Flexible account reduces anxiety, uncertainty, say those in need

KUALA LUMPUR: The Employees Provident Fund’s (EPF) new Akaun Fleksibel will help people who need instant cash.

Several people told the New Straits Times yesterday that the new account would enable them to withdraw a portion of their contributions for emergencies.

A 39-year-old cleaner from Klang, who wished to be known as only Nalini, said the new Akaun Fleksibel could be a life-saver.

She said the need for an emergency source of funds was especially apparent during the Covid19 pandemic, when many people lost sources of income.

“We cannot foresee what will happen in future. The existence of a flexible account such as this can reduce our anxiety and uncertainty,” she said.

“As we all experienced during the pandemic, facilities such as these can serve as a back-up plan. However, it’s up to account holders to manage their funds wisely.”

Nur Natasha Depikalasben, 23, said Akaun Fleksibel would come in handy for people like her.

Nur Natasha, who works as an intern in a Bangsar-based consultancy firm, said she lived away from her parents in Melaka.

The account, she said, could help her store funds in case of emergencies.

“Ideally, I would keep my EPF contributions for my retirement. However, there are times when we need money for emergencies.

“I live a long way away from my family. It’s better for me to use my own money, namely from Akaun Fleksibel, instead of asking them for some financial help.”

Others said while they would most likely not use funds in Akaun Fleksibel as they were financially stable. But they understood that it would come in handy for some people.

Juliawan Maysin, a business owner from the city here, said she would only use her EPF savings during retirement.

“If I use the money now, I might not have enough savings for my retirement. I don’t know what will happen in the future in terms of medical, health and emergency,” said the 45-year-old.

Sarah Cheong Hsiu Yeong, a purchasing manager from Jalan Klang Lama, said while Akaun Fleksibel could be handy for some, she would keep her money in Akaun Persaraan.

“If we keep taking out money from our EPF accounts, there will be little to go on when we retire.”

Nirmelesh Prapagaran, 40, a freelance financial adviser from Kuala Lumpur, said he did not have any pressing need for the flexible account.

However, he understood that not everyone was financially stable and would need an emergency source of funds.

“Especially now, given the rising cost of living, many people are feeling the pinch. Some may not be as fortunate as others and may not have the means to regularly put aside money.

“Akaun Fleksibel can help with this. I understand the need for an account such as this for some.”

However, he said, people should exercise financial discipline and ensure that withdrawals were made for valid reasons.