NPS Investment - How to Invest in National Pension Scheme (NPS)

NPS Investment - How to Invest in National Pension Scheme (NPS)

How to invest in NPS?

Building a sufficient retirement corpus after you retire is necessary so that you can live a financially free life. To allow you to save for retirement, there are various investment avenues. The National Pension System (NPS) is one such investment avenue that enables you to build up a corpus for retirement.

What is National Pension System (NPS)?

The NPS scheme is an investment scheme wherein you can make annual investments until you reach 60 years of age. The investments done into the scheme are invested in the market, allowing you market-linked returns. When the scheme matures, you can avail a part of the corpus in a lump sum while the remaining part pays you annuities, thereby creating a regular source of income for your retired life.

Who can choose NPS investments?

NPS investments can be made by individuals between 18 years to 60 years of age. The individual can be a resident Indian or a NRI. In the case of NRIs, though if the citizenship of the individual changes during the duration of the scheme, the scheme would be closed.

How to invest in NPS?

You can invest in an NPS scheme either through an authorized bank or non-banking financial company (NBFC). Currently, most banks and certain NBFCs allow their customers to invest in an NPS scheme through them. These authorized banks and NBFCs are called Point of Presence (POP). Each authorized POP has a licensed branch for accepting NPS investments from customers. Such authorized branches are called Point of Presence Service Providers or POP-SPs, and you can approach such branch and open a NPS account for investment.

How to invest in NPS online?

With the online medium becoming popular, investing in NPS schemes are also allowed online. For online investments, you can use the net banking facility offered by your bank account. You can log into your bank account and choose to open a NPS account with your bank. You can deposit money through your savings account into the NPS account and start NPS investments.

Alternatively, you can invest in NPS online through the scheme’s official website. The steps for online investment through the official website is as follows –
• Visit the website and choose ‘National Pension Scheme’
• To invest, you would have to register on the website.
• To register, fill up the online application form providing all the relevant details like your name, age, citizenship, address, type of investor, bank account from which      investments into the scheme would be made and your PAN card number
• Once the form is filled up and submitted, an acknowledgement number would be generated.
• A Permanent Retirement Account Number (PRAN) would also be generated. This number would be your NPS account number
• Once you e-sign the registration form and submit it, your registration would be complete
• After successful registration, you can log into your account and start NPS investments. You would have to provide your PRAN number, the type of NPS account in which you want to contribute and the amount of such contribution

A simple process, isn’t it?

NPS investment option

When you invest in a NPS scheme, there are two investment options that you have. One is the Tier I account, and the other is the Tier II account. Let's understand what these options are –
Tier I Account: Tier I account is a compulsory account which you have to open if you invest in the NPS scheme. The account does not allow withdrawals unless you need money for specific reasons like for meeting marriage related expenses, for a medical emergency, for higher education, etc. The minimum investment in NPS Tier I Account is INR 500 to open the account. Moreover, in one financial year, you have to make an investment of at least INR 1000 in Tier I Account to keep the account operative. If the minimum investment in NPS Tier I Account is not made, the account is frozen. In that case, you would have to pay a penalty of INR 100 to unfreeze the account and make it active. Investments in Tier I Account can be done till you reach 60 years of age or till your close the account prematurely.

Tier II Account: Once you open a Tier I Account, you get an option to open a Tier II Account as well. Tier-II account is optional and can be opened if you want and only if you have a Tier I account in your name. The minimum investment required for Tier II Account is INR 250, and you can withdraw from the scheme as and when you want. This account is not rigid like Tier I Account.

Things to remember about NPS investments

Now that you know how to invest in NPS and the investment options, here are some important points for you to keep in mind –
• You can open Tier I and Tier II account only once in your name. Moreover, one NPS account is allowed for one individual
• To invest in NPS you would have to submit your identity proof, age proof, address proof, PAN card, Aadhar card, and passport-sized photos with the registration form to complete the registration and open the NPS account
• Investments made into the NPS scheme are allowed as a deduction from your taxable income. You can claim a deduction under Section 80 CCD (1) if you are a salaried employee and contribute up to 10% of your salary and dearness allowance to the scheme. If you are a businessman, contribution up to 10% of your income can be contributed to the NPS scheme under this Section. This contribution is allowed as a deduction up to a maximum of INR 1.5 lakhs, and it includes deductions availed under Section 80C
• If your employer contributes up to 10% of your salary and dearness allowance towards the NPS scheme, you can claim an additional deduction under Section 80 CCD (2) independent of Section 80C deduction. This deduction can be claimed both in the old and new tax regimes
• You can claim an additional deduction of INR 50,000 if you invest in NPS over and above the deduction claimed under Section 80C, 80 CCD (1) and 80 CCD (2). This additional deduction is allowed under Section 80 CCD (1B).

