Last updated : 11 Jul 2023    

reduce/redeem housing loan

You can make withdrawals from Account 2 to reduce/redeem your housing loan balance or assist your spouse with paying off theirs.

Who Can Apply

Requirements

Requirements

Malaysians & Non-Malaysians

Requirements

Below 55 years of age

Requirements

At least RM500 in Account 2

Requirements

Bought/built first or second residential house*

Requirements

Registered owner of the property

(Self Withdrawal only)

Requirements

Residential house has been charged as collateral

Requirements

Have an outstanding housing loan with loan providers recognised by the EPF

Requirements

Application can be made once a year from the last withdrawal date

Requirements

Approved loan from recognised borrowers** 

 

*Residential House - bungalow/terrace/semi-detached/apartment/condominium/studio apartment/service apartment/townhouse/Small Office Home Office (SOHO) or a shop lot with a residential unit in Malaysia

**Certified financial institutions under the Financial Services Act 2013 or Islamic Financing 2013; Central/State Government or any other government financing institutions; member's employer; Licensed Cooperative/Cooperative bodies (approved by SKM); Insurance Companies licensed by Bank Negara; or other EPF recognised loan providers.

EPF members who purchase residential house type Small Office Home Office (SOHO) are required to apply manually at the EPF counter.

Additional requirements for joint withdrawal to assist spouse

  • House is fully owned by spouse/jointly owned by member & spouse
  • Member's spouse is a borrower of the housing loan

Categories

  • Individual withdrawal
  • Joint withdrawal with your spouse/family member
 

What You Can Withdraw

INDIVIDUAL WITHDRAWAL JOINT WITHDRAWAL
Total housing loan balance
OR
Entire savings in Account 2
(whichever is lower but subject to min. RM500)		 Total housing loan balance
OR
Applicant's entire savings in Account 2
(whichever is lower but subject to min. RM500)
Own's Loan

What You Need

Documents

With MyKad

  • Sale and Purchase Agreement/Proof of Mortgage/Surrender of Ownership (Mortgage Form & Title Deed/Deed of Assignment) – if the information in your Housing Loan Balance Statement is incomplete
  • Marriage Certificate/Birth Certificate – for withdrawal to assist a spouse
  • Proof of Sale/Disposal of first house. View details
  • Form KWSP 3 (Pindaan) – for mail submissions/failed thumbprint verification

Proof of Sale/Disposal of first house

  1. Ownership of Transfer Form KTN 14A in the name of the new owner completed by the Land Office or at least a completed and signed Ownership of Transfer Form KTN 14A with the submission receipt by the Land Office; OR
    Note: Any proof of relationship must be submitted with transfer of house ownership based on love and affection (subject to immediate family members only: spouse, parents, parents-in-law, step parents, foster parents, child, stepchild, adopted child or siblings)
  2. Deed of Assignment AND Letter of Confirmation from buyer / seller's lawyer stating that the Notice of Assignment has been submitted to the developer in accordance with the Section 22D (2) Housing Developer Act (Control and Licensing) Amendment 2007 (only for buy or sell process after 12 April 2007); OR
  3. Deed of Assignment between you and the new owner which has been completed and with stamp duty (or produce the stamp receipt) of 1% of the sale price; OR
  4. Title Deed in the new owner's name AND Sale and Purchase Agreement between you and the new owner; OR
  5. Real Property Gain Tax Form 5 / 5A AND Sale and Purchase Agreement between you and the new owner); OR
  6. Proclamation of Sale from Administrator (Form KTN 16I) / Proclamation of Sale from Court (Form KTN 16F); OR
  7. Confirmation by auction bank on property auction; OR
  8. Transfer of ownership by Court Order to any party AND divorce documents (for divorce cases); OR
  9. A formal search from the Land Office indicating the name of the new owner of the said property AND Sale and Purchase agreement between you and the new owner; OR
  10. Confirmation letter from the authorities (Housing and Local Government Ministry / Municipal Councils / District Offices / Penghulu) for houses damaged by natural disasters; OR
  11. Confirmation letter from the Housing and Local Government Ministry / State Government for abandoned housing projects / troubled housing projects / ailing housing projects; OR
  12. Deed of Revocation or Deed of Rescission for the first house; OR Confirmation of Cancellation Letter from the developer / lawyer; OR
  13. Assessment Bills issued by the Municipal Council / local authorities in the name of the new owner and Sale and Purchase agreement between you and the new owner; OR
  14. Confirmation letter for houses damaged by fire and as a result of losing a home issued by approved authorities, such as the Fire and Rescue Department / Royal Malaysia Police / local authorities / Municipal Council / Head of Village and other approving authorities; AND additional documents such as scene photos or other documents to support the application (if necessary).

