Rising interest rates are across the corner and it’s good for depositors who are looking for investment avenues. Banks are revising their Fixed Deposit rates and Saving Bank Account interest rates upward. Many private banks have revised both the rates, also PSU banks have been revising their FD rates recently and Small Finance Banks are on the forntline offering head-on rates in both type of deposits.
Then why should EPFO offer lesser interest rates. Yes, you heard it right. EPFO on 10th Feb 2024 has proposed to offer 8.25% interest rate on your PF Account balance for the Financial Year 2023-2024. While this will be implemented post Ministry of Finance approval, it will certainly make the EPFO investors happy.
All the salaried class employees (be it government or private) opt for EPFO investment as a mandatory investment from their employeer side and contribute from their salay regularly month on month. EPFO is a longterm investment for many and the upward revision in it’s interest rates will definitely give more benefits to the investors.
Presently your EPFO Account offers 8.15% annual interest rate and the proposed rate of 8.25% will be 10 bps higher. The proposed rate is the highest rate that EPFO has ever offered in the last 3 Financial Years.