NPS investments are an attractive way to create a retirement corpus and you can even claim tax benefits on the investments done. With the facility of investing online as well as offline, you can choose to invest in the NPS scheme in any way which suits you and create a retirement corpus for yourself. For a better understanding, you can get in touch with our experts at IndiaNivesh for more guidance and assistance for your NPS investments.



Disclaimer: Investment in securities market / Mutual Funds are subject to market risks, read all the related documents carefully before investing.


डीमैट खाता - अर्थ, सुविधाएँ और लाभ | इंडियानिवेश

<p><strong>डीमैट खाता परिचय:&nbsp;</strong></p> <p><span style="font-weight: 400;">शेयर बाजार में निवेश और व्यापार इन दिनों बहुत लोकप्रियता हासिल कर रहा है। लेकिन आप उचित सदन के बिना शेयर बाजार में निवेश या व्यापार नहीं कर सकते। स्टॉक मार्केट में निवेश करने के लिए आपको डीमैट अकाउंट या डीमैटरियलाइजेशन अकाउंट की जरूरत होती है। शेयरों को खरीदने और बेचने के लिए इस खाते का होना प्राथमिक आवश्यकता है। भारत में, दो डिपॉजिटरी हैं जो डीमैट खाते की सेवा प्रदान करते हैं: नेशनल सिक्योरिटीज डिपॉजिटरी लिमिटेड (एन एस डी एल) और सेंट्रल डिपॉजिटरी सर्विसेस लिमिटेड (सी डी एस एल)। आप इंटरमीडीआईएस या डिपॉजिटरी प्रतिभागियों या स्टॉक ब्रोकॅस के माध्यम से इन दो डिपॉजिटरी द्वारा प्रदान की गई सेवाओं का लाभ उठाकर खाता खोल सकते हैं। इस लेख में, आपको डीमैट खाते और उससे संबंधित जानकारी सीखने को मिलेगा!</span></p> <p><span style="font-weight: 400;">सबसे पहले, हम डीमैट खाते के अर्थ के बारे में जानेंगे।</span></p> <p><strong>डीमैट अकाउंट क्या है</strong></p> <p><span style="font-weight: 400;">डीमैट अकाउंट या डीमैटरियलाइज्ड अकाउंट एक ऐसा अकाउंट होता है, जो उन शेयरों और सिक्योरिटीज को होल्ड करता है, जो आपके पास इलेक्ट्रॉनिक रूप में होती हैं। आप </span><span style="font-weight: 400;">ऑनलाइन डीमैट अकाउंट</span><span style="font-weight: 400;"> के माध्यम से शेयर खरीद या बेच सकते हैं। यह एक बैंक खाते की तरह है जो एक जगह पर आपका पैसा रखता है। इस खाते में, आपके सभी शेयर, म्यूचुअल फंड, सरकारी प्रतिभूतियां, बॉन्ड और एक्सचेंज-ट्रेडेड फंड एक ही स्थान पर होते हैं।</span></p> <p><span style="font-weight: 400;">डीमैट खाते की जानकारी को समझते हुए, आप "डिमैटेरिएजेशन" शब्द के पार आ गए होंगे, आगे अब इसके अर्थ को समझते हैं।</span></p> <p><strong>डिमटेरियलाइज़ेशन का अर्थ:</strong></p> <p><span style="font-weight: 400;">इन्वेस्टर्स के पास जो बोथिक रूप के शेयर सर्टिफिकेट्स को इलेक्ट्रॉनिक फॉर्म में कन्वर्ट करने की काम को देमाटेरिअलिसशन कहते हे! डीमैटरियलाइजेशन के साथ, आपको भौतिक रूप में शेयरों या प्रतिभूतियों को रखने की आवश्यकता नहीं है। डीमैटरियलाइजेशन करके, आप दुनिया भर में कहीं से भी आसानी से अपने डीमैट खाते तक पहुंच सकते हैं।