The Employees Provident Fund (EPF) provides facilities for affected members to access account 1 for the i-Sinar facility.
It is estimated that a total of RM14 billion will be available for two million eligible EPF members, including members who have lost their jobs, been given unpaid leave, or lack a source of income.
Therefore, eligible members can apply to start in December 2020 and the amount will be credited to the member’s bank account at the end of the month after the application is made.
According to the EPF media statement, the first credit will start in January 2021 where this advance amount will be credited periodically up to six (6) months starting on the first date of crediting.
The following are the details to determine the amount that can be accessed for members to apply under i-Sinar.
Generally, eligible members will have access to 10% of their savings in Account 1, subject to always have a minimum balance of RM100:
- For those who have RM90,000 and below (Account 1), they have access to any amount up to RM9,000. The amount advanced will be staggered over a period of six (6) months with an increased first advance of up to RM4,000.
- For those who have above RM90,000 (Account 1), they have access to up to 10% of their Account 1 savings. However, the maximum total amount allowed to be advanced is RM60,000. The amount advanced will be staggered over a period of six (6) 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,” said the statement.
“To determine the right amount to be applied under i-Sinar and ensure sustainability during the crisis, members are strongly urged to first seek financial advice from EPF’s Retirement Advisory Services (RAS) and/or the Credit Counselling and Debt Management Agency (AKPK),” the statement added.
Further information and full details on the i-Sinar eligibility and terms and conditions will be available soon.
Source: EPF