Without MyKad

  • Housing loan balance statement
  • Sale and Purchase Agreement/Proof of Mortgage/Surrender of Ownership (Mortgage Form & Title Deed/Deed of Assignment) – if the information in your Housing Loan Balance Statement is incomplete
  • Marriage Certificate/Birth Certificate – for withdrawal to assist a spouse
  • Form KWSP 3 (Pindaan) – for mail submissions/failed thumbprint verification
  • Proof of Sale/Disposal of first house. View details

Proof of Sale/Disposal of first house

  1. Ownership of Transfer Form KTN 14A in the name of the new owner completed by the Land Office or at least a completed and signed Ownership of Transfer Form KTN 14A with the submission receipt by the Land Office; OR
    Note: Any proof of relationship must be submitted with transfer of house ownership based on love and affection (subject to immediate family members only: spouse, parents, parents-in-law, step parents, foster parents, child, stepchild, adopted child or siblings)
  2. Deed of Assignment AND Letter of Confirmation from buyer / seller's lawyer stating that the Notice of Assignment has been submitted to the developer in accordance with the Section 22D (2) Housing Developer Act (Control and Licensing) Amendment 2007 (only for buy or sell process after 12 April 2007); OR
  3. Deed of Assignment between you and the new owner which has been completed and with stamp duty (or produce the stamp receipt) of 1% of the sale price; OR
  4. Title Deed in the new owner's name AND Sale and Purchase Agreement between you and the new owner; OR
  5. Real Property Gain Tax Form 5 / 5A AND Sale and Purchase Agreement between you and the new owner); OR
  6. Proclamation of Sale from Administrator (Form KTN 16I) / Proclamation of Sale from Court (Form KTN 16F); OR
  7. Confirmation by auction bank on property auction; OR
  8. Transfer of ownership by Court Order to any party AND divorce documents (for divorce cases); OR
  9. A formal search from the Land Office indicating the name of the new owner of the said property AND Sale and Purchase agreement between you and the new owner; OR
  10. Confirmation letter from the authorities (Housing and Local Government Ministry / Municipal Councils / District Offices / Penghulu) for houses damaged by natural disasters; OR
  11. Confirmation letter from the Housing and Local Government Ministry / State Government for abandoned housing projects / troubled housing projects / ailing housing projects; OR
  12. Deed of Revocation or Deed of Rescission for the first house; OR Confirmation of Cancellation Letter from the developer / lawyer; OR
  13. Assessment Bills issued by the Municipal Council / local authorities in the name of the new owner and Sale and Purchase agreement between you and the new owner; OR
  14. Confirmation letter for houses damaged by fire and as a result of losing a home issued by approved authorities, such as the Fire and Rescue Department / Royal Malaysia Police / local authorities / Municipal Council / Head of Village and other approving authorities; AND additional documents such as scene photos or other documents to support the application (if necessary).

*Applies to 1st and subsequent withdrawals, with or without re-financing. In the case of serial re-financing, you are required to produce all Debt Redemption letters from the previous financier.

VIEW  e-PENGELUARAN STRATEGIC PARTNER
VIEW HOUSING LOAN BALANCE STATEMENT FORMAT
WITHDRAW VIA e-PENGELUARAN
 
APPLY FOR MANUAL WITHDRAWAL

What You Need

Documents

With MyKad

  • Copy of identification documents with original for verification (Non-MyKad holders only)
  • Sale and Purchase Agreement/Proof of Mortgage/Surrender of Ownership (Mortgage Form & Title Deed/Deed of Assignment) – if the information in your Housing Loan Balance Statement is incomplete
  • Proof of Sale/Disposal of first house. View details
  • Passbook or copy of your bank account statement
  • Marriage Certificate/Birth Certificate – for withdrawal to assist a spouse