</span></p> <p><span style="font-weight: 400;">आइये अब इस खाते द्वारा दी जाने वाली सुविधाओं के बारे में पढ़ते हैं।</span></p> <p>&nbsp;</p> <p><strong>डीमैट अकाउंट द्वारा दी जाने वाली सुविधाएँ:</strong></p> <ul> <li><span style="font-weight: 400;"> डिलीवरी इंस्ट्रक्शन स्लिप (DIS) की सहायता से, आप आसानी से अपने शेयर दूसरे व्यक्ति को ट्रांसफर कर सकते हैं। लेन-देन की कोई परेशानी नहीं है क्योंकि पर्ची में सभी प्रासंगिक विवरण शामिल हैं।</span></li> <li><span style="font-weight: 400;"> डीमैट खाते में रखे गए शेयर आपको बैंक से ऋण सुविधा प्राप्त करने में मदद कर सकते हैं। आप डीमैट खाते में रखे शेयरों को कोलैटरल (collateral) के रूप में रख सकते हैं और इसके खिलाफ ऋण प्राप्त कर सकते हैं।</span></li> <li><span style="font-weight: 400;"> इस खाते के साथ, आप अपने शेयरों और प्रतिभूतियों को भौतिक रूप से इलेक्ट्रॉनिक रूप में आसानी से बदल सकते हैं।</span></li> <li><span style="font-weight: 400;"> ऑनलाइन डीमैट खाते की उपलब्धता के साथ, आप दुनिया भर में कहीं से भी डेस्कटॉप, लैपटॉप या स्मार्टफोन का उपयोग करके इस खाते के माध्यम से पहुंच और लेन-देन कर सकते हैं।</span></li> <li><span style="font-weight: 400;"> यह आपको इस खाते में रखे गए शेयरों से जुड़े कॉर्पोरेट लाभ उठाने की सुविधा प्रदान करता है। जैसे डिविडेंड, धनवापसी, ब्याज, स्टॉक विभाजन, अधिकार जारी करना, बोनस शेयर आदि कूद बा कुढ़ से अपडेट की जाती हैं।</span></li> <li><span style="font-weight: 400;"> जब खाते के धारक के पास शेयरों और प्रतिभूतियों की एक विशिष्ट मात्रा होती है, तो वह डीमैट खाते को फ्रीज करने की सुविधा का लाभ उठा सकता है। यह किसी भी डेबिट या क्रेडिट से बचने के लिए किया जाता है।</span></li> </ul> <p><span style="font-weight: 400;">यह डीमैट खाते द्वारा दी जाने वाली सुविधाओं के बारे में था, आइए ऑनलाइन डीमैट खाता खोलने के लाभों के बारे में जानें।</span></p> <p><strong>इन्वेस्टर्स को ऑनलाइन डीमैट खाता खोलने के लाभ :&nbsp;</strong></p> <ul> <li><span style="font-weight: 400;"> यह व्यक्तिगत इन्वेस्टर्स को दुनिया में कहीं से भी व्यापार करने की सुविधा प्रदान करता है।</span></li> <li><span style="font-weight: 400;"> इस खाते के साथ, व्यक्तिगत इन्वेस्टर को लेन-देन के व्यापक से कागजी कार्रवाई को बनाए रखने और ब्रोकर को नियमित रूप से देखने की आवश्यकता नहीं है।</span></li> <li><span style="font-weight: 400;"> यह बहुत सुरक्षित है, तेज है और विलंबित बस्तियों जैसी अक्षमताओं को दूर करने में भी मदद करता है।</span></li> <li><span style="font-weight: 400;"> चूंकि इस खाते से व्यापार कहीं से भी किया जा सकता है, यह अधिक ब्याज उत्पन्न करता है और शेयर बाजार में निवेशकों की भागीदारी को बढ़ाता है।</span></li> <li><span style="font-weight: 400;"> इस खाते में रखे गए शेयरों को ऋण प्राप्त करने के लिए कोलैटरल के रूप में स्वीकार किया जाता है।</span></li> </ul> <p><span style="font-weight: 400;">आइए अब इस खाते के लाभों के बारे में किसी कंपनी के दृष्टिकोण से पढ़ें।