GPF/ZPPF Loans (Temporary Advance) and Part-final Withdrawal (Non Refundable)-Rules

The Subscribers of Govt Provident Fund (GPF) or Zilla Parishad Provident Fund ZPPF can avail the facility of  "PF Loans" (Temporary Advance) and Non Refundable Advances ( also called as "Provdient Fund Part Final Withdrawal"). The PF Advances are of  two types 1. Refundable 2. Non Refundable. Subscribers have to apply using Proper Forms for Loan or Part-final Withdrawal. Let us see how the Loans are sanctioned.
      Loans or Advances will be sanctioned from The Provident Fund account maintained in respect of a subscriber which shows the particulars of Opening Balance, subscriptions, refunds, amounts credited to the Fund like dearness allowance, pay revision arrears etc., withdrawals made, interest allowed and closing balance.Sanctions for Temporary Advances/Part final withdrawals received from the departments will also be recorded in their account.
  • GPF/ZPPF Loan (Temporary Advance) Refundable-Click Here
  • GPF/ZPPF Part Final Withdrawal - (Non Refundable Advance)-Click Here
Provident Fund Loans Partifinal Withdrawal Rules

GPF / ZPPF Temporary Advance (PF Loan)-Refundable

             A temporary advance is granted to a subscriber from the amount standing to his credit in the Fund by the departmental officers for specified purposes. As per Rule 14 of GPF Rules, The amount of advance sanctioned shall not exceed 3 months pay or half the amount at the credit of the subscriber in the Fund, whichever is less subject to the following conditions. Temporary advance is to be applied in the form prescribed.

Rules & Purposes for drawal of Temporary Advance (Loan)
As per Rule 14 of Provident Fund Rules the below are the conditions for sanction of PF Loan
  1. To meet expenses in connection with the prolonged illness of the subscriber or any person actually dependent on him;
  2. To pay for the overseas passage for reasons of health or education, or to meet the cost of higher education of the subscriber or any person actually dependent on him;
  3. To pay obligatory expenses in connection with his betrothal and/or marriage, funerals or other ceremonies of persons actually dependent on him.
  4. To meet the cost of legal proceedings instituted by the subscriber for vindicating his position in regard to any allegations made against him in respect of any act done or purporting to be done by him in the discharge of his official duty.
  5. To meet the cost of building or acquiring a suitable house for his residence.
  6. To meet the cost of acquiring a farm land and / or business premises within 6 months of the date of the subscriber’s retirement.
  7. To meet the cost of purchasing a motor-car.
  • For Sanction of PF Loan/Advance, subscribers may have to submit the documents for evidence i.e., Dependency Certificate (In case, applied for Treatment of illness of the dependent, should be declared by himself/herself)/ Marriage Certificate/ Marriage Invitation Card /Registered Agreement sale deed/ Study Certificate and Fees Receipts etc. along with the application form
  • Applicants may also have to submit the acquittance in advance along with the application form

Recovery of Temporary Advance (PF Loan)
  1. The advances are recoverable (No Interest) from the subscriber in such number of equal monthly installments as the sanctioning authority may direct, but such number shall not be less than 12 , unless the subscriber so elects, and not more than 24 (Generally 20 Installments). In special cases where the amount of advance exceeds 3 months’ pay, the number of installments can be more than 24, but in no case more than 36.
  2. When there is an advance running and a second advance is sanctioned, the balance of the previous advance not recovered shall be added to the advance so sanctioned and the subsequent installments for recovery of advances shall be fixed with reference to the consolidated amount.
  3. The recovery shall commence with the issue of pay for the month following the month in which the advance was drawn.
  4. A subscriber may, at his option, repay more than one installment in a month
  5. Recoveries towards refund of Temporary Advances shall not be affected during the last four months of service of subscriber.

GPF/ZPPF Part Final Withdrawal (Non-Refundable Advance)

Conditions for Sanction of Non-Refundable Advances
     Part-Final Withdrawals may be sanctioned by an authority competent to dismiss the subscriber at any time after the completion of twenty years of service or within ten years before the date of his retirement on superannuation, whichever is earlier.Non-Refundable Advance is to be applied in the form prescribed.

Rules and Conditions for Sanction of Part final Withdrawal
Expenditure towards higher education including traveling expenditure of self, child. Education includes outside India.
On completion of 20 years of service or 10 years service before retirement
3 months pay or half of GPF balance whichever is less. In special cases upto 10 months of pay.
Expenditure towards illness of self and family.
6 months pay or half of balance whichever is less. In special cases 3/4th of balance
Expenditure towards marriage and betrothal of self, son, daughter and female dependant.
6 months pay or half of balance whichever is less. In special cases upto 10 months pay.
Expenditure towards house building purpose. 
After completion of 15 years service or within 10 years of retirement.
Upto 3/4ths of the balance or actual cost whichever is less
Expenditure towards acquiring house site.
1/4th of balance or actual cost of site whichever is less
Expenditure towards construction of a house on a site purchased from the amount withdrawn under Rule 15-F
1/3rd of balance or actual cost whichever is less
Acquiring a farm land or business premises
6 months before retirement
Upto half of balance or 6 months pay whichever is less. In special cases upto 3/4th of balance.
Expenditure towards purchase of motor car
After 28 years of service or 3 years before retirement
Rs.12000/- or 1/4th of balance or actual price whichever is the least.