The Government Information Center

Loan for the EPF members – SHRAMA UDANA

1.Purposes for which Shrama Udana loan is granted
•To build a house
•To add a new part to a house /extensions
•To complete a partly built house
•To obtain water facilities, sanitary facilities and electricity
•To purchase a house
•To purchase a plot of land to build a house
•Redemption

2.Who can obtain the loan
Members of the Employee Provident Fund.

3.The Loan amount you can obtain
Up to 75% of your EPF balance if you are currently employed

4. What is the Security
Your EPF balance

5. What will be your Loan Installment
If you are a salaried employee: 40% of the salary will be your maximum loan installment (within 60% of total fixed commitments) depending on your loan amount.
Others: Subject to evaluation of disposable income that can be proved.

6.What else……..?
•A Savings Deposit Rs. 500 /- to open a ‘Prathilabha’ Savings Account with the Bank.
•Loan application should be forwarded to the labor department. Those applications will be recommended and sent to the HDFC Bank by the labor department.
•Recommended loan applications will be processed for a loan by the HDFC Bank.