</span></p> <p><strong>डीमैट खाते का कंपनी को लाभ:</strong></p> <ul> <li><span style="font-weight: 400;"> इस खाते के साथ, कंपनियां एक अधिक पारदर्शी व्यापारिक प्रणाली बनाए रखने में सक्षम हैं जो उन्हें शेयरधारकों को इलेक्ट्रॉनिक रूप से शेयरों को कुशलतापूर्वक स्थानांतरित करने में सक्षम बनाता है।</span></li> <li><span style="font-weight: 400;"> यह कागज के उपयोग को समाप्त करता है जो एडमिनिस्ट्रेटिव फ्रंट का काम आसान बनाता है और कागज पर डेटा को ऑनलाइन संग्रहीत करना आसान होता है।</span></li> <li><span style="font-weight: 400;"> ऑनलाइन डीमैट खाते के कारण, कंपनियों को अब शेयरों को प्रिंट और वितरित करके निवेशकों को देने की आवश्यकता नहीं है। इससे उनका बहुमूल्य समय बचता है।</span></li> <li><span style="font-weight: 400;"> क्युकी शेयरधारकों अब इस खाते का उपयोग कर रहे हैं, कंपनियां आसानी से शेयरधारकों के साथ संवाद कर सकती हैं और आवश्यक जानकारी इलेक्ट्रॉनिक रूप से पारित कर सकती हैं।</span></li> </ul> <p><span style="font-weight: 400;">आइए अब हम स्टॉक ब्रोकर के दृष्टिकोण से इस खाते के लाभों के बारे में पढ़ते हैं।</span></p> <p><strong>ब्रोकरों को डीमैट अकाउंट से लाभ:</strong></p> <ul> <li><span style="font-weight: 400;"> इस खाते की शुरुआत के साथ, ब्रोकर ग्राहकों को बेहतर सेवाएं प्रदान करने में सक्षम हैं क्योंकि अब उन्हें चोरी, खराब डिलीवरी या धोखाधड़ी के बारे में चिंता करने की आवश्यकता नहीं है।</span></li> <li><span style="font-weight: 400;"> इसने निवेशकों की रुचि और भागीदारी को बढ़ाया है। इससे ब्रोकर की कमाई और मुनाफे में बढ़ोतरी हुई है।</span></li> <li><span style="font-weight: 400;"> डीमैट शेयरों के तुरंत और आसान ट्रान्सफर के कारण ब्रोकरों पर भरोसा किया जा सकता है। यह विश्वास बनाने और निवेशकों का विश्वास बढ़ाने में मदद करता है।</span></li> </ul> <p>&nbsp;</p> <p><strong>निष्कर्ष:&nbsp;</strong></p> <p><span style="font-weight: 400;">डीमैट खाता निवेशकों को भारतीय शेयर बाजार में व्यापार और निवेश करने का अवसर प्रदान करता है। इस खाते को खोले बिना कोई भी शेयर बाजार में भाग नहीं ले सकता है। शेयर बाजार में निवेश करने की प्राथमिक आवश्यकता होने के नाते, शेयर बाजार से जुड़े कई प्रतिभागियों के लिए इसके कई फायदे हैं।</span></p> <p><span style="font-weight: 400;">डीमैट खाता शेयरों और प्रतिभूतियों में लेनदेन करने का सबसे सुरक्षित, विश्वसनीय और तेज तरीका है। आप इस खाते को बिना किसी शेयर के खोल सकते हैं और जीरो बैलेंस भी अपने काथे में रख सकते है! डीमैट खाता खोलने के लिए, बस इंडियानिवेश जैसे प्रतिष्ठित स्टॉक ब्रोकर की वेबसाइट पर जाएं और सेवाओं का आनंद लेने के लिए औपचारिकताएं पूरी करें।</span></p> <p>&nbsp;</p> <p><strong>अस्वीकरण</strong><span style="font-weight: 400;">: </span><span style="font-weight: 400;">प्रतिभूतियों के बाजार में निवेश / म्यूचुअल फंड बाजार के जोखिमों के अधीन हैं, निवेश से पहले सभी संबंधित दस्तावेज़ों को ध्यान से पढ़ें।</span></p>

