by ALIFAH ZAINUDDIN/ pic by MUHD AMIN NAHARUL
The Employees Provident Fund (EPF) today announced that its i-Sinar facility will enable 2 million affected members to advance up to 10% of their savings in Account 1.
EPF CEO Tunku Alizakri Raja Muhammad Alias said the fund has taken the step to widen the scope of i-Sinar to cover active members who have lost their jobs, given no-pay leave, or have no other source of income.
“i-Sinar will now benefit 2 million eligible members and result in a total estimated value of RM14 billion to be made available,” he told reporters at a special briefing in Kuala Lumpur.
For those who have RM90,000 and below in their Account 1, they have access to advance any amount up to RM9,000. The amount advanced will be staggered over a period of six months with an increased first advance of up to RM4,000.
For those with savings of above RM90,000 in their Account 1, they have access to advance up to 10% of their savings, with the maximum amount allowed to be advanced set at RM60,000. The amount advanced will be staggered over a period of six months with an increased first advance of up to RM10,000.
Members who choose to apply for the i-Sinar facility will be required to replace the full amount advanced. All future contributions will be 100% credited to Account 1 until such time the amount advanced is replenished. Thereafter, contributions will revert to 70% to Account 1 and 30% to Account 2.
Eligible members can start applying from December 2020, with the first crediting will take place by end-January 2021. Full FAQs will be issued on Nov 18.
Read our earlier report here