Some significant financial changes are set to take effect from June 1, 2025 across the country which are likely to impact the everyday finances of the common man. The changes are taking place in credit cards, Aadhaar system, UPI, TDS etc. Here is a list of the changes to be implemented from tomorrow:
EPFO 3.0
The Employees’ Provident Fund Organisation (EPFO) is likely to introduce the EPFO 3.0 system from 1st June. The new system will simplify the process of withdrawal of Provident Funds, streamline Know Your Customer (KYC) updates, and expedite claim processing. To make the process of withdrawal of PFs easier, an ATM-like feature has also been introduced.
Aadhaar Card update
Those looking to change their Aadhaar details online can do that for free by June 14, 2025. After the deadline, any changes in the Aadhaar details such as names, address, etc. will incur a charge of ₹25 through online mode and ₹50 at the physical centres.
TDS Certificate deadline
June 15, 2025 is the deadline for the issuance of the TDS (tax deduction at source ) certificate under Form 16. It is a document provided by employers to salaried employees, which confirms tax deduction from their salaries. It is a proof that the decucted salary has been submitted to the Income Tax Department and is required for filing returns (ITR). The certificate is issued by June 15 of the relevant financial year.
UPI rules
In a significant step, the National Payments Corporation of India (NPCI) has mandated all UPI apps to display the verified names of the beneficiaries during transactions instead of QR codes or edited names. This decision, effective from 30th June, has been taken to reduce fraud and misdirected payments.
Additionally, the NPCI will restrict UPI balance enquiries and will set specific hours for processing UPI autopay mandates from August 1, 2025. This is intended to reduce load on servers and improve performance.
Credit Card Payments
Some banks are introducing new rules regarding credit card transactions such as payment of bills from June 1. For example, Kotak Mahindra Bank will charge 1% fee on fuel payment exceeding monthly cap. The bank will also put a limit on reward points items like rent, utility bills, and insurance.
Similarly, Axis Bank will introduce phased changes to its REWARDS Credit Card from 20th June which will involve changes in reward points, cashback percentages, lounge access, and spending categories for certain cards. From 10 June 2025, HDFC is also revising its lounge access policy for Tata Neu Infinity and Tata Neu Plus credit cardholders. As per the new policy, lounge access will be available through vouchers based on quarterly spending instead of direct card swipes.
ATM withdrawal fee
Some banks are likely to introduce increased fee on withdrawal of money from ATMs above the free threshold. The charges might differ from bank to bank.
FD Rates
Some banks may alter the interest rates on fixed deposits (FDs) from 1st June. ICICI Bank has reduced rates by upto 20 baic points on select tenures. Suryodaya Small Finance Bank has also decreased interest rates from 8.6% to 8% for 5-year FDs. For deposists below ₹3 crore, the bank will offer interest rates from 4% to 8.4% for tenures between 30 to 36 months.
Mutual Funds
The Securities and Exchange Board of India (SEBI) has introduced changes in the cut-off timings for overnight mutual fund schemes, effective from 1st June. As per the new cut-off timings, 3pm has been set for offline transactions and 7pm for online transactions. This means that any order made after these cut-off timings will be processed the next working day and may get a different net asset value (NAV) calculation process.
LPG cyliner
The prices for domestic LPG cylinders will also be revised at the beginning of the next month. The prices may increase, decrease or remain unchanged based on oil companies and market conditions
