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  Overview of the New Feature: A new feature is being introduced for RTGS and NEFT systems. This feature will allow you to check the name of the account holder (beneficiary) before transferring money, just like what is already available in UPI and IMPS systems. Purpose of the Feature This feature will help ensure that you’re sending money to the correct person by verifying their name before the transaction. Who Will Implement It? The National Payments Corporation of India (NPCI) has been asked to create this feature. All banks that use RTGS and NEFT must offer this service to their customers. Where Will It Be Available? The name-check feature will be available through Internet banking, Mobile banking, and even when customers visit bank branches for transactions. Deadline for Banks All banks must introduce this feature by April 1, 2025. Legal Requirement The directive is mandatory under the Payment and Settlement Systems Act, 2007. This new system aims to reduce errors in money tran...

                                                          5 Ways to Start Investing Starting your investment journey is a key step towards financial growth. Here are five simple ways to begin: 1. Start with SIP in Mutual Funds Systematic Investment Plans (SIPs) let you invest a fixed amount regularly, making it easy to build wealth with minimal risk. 2. Invest Directly in Stocks For higher returns, invest in the stock market. This requires research and is best for those comfortable with risk and volatility. 3. Corporate Fixed Deposits (FDs) Corporate FDs offer steady income with low risk, making them ideal for conservative investors. 4. Non-Convertible Debentures (NCDs) NCDs provide regular interest payments with moderate risk, offering better returns than traditional FDs. 5. Exchange-Traded Funds (ETFs) ETFs provide a cost-effective way to di...

Why SIP in Liquid, Debt, or Arbitrage Funds Doesn't Make Sense SIP (Systematic Investment Plan) is a powerful tool for wealth creation, especially in volatile asset classes like equity. However, using SIP in funds like Liquid Funds , Debt Funds , or Arbitrage Funds defeats its core purpose. Let’s explore why: 1. SIP Works Best in Volatile Asset Classes The primary benefit of SIP lies in rupee cost averaging : SIP helps you buy more units when markets are down and fewer units when markets are high, reducing the average cost over time. This benefit is only significant in volatile funds like equity or hybrid funds. Liquid, Debt, and Arbitrage Funds are inherently stable and exhibit minimal fluctuations. As a result, SIP doesn’t significantly impact your returns. Example: If you invest ₹10,000 via SIP in a liquid fund every month, the NAV hardly fluctuates. You end up buying similar units every month, negating the advantage of cost averaging. 2. Lump Sum is Ideal for Stab...

  Key Points About Specialized Investment Fund (SIF) Overview: New Asset Class : SIF offers more flexibility than regular mutual funds and requires a lower minimum investment compared to Portfolio Management Services (PMS) and Alternative Investment Funds (AIFs). Minimum Investment : ₹10 lakh for regular investors. No limit for accredited investors with higher financial capacity and risk understanding. Operational Features: Scheme Categories : Mutual funds can launch multiple categories under SIF. Segregation : No need to separate MF and SIF operations, but branding and advertisement must be distinct. Separate Identity : Fund houses must create a separate website and identity for SIF. Key Regulations: TER Structure : Similar to mutual funds with AUM slab-wise Total Expense Ratio (TER). Approval : Fund houses need SEBI approval through a draft offer document to launch SIF. Fund Manager : Must hold relevant NISM certification as specified by SEBI. Investment Guidelines: Debt Investm...

  Banking Laws Amendment 2024: What It Means for You Introduction of Updated Nomination Rules : Bank account holders can now designate up to four nominees for their accounts. Passed by the Lok Sabha on December 3, 2024 , this amendment aims to enhance flexibility and convenience for account holders. Importance of Nomination : Nomination facilitates the smooth transfer of funds after the account holder's demise. Without a nominee, legal heirs must navigate a complex and time-consuming process , requiring: A will Legal heir certificate No-objection certificates (NOCs) Limitations of the Previous System : Earlier, only one nominee could be appointed per account, leading to challenges such as: Funds becoming unclaimed if the sole nominee predeceased the account holder or failed to claim the funds. Inactive accounts resulting in unclaimed funds being transferred to the RBI’s Depositor Education and Awareness (DEA) Fund after 10 years , earning interest at lower rates than the origin...