EPF / KWSP withdrawal to reduce / redeem housing loan

This scheme allows applicants to withdraw from their Account II to reduce or redeem their housing loans. Withdrawals can be made once a year.

Applicants may apply under this scheme if: -

• There is an outstanding balance of loan of purchasing a house or shop house with a dwelling unit;
• Applicants who have refinanced their said house are subjected to withdraw the amount of the original housing loan; and
• Applicants who have not attained the age of 55 from the date of application received by the EPF.
• Application can be made ONCE A YEAR from the previous housing loan withdrawal date.

Applicants do not qualify under this scheme if: -

• The purpose of withdrawal is for renovation, repair or for extensions of the existing house.
• Applicants have mortgaged the house to acquire finance for use other than purchasing or building a house.
• The original housing loan balance is fully settled.

Amount eligible for withdrawal: Applicants can withdraw their savings under this scheme shown below or whichever is lower:

For individual application

• Total outstanding balance of the loan; or
• Balance amount in Account II.

For joint application

• Total outstanding balance of the loan, or
• Balance amount in Account II for both applications.

Under joint application, EPF will process the application of the first purchaser. If the amount is insufficient, EPF will proceed to process the second purchaser.

How to apply

Applicants are allowed to apply for the withdrawal under this scheme once a year from the same account from the date of the first withdrawal. Members are required to submit the KWSP 9C(AHL) form to the EPF.