Proof of Sale/Disposal of first house

  1. Ownership of Transfer Form KTN 14A in the name of the new owner completed by the Land Office or at least a completed and signed Ownership of Transfer Form KTN 14A with the submission receipt by the Land Office; OR
    Note: Any proof of relationship must be submitted with transfer of house ownership based on love and affection (subject to immediate family members only: spouse, parents, parents-in-law, step parents, foster parents, child, stepchild, adopted child or siblings)
  2. Deed of Assignment AND Letter of Confirmation from buyer / seller's lawyer stating that the Notice of Assignment has been submitted to the developer in accordance with the Section 22D (2) Housing Developer Act (Control and Licensing) Amendment 2007 (only for buy or sell process after 12 April 2007); OR
  3. Deed of Assignment between you and the new owner which has been completed and with stamp duty (or produce the stamp receipt) of 1% of the sale price; OR
  4. Title Deed in the new owner's name AND Sale and Purchase Agreement between you and the new owner; OR
  5. Real Property Gain Tax Form 5 / 5A AND Sale and Purchase Agreement between you and the new owner); OR
  6. Proclamation of Sale from Administrator (Form KTN 16I) / Proclamation of Sale from Court (Form KTN 16F); OR
  7. Confirmation by auction bank on property auction; OR
  8. Transfer of ownership by Court Order to any party AND divorce documents (for divorce cases); OR
  9. A formal search from the Land Office indicating the name of the new owner of the said property AND Sale and Purchase agreement between you and the new owner; OR
  10. Confirmation letter from the authorities (Housing and Local Government Ministry / Municipal Councils / District Offices / Penghulu) for houses damaged by natural disasters; OR
  11. Confirmation letter from the Housing and Local Government Ministry / State Government for abandoned housing projects / troubled housing projects / ailing housing projects; OR
  12. Deed of Revocation or Deed of Rescission for the first house; OR Confirmation of Cancellation Letter from the developer / lawyer; OR
  13. Assessment Bills issued by the Municipal Council / local authorities in the name of the new owner and Sale and Purchase agreement between you and the new owner; OR
  14. Confirmation letter for houses damaged by fire and as a result of losing a home issued by approved authorities, such as the Fire and Rescue Department / Royal Malaysia Police / local authorities / Municipal Council / Head of Village and other approving authorities; AND additional documents such as scene photos or other documents to support the application (if necessary).

ADDITIONAL ELIGIBILITY

  • Spouse must undertake loan to buy/build house
  • Member can either be the borrowers or not for the house purchasing
  • The house has been mortgaged as collateral for the housing loan
  • The house is fully-owned by the spouse or co-owned together with spouse
  • Member is required to submit evidence of a husband/wife relationship which can be Marriage Certificate / Surat Nikah or child birth certificate

Without MyKad

  • Housing loan balance statement
  • Sale and Purchase Agreement/Proof of Mortgage/Surrender of Ownership (Mortgage Form & Title Deed/Deed of Assignment) – if the information in your Housing Loan Balance Statement is incomplete
  • Marriage Certificate/Birth Certificate – for withdrawal to assist a spouse
  • Form KWSP 3 (Pindaan) – for mail submissions/failed thumbprint verification

Proof of Sale/Disposal of first house

  1. Ownership of Transfer Form KTN 14A in the name of the new owner completed by the Land Office or at least a completed and signed Ownership of Transfer Form KTN 14A with the submission receipt by the Land Office; OR
    Note: Any proof of relationship must be submitted with transfer of house ownership based on love and affection (subject to immediate family members only: spouse, parents, parents-in-law, step parents, foster parents, child, stepchild, adopted child or siblings)
  2. Deed of Assignment AND Letter of Confirmation from buyer / seller's lawyer stating that the Notice of Assignment has been submitted to the developer in accordance with the Section 22D (2) Housing Developer Act (Control and Licensing) Amendment 2007 (only for buy or sell process after 12 April 2007); OR
  3. Deed of Assignment between you and the new owner which has been completed and with stamp duty (or produce the stamp receipt) of 1% of the sale price; OR
  4. Title Deed in the new owner's name AND Sale and Purchase Agreement between you and the new owner; OR
  5. Real Property Gain Tax Form 5 / 5A AND Sale and Purchase Agreement between you and the new owner); OR
  6. Proclamation of Sale from Administrator (Form KTN 16I) / Proclamation of Sale from Court (Form KTN 16F); OR
  7. Confirmation by auction bank on property auction; OR
  8. Transfer of ownership by Court Order to any party AND divorce documents (for divorce cases); OR
  9. A formal search from the Land Office indicating the name of the new owner of the said property AND Sale and Purchase agreement between you and the new owner; OR
  10. Confirmation letter from the authorities (Housing and Local Government Ministry / Municipal Councils / District Offices / Penghulu) for houses damaged by natural disasters; OR
  11. Confirmation letter from the Housing and Local Government Ministry / State Government for abandoned housing projects / troubled housing projects / ailing housing projects; OR
  12. Deed of Revocation or Deed of Rescission for the first house; OR Confirmation of Cancellation Letter from the developer / lawyer; OR
  13. Assessment Bills issued by the Municipal Council / local authorities in the name of the new owner and Sale and Purchase agreement between you and the new owner; OR
  14. Confirmation letter for houses damaged by fire and as a result of losing a home issued by approved authorities, such as the Fire and Rescue Department / Royal Malaysia Police / local authorities / Municipal Council / Head of Village and other approving authorities; AND additional documents such as scene photos or other documents to support the application (if necessary).

