In this post, I will answer a few queries that investors may have while exiting NPS (National Pension Scheme). There could be three types of exits from NPS: Normal exit (At the age of 60 in case of All Citizens Model, At the time of superannuation in case of Government NPS and Corporate Sector NPS) Pre-mature exit (before the age of 60 or superannuation as … [Read more...] about FAQs: Lumpsum Withdrawal and Annuity Purchase at the time of exit from NPS
Have you ever tried to under the mathematics behind No cost EMI schemes? As I see, the schemes are quite popular on e-commerce websites such as Flipkart and Amazon. Do you know RBI prohibits banks from offering zero interest EMI schemes? How do banks offer such schemes then? Well, e-commerce websites and banks have figured out a way around this. Here is an excerpt from … [Read more...] about How No-cost EMI schemes from Amazon and Flipkart work?
Whenever I deride an insurance and investment combo plan, I get many queries about how to invest for your kids’ education. When you are planning for kids’ education, your biggest concerns are: Where to invest i.e. choosing the right product to accumulate funds for their education If something happens to you, your planned savings for the kid’s education must not … [Read more...] about How (not) to invest for Children’s education?
Senior Citizens or retired personnel face many constraints that people in their 20s and 30s can’t even imagine. They have no salary to bank upon. They have to rely on their savings and pension to meet their monthly expenses. There is little ability to recover from an unplanned major expense. Advances in healthcare have ensured that the retirements are longer. Your pension may … [Read more...] about All you need to know about Reverse Mortgage Loan Scheme
Most term life insurance plans give you an option to add a critical illness rider to your base plan. You have to pay an additional premium to get coverage for critical illnesses. A few life insurance plans have inbuilt critical illness coverage. We discussed LIC Jeevan Shiromani in an earlier post. SBI Life – Poorna Suraksha plan is different. It is a term insurance plan with … [Read more...] about Review: SBI Life Poorna Suraksha: A Term Plan with increasing Critical Illness Cover
Long Term Capital gains on sale on debt mutual fund units are taxed at 20% after indexation. That is primarily the reason why many investors choose to invest money in debt mutual funds if the investment horizon is more than 3 years. I am talking about money that you don’t want to invest in volatile assets such as equity. While this is mostly correct, this may not always hold … [Read more...] about How a low growth in CII can affect your post-tax returns and investment choices?
You are aware that it is difficult to get a loan if you have a poor credit score. Your credit score is a measure of your repayment ability. A poor credit score implies poor repayment ability/intent. Therefore, banks/NBFCs may not be as keen to lend to borrowers with a low credit score. You have a poor credit score but need a loan. What will you do? Fortunately, there are … [Read more...] about 6 Loans you can get despite a low credit score
When we plan to take any loan, we usually try to shop for the lowest rate of interest. That is a good strategy since the interest forms the biggest component of cost for any loan. However, interest cost is not the only cost that you need to bear to service a loan. There may not many other charges with different names. Some charges may be expressed as a percentage of the loan … [Read more...] about While finalizing a loan, do not just look at the interest rate
Sukanya Samriddhi Scheme or Sukanya Samriddhi Yojana (SSY) was notified in December 2014. The scheme is part of the Beti Bachao, Beti Padhao Scheme The scheme offers attractive guaranteed interest rates. The Government sweetened the deal by making Sukanya Samriddhi Account part of Exempt-Exempt-Exempt (EEE) tax regime. The motive of the scheme is to encourage the savings in … [Read more...] about Sukanya Samriddhi Yojana Account Rules: Complete Information
LIC Single Premium Endowment Plan (Table no. 817) is a single premium non-linked participating life insurance plan. It is not a new plan. The plan has been around for a long time. A reader asked me to review the plan. So, here we go. LIC Single Premium Endowment Plan (Table no. 817): Review Minimum Entry Age): 90 days Maximum Entry Age: 65 years Minimum Age at … [Read more...] about LIC Single Premium Endowment Plan (817): Review