EPFO to FD interest rates: Here are four key financial rules changing from June 1

From June 1, 2025, several major financial sector changes will take effect across India. The fresh changes can potentially impact your savings accounts, fixed deposits (FDs), Provident Fund (PF) transactions, credit card use, and other key accounts. You should know about all these upcoming changes to be well aware and aptly prepared to manage your finances. Let us tell you about them here.

EPFO 3.0 system launch
The Employees' Provident Fund Organisation (EPFO) -- which regulates provident funds in India -- is set to launch its upgraded EPFO 3.0 system starting June 1. The upcoming system is aimed at simplifying PF withdrawals, streamlining Know Your Customer (KYC) updates, and speeding up claim settlements. One much-awaited highlight of the new system is the introduction of ATM-like cards to facilitate easier and faster access to EPF funds.

Fixed Deposit (FD) interest rate revision
Some banks, including HDFC Bank and Axis Bank, have already cut down their interest rates on FDs, and more banks could follow from June 1. According to financial experts, investors should lock in their deposits to secure higher returns before potential rate cuts are levied.

Axis Bank Credit Card rule changes
Starting June 20, the Axis Bank will revise the way it classifies credit card transactions. The update will determine which transactions are excluded from reward points and fee waivers, helping customers better understand their credit card benefits.

Cooking Gas (LPG) price change
The price for LPG gas cylinders is fixed on the first day of every month. Hence, LPG prices may change from June 1, directly impacting all households across the country.

Key ATM charges change began this month
A major financial sector update had come into effect from the beginning of May. Customers were mandated to spend a little extra on withdrawing cash from ATM machines. After the exhaustion of their free monthly limit, customers are now required to pay Rs 23 per transaction, up from the earlier fee of Rs 21.