To begin investing in a fund scheme you require a PAN, bank account and be KYC (Know Your Customer) compliant. The bank account ought to be for the name of the investor with the Magnetic Ink Character Recognition (MICR) and Indian Financial System Code (IFSC) points of interest. These points of interest are mentioned on each cheque leaf and it is normal for an operator or merchant to look for a cancelled bank cheque leaf.
Where and How To Buy Mutual Funds?
Like the numerous mutual fund schemes to browse, there are a few courses in which one can put resources. One can invest online or offline or in immediate and also general plans. Like everything else, every choice has its impediments and points of interest, which change for every investor.
-
Through intermediaries: There is a wide range of intermediaries available.
-
Through IFAs: IFAs are Financial Advisors, who independently plays the role of agents to facilitate a mutual fund investment.
-
Directly with the AMC: You may also directly invest in a mutual fund scheme by investing through the AMC.
-
Through Online Portals: There are many third party online portals so you can invest in various mutual fund schemes across AMCs through them.
-
Through your bank: Banks, too, distribute fund schemes of different AMCs acting as intermediaries.
-
Through Demat and Online Trading Account: If you have a demat account, you may buy and sell mutual funds schemes through the account.
-
Electronic Money Transfer: The old way of transferring money from one bank account to another is to write a cheque and then deposit it.
-
Electronic Clearing Service (ECS): ECS is an electronic mode of payment or receipt for transactions those are repetitive and periodic.
-
National Electronic Fund Transfer (NEFT): This is a nationwide payment procedure facilitating one-to-one funds transfer.
-
Electronic Funds Transfer (EFT): It is solely a paperless method by which money is transferred without cheques or currency notes from one bank account to another.
-
Real Time Gross Settlement (RTGS): The real time gross settlement is an instantaneous funds-transfer system where the money is transferred in real time.
-
Interbank Mobile Payments Service (IMPS) Facility: IMPS is the platform provided by National Payments Corporation of India (NPCI).
