card for direct payment to the university should be cautioned that there would be a hefty charge for the same. The best way would be to withdraw the amount from an ATM at the unversity and deposit it to their account with a bank there which the student might have opened. Generally all universities have a branch of a bank in the campus like Wells fargo or Bank Am. Then use the Debit card given by the bank which is the most efficient way.
Payment through travel cards involved payment of unnecessary charges
Readers should be aware of the charges which is in USD.
thanks
regards
kv subramanian

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