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Loan Against Mutual Funds – Get Loan on Mutual Funds in India

Financial crisis can hit you anytime and therefore you must always be prepared to face them. But sometimes, there may be a situation when you have the funds but you have invested them in different investment avenues and you do not have the extra funds to deal with the monetary needs in your life. In such situations, mutual funds can act as a saviour. You can use them as security to avail a loan from financial institutions or banks. In this article, you will learn all the details about loan against mutual funds. Let us begin by learning how you can avail loan against mutual funds. How to Avail Loan on Mutual Fund? By pledging the mutual fund units, you can avail loan against mutual funds. You can take the loan on mutual fund of any type including equity, debt, or balanced fund. However, it is always advisable to take the loan against equity-based mutual funds and not against debt-based mutual funds. The loan against mutual funds interest rate depends upon the period of the loan. When you opt for taking a loan against the mutual funds, you cannot sell or switch the mutual fund unit that is under lien. Let us now understand the term lien on mutual funds. Lien on Mutual Funds Lien is an important term to understand while availing loans against mf. Lien is a document that gives the NBFC or banks the right to sell or hold your mutual fund's units. When a lien is provided in the favour of bank or NBFC, it means that you have given the ownership right of your mutual fund units to the lender. To transfer the ownership you must visit the fund house and request them to transfer the ownership of your mutual fund units in the name of the lender. The letter for lien transfer must be signed by all the unit holders. Let us now learn about the process of applying for a loan against mutual funds How To Apply For Loan Against Mutual Funds You can avail loan against mutual fund online if your mutual fund units are in demat account and you have prior approval. However, if the mutual fund units are in physical form you can avail loan on mutual fund by executing a loan agreement with the financing company or bank. The bank or NBFC shall ask the registrar of the mutual fund like Karvy or CAMS to mark a lien on the fund units being pledged. The registrar on marking the lien sends a letter to the lender along with a copy to the borrower regarding the same. One important aspect that you must know here is that you cannot redeem the units until full repayment of the loan. The money you get for the loan will depend on the type of mutual funds you own. Banks and other financial institutions often set the maximum and minimum cap on the amount of loan that you can apply for. For example, if you own equity-oriented mutual funds, you can get a loan of up to 50% of the Net Asset Value of the mutual fund. Let us now learn about interest rates on loans against mutual funds. Interest Rates on Loan Against Mutual Fund The loan against mutual funds interest rate will depend on the tenure of your loan. Similar to the terms and conditions, the interest rates vary from one financer to another. In general, the interest on the loan of mutual funds is 10% to 11%. Since this is a secured loan, the interest on this loan is lower than the interest on an unsecured loan. They may even lower the interest rate if you have a good credit score and a long standing relationship with the bank. Let us now learn how to remove lien on the mutual funds How to Remove Lien on Mutual Funds After repaying the loan amount, the financer will send a request regarding the lifting of lien to the fund house. You can even apply for partial removal of lien on making part payment to the financier. However, some units shall still be under the claim of the lender. Since you know the process of removal of lien, you must also know the consequences if you default the loan. Consequences of Defaulting Loan Against Mutual Fund If you default the loan on mf, the financier can enforce a lien for defaulting in making the payment. The financing company holds the right to send a request to the mutual fund company to redeem the units. Let us now learn about the benefits of borrowing against mutual funds. Benefits of Borrowing Against Mutual Funds You can create instant liquidity by taking the loan against mutual funds. Since mutual fund investment remains idle most of the time, you can raise capital for meeting the short term requirements. Since the mutual fund is a secured asset, the interest rate of the mutual funds is lower than the interest rate on a personal loan. For taking a loan on mutual funds, there is no need for selling the mutual fund units. The above mentioned are a few of the benefits of availing loans on mutual funds. Raising loans against mutual funds is a rare practice and not many are aware of it. It is also a far better option than other traditional methods of availing a loan. If you are new to the market or need any financial advice, you may contact IndiaNivesh.   Disclaimer: Investment in securities market / Mutual Funds are subject to market risks, read all the related documents carefully before investing.

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