
I have two PF account nos. under in a single UAN. I retired from the 1st origination in the month of sept 2020 after attains the age of 58 years and join 2nd origination in May 2022 (as per PF department records) and continue till now.
The EPFO department Stop to credit my interest in the Ist account w.e.f. sept 2023 (Aprox) and continue to provide interest in 2nd account till now.
I visited earlier several times in connection with higher pension from the beginning from June 2023 the date of application submitted for higher pension.
As the amount to be taken from my account /deposited by me with interest for higher pension settlement as required by department. On enquiring at that time during my visit, the dealing official of the department informed me that the amount after demand with interest will be taken from my Ist account only as the case of higher pension pertain to ist origination and not for 2nd one.
In view of this I have not transfer / withdraw the amount from Ist account. Finally on several visit and request I have been issued demand notice dated 28-04-2025 to deposit by 30-04-2025 Rs. 1157109 or by 31.05.2025 Rs. 1164916 or by 30.06.2025 Rs. 1172721 with a joint request Form. All the required forms with employer authenticity deposited well with in time. The amount required for higher pension still as of today 13-07-2025not debited or transfer from my account.
It is to inform here that there is a balance as of today with interest as on sept.2023 is Rs.9366305/- (INTEREST LOSS OF Rs. 14.16 LAC APROX TILL NOW.)
IN VIEW OF THE ABOVE FACTS--- Please advise me what should I do and also confirm the rules for the same to square up the matter with department.
Kul Bhushan Rana
Ans: – You have shared your situation clearly and patiently.
– You are taking efforts for your rightful higher pension.
– That shows financial awareness and future planning.
– You have stayed consistent with EPFO visits and followed their process.
– That discipline is truly worth appreciating.
? Understanding the Two PF Accounts Under One UAN
– You retired from the first organisation in Sept 2020 after turning 58.
– You joined the second organisation in May 2022.
– Both PF accounts are under one UAN, which is valid.
– Interest stopped on the first account from Sept 2023.
– This is common when PF becomes inoperative.
– As per EPFO rules, interest stops after 3 years of no contributions.
– You were told your higher pension dues will be debited from the first account.
– That is correct, since higher pension application is linked to first service.
? Why Interest Stopped in the First PF Account
– As per current EPFO rules, interest is credited only when account is active.
– If no fresh contributions after 36 months, account becomes inoperative.
– That is why interest was not credited after Sept 2023.
– Even though you did not withdraw, account is inactive.
– Hence, interest loss of Rs. 14.16 lakh happened.
– This situation could have been avoided with timely fund transfer.
– But since EPFO informed you not to transfer or withdraw, you followed guidance.
– So the delay is not from your side, but from the department's delay in debit.
? Higher Pension Demand Notice and Delay in Debit
– You received demand notice on 28-04-2025.
– You were given amount and deadline options till 30-06-2025.
– You submitted joint request form and employer authentication within deadline.
– That shows you followed all instructions sincerely.
– But as of 13-07-2025, amount still not debited from first PF account.
– That delay has caused further interest loss to you.
– This is where department processing failure has caused financial damage.
– You have a valid reason to request interest restoration.
? What You Can Do Now: Step-by-Step
– Please write a formal letter to your EPFO Regional Commissioner.
– Mention full details of your UAN, both PF numbers and service periods.
– Explain clearly the timeline of your application, visits, submissions.
– Attach copy of demand notice and receipt of form submission.
– Highlight clearly that department advised to not withdraw or transfer first PF.
– So you kept funds there only for higher pension settlement.
– Mention the delay from EPFO side in debiting your dues.
– Due to that, you suffered Rs. 14.16 lakh interest loss.
– Request them to process debit immediately and update pension calculation.
– Also request interest restoration or compensation due to their delay.
– Keep copy of letter and get acknowledgement from EPFO office.
– Also send same via registered post or speed post to maintain proof.
? Other Follow-Ups to Take in Parallel
– File a grievance on EPFO official portal under "Higher Pension - Settlement".
– Explain same points in simple words with date-wise entries.
– Upload supporting documents like demand notice and bank proof.
– After 15 days, file RTI to EPFO to ask for action status.
– Ask why debit not done and interest not compensated.
– Ask for name and designation of person responsible for delay.
– This puts legal pressure and speeds up department response.
? Higher Pension and Interest – Rules and Reality
– EPFO higher pension scheme is based on Supreme Court ruling.
– Eligible employees can shift from EPS wage limit to full salary for pension.
– Employees retiring after Sept 2014 with joint option and contribution are eligible.
– Pension is based on last drawn salary and service duration.
– When applying for higher pension, EPFO allows employee to pay shortfall.
– This can be done through PF account or external payment.
– In your case, PF balance was enough to cover demand.
– But EPFO delay has caused interest loss.
– Rule does not allow interest on inoperative PF after 3 years.
– But if delay is due to department error, you have right to raise claim.
? You Can Also Approach EPFO Zonal Office
– If local office does not act, escalate to Zonal EPFO office.
– Carry all documents and submit grievance with written letter.
– Politely explain financial loss and request immediate resolution.
– Zonal office has more power and senior officials.
– Their intervention often helps speed up things.
? Legal Option as Final Step (Only if Needed)
– If still no response after all efforts, send legal notice.
– A notice from your advocate can mention service record, forms, interest loss.
– It should demand debit of funds and compensation for interest.
– This step may push EPFO to close the matter without going to court.
– But legal option should be last resort, after exhausting all department levels.
? Tips to Prevent Future PF Related Losses
– Always take written record of any advice given by EPFO staff.
– Do not depend on verbal instructions alone.
– Always follow up in writing when EPFO gives timeline.
– Keep copies of every form, acknowledgement, screenshot.
– Transfer old PF to active account after retirement if no advice from EPFO.
– Keep account active to continue earning interest.
– Maintain full file of pension-related papers for future needs.
? Finally
– You have shown great patience and effort in following the pension process.
– You have every right to get higher pension and fair treatment.
– EPFO delay is causing financial loss and mental stress.
– With written communication and RTI, you can demand quick resolution.
– Keep calm but stay persistent.
– You will be able to close the matter with rightful benefits.
– Your discipline in record-keeping and action is praiseworthy.
– Please keep moving step by step as explained above.
Best Regards,
K. Ramalingam, MBA, CFP,
Chief Financial Planner,
www.holisticinvestment.in
https://www.youtube.com/@HolisticInvestment