EPF members can settle education loans under Account 2 from July 21

The Employees Provident Fund is the main source of savings for nearly all Malaysians in the private sector.

KUALA LUMPUR: The Employees Provident Fund (EPF) has made it easier for its members to settle their outstanding education loans from July 21 and this could benefit up to 70,000 members who have yet to repay these loans.

The retirement fund said the members would be able to settle their outstanding education loan amount from Account 2 under the education withdrawal facility irrespective of the effective date of their education loan agreement.

The enhancement will replace the current conditions of education withdrawals from Account 2.
 
EPF deputy chief executive officer (operations) Datuk Mohd Naim Daruwish said the enhancement to the policy was done after the members' feedback that they faced difficulties in reducing or settling their education loans using their EPF savings. 

“The EPF serves to create a positive member experience and we always strive to improve all areas that we can while delivering our mandate. 

“We are pleased to note that the enhancement is expected to benefit up to 70,000 of our members who have yet to repay their education loans.” 

Mohd Naim also said that effective immediately, members can submit their withdrawal application form 9B (AHL) for age 50 withdrawals or age 55 and age 60 full / partial withdrawals one month prior to their birth date instead of the previous six months. 

“Before members make any withdrawals, we strongly encourage them to visit our retirement advisory services located in 18 branches throughout Malaysia to receive free advice on the best withdrawal option that fits their needs,” he added.