KUALA LUMPUR (Feb 11): The Employees Provident Fund (EPF) will be removing all conditions for the i-Sinar facility, on the advice of Prime Minister Tan Sri Muhyiddin Yassin, after receiving feedback from the public.
Announcing this in a statement today, Finance Minister Tengku Datuk Seri Zafrul Abdul Aziz said this will be done to assist contributors through the challenging circumstances brought about by the Covid-19 pandemic.
"The removal of conditions will allow EPF members under the age of 55 to withdraw from their Account 1 funds, subject to their existing balance. For members who have already applied for i-Sinar under the current criteria, their applications will be automatically approved in due course," he said.
The statutory retirement fund, however, will maintain the existing payment schedule for withdrawals, he added.
Those with RM100,000 and below in Account 1 savings are able to withdraw up to RM10,000, staggered over six months, with the first payment amount of up to RM5,000.
For those with balances of more than RM100,000, they can withdraw up to 10% of their Account 1 savings, capped at a maximum of RM60,000. The payments will also be staggered over a period of six months with a first payment of up to RM10,000.
"Due to system and internal process changes required for i-Sinar Online, it will take the EPF some time to implement these latest updates. The fund will announce further details soon and the government appreciates members' patience and understanding while these changes are being made," said Tengku Zafrul.
He advised contributors to refer to information from EPF's official communication channels and to be mindful of misleading information aimed at confusing or defrauding members.
In a separate statement, the EPF said it acknowledges the announcement by the minister on the removal of i-Sinar facility criteria to provide more members with financial relief via their Account 1 funds.
"The EPF seeks the understanding and cooperation from members in allowing it to undergo the necessary fine-tuning of its system, process, and governance required for i-Sinar Online.
"This is to ensure the ease and security for members applying for this facility to assist them in these trying times. More information on this will be announced by the EPF on its official communication channels," it said.