ADDITIONAL ELIGIBILITY

  • Spouse must undertake loan to buy/build house
  • Member can either be the borrowers or not for the house purchasing
  • The house has been mortgaged as collateral for the housing loan
  • The house is fully-owned by the spouse or co-owned together with spouse
  • Member is required to submit evidence of a husband/wife relationship which can be Marriage Certificate / Surat Nikah or child birth certificate

*In the case of serial re-financing, you are required to produce all Debt Redemption letters from the previous financier.

Additional Eligibility

  • Spouse must undertake loan to buy/build house
  • Member can either be the borrowers or not for the house purchasing
  • The house has been mortgaged as collateral for the housing loan
  • The house is fully-owned by the spouse or co-owned together with spouse
  • Member is required to submit evidence of a husband/wife relationship which can be Marriage Certificate / Surat Nikah or child birth certificate
  • Member can make withdrawal to reduce loan balance for any houses of their own or spouse's (husband/wife/wives), subjected to one withdrawal per year
VIEW  e-PENGELUARAN STRATEGIC PARTNER
VIEW HOUSING LOAN BALANCE STATEMENT FORMAT
WITHDRAW VIA e-PENGELUARAN
 
APPLY FOR MANUAL WITHDRAWAL
  •   WHAT YOU SHOULD KNOW

    If member has not made a withdrawal to buy or build a house, member may make a withdrawal for any house.

    If member has made prior withdrawal(s) to buy or build a house, member may only make withdrawal for the same house or to assist member’s spouse for a different house.

    • Member is not eligible to apply if:
    • The purpose of the loan is to renovate, repair or to carry out additional works to the existing house or for personal purposes
    • Loan in the form of overdraft
    • Loan taken from an individual
    • The purpose of the loan is to reduce/redeem the loan balance of third house
    • The purpose of the loan is to reduce/redeem the loan balance of a house bought overseas
    • The original housing loan balance has been fully settled

    In the case of re-financing, the loan balance accounted for is based on the original housing loan payment from the first loan provider OR the latest loan balance, whichever is lower. If several loan providers are involved, the loan redemption letter will be compared against the latest balance to determine the eligible withdrawal amount.

  •   PAYMENT METHODS

    All withdrawal payments will be credited directly into yours or your spouse’s housing loan account when you meet the following criteria.

    • You/spouse has a housing loan account with a panel bank appointed by the EPF; AND
    • Your/spouse’s loan with the EPF panel bank is not in the non-performing loan (NPL) status
    • Your/spouse’s loan account is still active
    • Your/spouse’s identification number as a borrower matches with the bank’s record
    • Payment is made in Ringgit Malaysia (RM)
  •   IMPORTANT REMINDER

    1. Certify your documents

    Ensure ALL copies of documents have been certified and acknowledged by the authorised persons.

    (complete with name, designation and official stamp except for copies of documents which require certification by an EPF officer)

    AUTHORISED PERSONS

    2. Double check your panel banks

    Refer to the list of EPF panel banks for direct crediting of your/spouse’s housing loan account.

    EPF PANEL BANKS

    3. Submit to EPF

    Send your completed submissions at your nearest EPF Counter or mail it to the EPF.

    FIND EPF NEAR YOU
    POST TO EPF

    4. Need more information?

    Refer to our product brochure for additional information.

    DOWNLOAD REDUCE/REDEEM HOUSING LOAN BROCHURE
housing
 

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